S.Amdt. 2340Senate108th Congress (2003-2005)
S.Amdt. 2340
Sponsored by 
Sen. Jim Talent (R-MO)
Sen. Jim Talent (R-MO)Submitted February 11, 2004
Text
Submitted
This amendment's own text couldn't be picked out of its Congressional Record passage, so the passage is shown in full.
TEXT OF AMENDMENTS
SA 2297. Mr. SESSIONS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the appropriate place, insert the following:
SEC. __. LIMITATION ON THE APPLICATION OF THE DAVIS-BACON
ACT.
The provisions of subchapter IV of chapter 31 of title 40,
United States Code (40 U.S.C. 3141 et seq.), commonly known
as the Davis-Bacon Act, shall not apply to projects that
receive funding under this Act (or an amendment made by this
Act).
______
SA 2298. Mr. BINGAMAN submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
In the blank in the appropriate clause in section
510(a)(4)(B) of title 23, United States Code (as added by
section 2101(a)), insert ``the Southwest Bridge Research
Center, comprising New Mexico State University and the
Oklahoma Transportation Center''.
______
SA 2299. Mr. BINGAMAN (for himself and Mr. Craig) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 733, strike lines 6 through 10 and insert the
following:
wildlife;
``(xvii) installation and maintenance of signs (including
fluorescent, yellow-green signs) at pedestrian-bicycle
crossings and in school zones; or
``(xviii) if the State in which the lanes are located
certifies to the Secretary that the upgrading of the lanes
will provide a safety benefit, upgrading to 4 lanes portions
of rural, 2-lane highways that have high accident rates and
that are on--
``(I) the National Highway System; or
``(II) a high priority corridor identified under section
1105(c) of the Intermodal Surface Transportation Efficiency
Act of 1991 (105 Stat. 2032).
______
SA 2297. Mr. BINGAMAN (for himself, Mr. Roberts, and Mr. Domenici)
submitted an amendment intended to be proposed by him to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. __. SOUTHWEST PASSAGE INITIATIVE FOR REGIONAL AND
INTERSTATE TRANSPORTATION.
Section 1105(c) of the Intermodal Surface Transportation
Efficiency Act of 1991 (105 Stat. 2032) is amended by adding
at the end the following:
``(45) The corridor extending from the point on the border
between the United States and Mexico in the State of Texas at
which United States Route 54 begins, along United States
Route 54 through the States of Texas, New Mexico, Oklahoma,
and Kansas, and ending in Wichita, Kansas, to be known as the
`Southwest Passage Initiative for Regional and Interstate
Transportation Corridor' or `SPIRIT Corridor'.''.
______
SA 2301. Mrs. MURRAY (for herself and Ms. Collins, Mrs. Boxer, Ms.
Cantwell, Mrs. Clinton, Mr. Cochran, Mr. Corzine, Mr. Edwards, Mr.
Kennedy, Ms. Mikulski, Ms. Murkowski, Mr. Schumer, Ms. Snowe, and Mr.
Stevens) submitted an amendment intended to be proposed to amendment SA
2285 proposed by Mr. Inhofe to the bill S. 1072, to authorize funds for
Federal-aid highways, highway safety programs, and transit programs,
and for other purposes; which was ordered to lie on the table; as
follows:
On page 39, line 1, strike ``$2,000,000,000'' and insert
``$1,328,000,000''.
On page 39, line 6, strike ``$38,000,000'' and insert
``$150,000,000''.
Beginning on page 80, strike line 7 and all that follows
through page 81, line 3, and insert the following:
SEC. 1204. CONSTRUCTION OF FERRY BOATS AND FERRY TERMINAL AND
MAINTENANCE FACILITIES; COORDINATION OF FERRY
CONSTRUCTION, MAINTENANCE, AND OPERATION.
(a) In General.--Section 147 of title 23, United States
Code, is amended to read as follows:
``Sec. 147. Construction of ferry boats and ferry terminal
and maintenance facilities; coordination of ferry
construction, maintenance, and operation
``(a) Definitions.--In this section:
``(1) Institute.--The term `Institute' means the National
Ferry Transportation Institute established under subsection
(d).
``(2) Office.--The term `Office' means the Ferry Joint
Program Office established under subsection (c).
``(b) Construction of Ferry Boats and Ferry Terminal and
Maintenance Facilities.--
``(1) In general.--The Secretary shall carry out a program
for construction of ferry boats and ferry terminal and
maintenance facilities in accordance with section 129(c).
``(2) Federal share.--The Federal share of the cost of
construction of ferry boats and ferry terminals and
maintenance facilities under this subsection shall be 80
percent.
``(3) Allocation of Funds.--The Secretary shall give
priority in the allocation of funds under this subsection to
those ferry systems, and public entities responsible for
developing ferries, that--
``(A) carry the greatest number of passengers and vehicles;
``(B) carry the greatest number of passengers in passenger-
only service; or
``(C) provide critical access to areas that are not well-
served by other modes of surface transportation.
``(c) Ferry Joint Program Office.--
``(1) Establishment.--The Secretary shall establish an
office, to be known as the `Ferry Joint Program Office'--
``(A) to coordinate Federal programs affecting ferry boat
and ferry facility construction, maintenance, and operations;
and
``(B) to promote ferry service as a component of the
transportation system of the United States.
``(2) Responsibilities.--The Office shall--
``(A) coordinate ferry and ferry-related programs
(including policy)--
``(i) within the Department of Transportation (including
the Federal Highway Administration, the Federal Transit
Administration, the Maritime Administration, and the Bureau
of Transportation Statistics); and
``(ii) with the Department of Homeland Security and other
Federal and State agencies, as appropriate; and
``(B) with respect to the administration of ferry and
ferry-related programs--
``(i) ensure resource accountability;
``(ii) provide strategic leadership for ferry research,
development, testing, and deployment; and
``(iii) promote ferry transportation as a means to reduce
social, economic, and environmental costs associated with
traffic congestion.
``(d) National Ferry Database.--
``(1) In general.--Using the results of the study under
section 1207(c) of the Transportation Equity Act for the 21st
Century (23 U.S.C. 129 note; 112 Stat. 185), the Secretary
shall--
``(A) maintain a national ferry database, which shall
contain current information regarding--
``(i) ferry systems, routes, and vessels;
``(ii) passengers and vehicles carried;
``(iii) funding sources; and
``(iv) such other matters as the Secretary determines to be
appropriate; and
``(B) in accordance with paragraph (2), update the database
and results of the study, as appropriate.
``(2) Updated database.--The Secretary shall update the
national ferry database--
``(A) with respect to the initial updated version, not
later than 1 year after the date of enactment of the Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2003; and
``(B) with respect to subsequent updated versions, every 2
years thereafter.
``(3) Public accessibility.--The Secretary shall ensure
that the national ferry database is easily accessible to the
public.
``(e) National Ferry Transportation Institute.--
``(1) Establishment.--Not later than 1 year after the date
of enactment of the Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2003, the Secretary
shall
[[Page S1027]]
make grants to an institution of higher education to
establish an institute to be known as the `National Ferry
Transportation Institute'.
``(2) Administration.--The Secretary shall develop and
administer the Institute in cooperation with--
``(A) the Department of Transportation;
``(B) State transportation departments and State agencies;
``(C) public ferry transportation authorities;
``(D) private ferry operators;
``(E) ferry boat builders;
``(F) ferry employees;
``(G) other institutions of higher education; and
``(H) research institutes.
``(3) Functions.--The Institute shall--
``(A) conduct research and recommend development activities
on methods of improving ferry transportation programs in the
United States, including methods of reducing wake and
providing alternative propulsion;
``(B) develop and conduct training programs for ferry
system employees, Federal employees, and other individuals,
as appropriate, on recent developments, techniques, and
procedures pertaining to the construction and operation of
ferries;
``(C) encourage and assist collaborative efforts by public
and private entities to preserve, improve, and expand the use
of ferries as a mode of transportation; and
``(D) preserve, use, and display historical information
about the use of ferries in the United States and in foreign
countries.
``(4) Location.--In selecting the location for the
Institute, the Secretary shall consider, with respect to the
region in which the Institute is to be located--
``(A) the importance of public and private ferries to the
transportation system of the region, including both regional
travel and long-range travel and service to isolated
communities;
``(B) the historical importance of ferry transportation to
the region;
``(C) the history and diversity of the maritime community
of the region, including ferry construction and repair and
other shipbuilding activities;
``(D) the anticipated growth of ferry service and ferry
boat building in the region;
``(E) the availability of public-private collaboration in
the region; and
``(F) the presence of nationally recognized research
colleges and universities in the region.
``(5) Report.--Not later than 1 year after the date of
enactment of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003, and annually thereafter,
the Secretary shall submit to Congress a report that
describes the activities of the Institute under, and the
progress in carrying out, this section.
``(6) Funding.--The Secretary may authorize the acceptance
and expenditure of funding provided to the Institute by
public and private entities.
``(f) Set-Aside.--Of the amounts made available under
section 1101(a)(14) of the Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2003, $112,000,000 for
each of fiscal years 2004 through 2009 shall be made
available to carry out this section.''.
(b) Conforming Amendments.--
(1) Section 129(c) of title 23, United States Code, is
amended--
(A) in the matter preceding paragraph (1), by inserting
``and maintenance'' after ``terminal''; and
(B) in paragraph (3), by inserting ``or maintenance'' after
``terminal'' each place it appears.
(2) The analysis for subchapter I of chapter 1 of title 23,
United States Code, is amended by striking the item relating
to section 147 and inserting the following:
``147. Construction of ferry boats and ferry terminal and maintenance
facilities.''.
(3) Section 1064 of the Intermodal Surface Transportation
Efficiency Act of 1991 (105 Stat. 2005) is repealed.
______
SA 2302. Mr. BAYH (for himself, Mr. Durbin, Mr. Lugar, Mr. Kohl, and
Mr. Fitzgerald) submitted an amendment intended to be proposed by him
to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. __. ADJUSTMENT OF EQUITY BONUS PROGRAM TO REFLECT TAX
PAYMENTS RELATING TO ETHANOL.
(a) In General.--Subsection (d) of section 105 of title 23,
United States Code, (as amended by section 1104) is amended
to read as follows:
``(d) Limitation on Adjustments.--
``(1) In general.--Except as provided in paragraphs (2) and
(3) of subsection (c), no State shall receive, for any fiscal
year, additional amounts under subsection (a)(1) if--
``(A) the total apportionments of the State for the fiscal
year for the programs specified in subsection (a)(2); exceeds
``(B) the sum of--
``(i) the percentage of the average, for the period of
fiscal years 1998 through 2003, of the annual apportionments
of the State for all programs specified in subsection (b)(2),
as specified in paragraph (2); and
``(ii) an amount which is equivalent to--
``(I) the amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the excess of the tax rate applicable for a
gallon of gasoline over the tax rate applicable for a gallon
of gasohol for such years; plus
``(II) an amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the amount of the tax rate applicable to a
gallon of gasohol which is not deposited into the Highway
Trust Fund with respect to each such year.
``(2) Percentages.--The percentages referred to in
paragraph (1)(B)(i) are--
``(A) for fiscal year 2004, 120 percent;
``(B) for fiscal year 2005, 130 percent;
``(C) for fiscal year 2006, 134 percent;
``(D) for fiscal year 2007, 137 percent;
``(E) for fiscal year 2008, 145 percent; and
``(F) for fiscal year 2009, 250 percent.''.
(b) Effective Date.--The amendment made by this section
shall apply as if made by section 1104 of this Act.
______
SA 2303. Mr. LAUTENBERG submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
Beginning on page 175, strike line 18 and all that follows
through page 179, line 13, and insert the following:
``(4) Effect on other reviews.--
``(A) In general.--For the purpose of compliance with the
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.) and any other law requiring an agency that is not the
lead agency to determine or consider a project purpose or
project need, such an agency acting, permitting, or approving
under, or otherwise applying, Federal law with respect to a
project shall adopt the determination of purpose and need for
the project made by the lead agency.
``(B) Conflict.--
``(i) In general.--In the case of a conflict described in
clause (ii), the Governor of a State, the lead agency, the
project sponsor, or the cooperating agency shall promptly
convene a meeting with representatives of the relevant
cooperating agencies, the lead agency, the project sponsor,
and the Governor to resolve the conflict.
``(ii) Conflict situations.--A conflict in clause (i) is a
situation in which--
``(I) after the cooperating agency has commented, a
conflict arises between a cooperating agency and the lead
agency regarding the objectives in the statement of purpose
of, and need for, a project; and
``(II) the cooperating agency demonstrates that the ability
of the cooperating agency to enforce a law (including a
regulation) would be impaired if the objectives were not
modified.
``(5) Savings.--Nothing in this subsection preempts or
interferes with any power, jurisdiction, responsibility, or
authority of an agency under applicable law (including
regulations) with respect to a project.
``(6) Contents.--
``(A) In general.--The statement of purpose and need shall
include a clear statement of the objectives that the proposed
project is intended to achieve.
``(B) Effect on existing standards.--Nothing in this
subsection shall alter existing standards for defining the
purpose and need of a project.
``(7) Factors to consider.--The lead agency shall ensure
that the following factors and documents are considered in
determining the purpose of, and need for, a project:
``(A) Transportation plans and related planning documents
developed through the statewide and metropolitan
transportation planning process under sections 134 and 135.
``(B) Land use plans adopted by units of State, local, or
tribal government (or, in the case of Federal land, by the
applicable Federal land management agencies).
``(C) Economic development plans adopted by--
``(i) units of State, local, or tribal government; or
``(ii) established economic development planning
organizations or authorities.
``(D) Environmental protection plans, including plans for
the protection or treatment of--
``(i) air quality;
``(ii) water quality and runoff;
``(iii) habitat needs of plants and animals;
``(iv) threatened and endangered species;
``(v) invasive species;
``(vi) historic properties; and
``(vii) other environmental resources.
``(E) Any publicly available plans or policies relating to
the national defense, national security, or foreign policy of
the United States.
``(g) Development of Project Alternatives.--
``(1) In general.--With respect to the environmental review
process for a project, the alternatives shall be determined
in accordance with this subsection.
``(2) Authority.--The lead agency shall determine the
alternatives to be considered for a project.
``(3) Involvement of cooperating agencies and the public.--
[[Page S1028]]
``(A) In general.--Before determining the alternatives for
a project, the lead agency shall solicit for 30 days and
consider any relevant comments on the proposed alternatives
received from the public and cooperating agencies.
``(B) Alternatives.--The lead agency shall consider--
``(i) alternatives that meet the objectives in the purpose
and need statement for the project;
``(ii) alternatives that satisfy most of the objectives in
the purpose and need statement for the project but that are
more protective of public health and the environment than
other alternatives; and
``(iii) the alternative of no action.
``(C) Effect on existing standards.--Nothing in this
subsection shall alter the existing standards for determining
the range of alternatives.
``(4) Effect on other reviews.--
``(A) In general.--Any other agency acting under or
applying Federal law with respect to a project shall consider
only the alternatives determined by the lead agency.
``(B) Conflict.--
``(i) In general.--In the case of a conflict described in
clause (ii), the Governor of a State, the lead agency, the
project sponsor, or the cooperating agency shall promptly
convene a meeting with representatives of the relevant
cooperating agencies, the lead agency, the project sponsor,
and the Governor to resolve the conflict.
``(ii) Conflict situations.--A conflict in clause (i) is a
situation in which--
``(I) after the cooperating agency has commented, a
conflict arises between a cooperating agency and the lead
agency regarding the objectives in the statement of purpose
of, and need for, a project; and
``(II) the cooperating agency demonstrates that the ability
of the cooperating agency to enforce a law (including a
regulation) would be impaired if the objectives were not
modified.
``(5) Savings.--Nothing in this subsection preempts or
interferes with any power, jurisdiction, responsibility, or
authority of an agency under applicable law (including
regulations) with respect to a project.
``(6) Factors to consider.--The lead agency shall ensure
that the following factors and documents are considered in
determining the purpose of, and need for, a project:
______
SA 2304. Mr. LAUTENBERG submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
At the appropriate place, insert the following new section:
SEC. . MULTI-STATE INTELLIGENT TRANSPORTATION SYSTEM
OPERATIONS.
(a) In General.--The Secretary shall encourage regional
operating organizations, in multi-state, metropolitan areas
having multiple metropolitan planning organizations, to
promote regional coordination and cooperation in the
efficient, safe, and secure operation of regional
transportation systems; and, to implement these regional
programs in a manner consistent with the needs of the public
safety community.
(b) TRANSCOM's Intelligent Transportation System
Projects.--The Secretary shall make annual grants of $9
million to TRANSCOM for funding the capital costs as well as
the annual operations and maintenance costs of intelligent
transportation system (ITS) projects, in the New Jersey/New
York/Connecticut metropolitan region. These ITS projects
shall also assist the public safety community by providing
comprehensive transportation for responding to major regional
incidents and by supporting evacuation planning for natural
and man-made emergencies.
______
SA 2305. Mr. LAUTENBERG (for himself, Mr. DeWine, Mr. Dorgan, and Mr.
Corzine) submitted an amendment intended to be proposed to amendment SA
2285 proposed by Mr. Inhofe to the bill S. 1072, to authorize funds for
Federal-aid highways, highway safety programs, and transit programs,
and for other purposes; which was ordered to lie on the table; as
follows:
On page 137, strike line 10 and insert the following:
SEC. 1403. HIGHER-RISK IMPAIRED DRIVERS.
On page 137, line 11, insert ``(a) License Suspension
Definition.--'' before ``Section''.
On page 138, between lines 2 and 3, insert the following:
(b) Other Definitions.--Section 164 of title 23, United
States Code, is further amended--
(1) by striking subsection (a)(5) and inserting the
following:
``(5) Higher-risk impaired driver law.--
``(A) In general.--The term `higher-risk impaired driver
law' means a State law that provides, as a minimum penalty,
that an individual described in subparagraph (B) shall--
``(i) receive a driver's license suspension for not less
than 1 year;
``(ii) have the motor vehicle driven at the time of arrest
impounded or immobilized for not less than 90 days and for
the remainder of the license suspension period require the
installation of a certified alcohol ignition interlock device
on the vehicle;
``(iii) be subject to an assessment by a certified
substance abuse official of the State that assesses the
individual's degree of abuse of alcohol and assigned to a
treatment program or impaired driving education program as
determined by the assessment;
``(iv) be imprisoned for not less than 10 days, have an
electronic monitoring device for not less than 100 days, or
be assigned to a DUI/DWI specialty facility for not less than
30 days;
``(v) be fined a minimum of $1,000, with the proceeds of
such funds to be used by the State or local jurisdiction for
impaired driving related prevention, enforcement, and
prosecution programs, or for the development or maintenance
of a tracking system of offenders driving while impaired;
``(vi) if the arrest resulted from involvement in a crash,
pay court-mandated restitution to the victims of the crash;
``(vii) be placed on probation by the court for a period of
not less than 2 years;
``(viii) if diagnosed with a substance abuse problem,
during the first year of the probation period referred to in
clause (vii), attend a treatment program for a period of 12
consecutive months sponsored by a State certified substance
abuse treatment agency and meet with a case manager at least
once each month; and
``(ix) be required by the court to attend a victim impact
panel, if such a panel is available.
``(B) Individuals to whom penalties apply.--An individual
is described in this subparagraph if that individual--
``(i) is convicted of a second or subsequent offense for
driving while intoxicated or driving under the influence
within a minimum of 10 consecutive years;
``(ii) is convicted of driving while intoxicated or driving
under the influence with a blood alcohol concentration of
0.15 percent or greater; or
``(iii) is convicted of a driving-while-suspended offense
if the suspension was the result of a conviction for driving
under the influence.'';
(2) by adding at the end of subsection (a) the following:
``(6) Special dui/dwi facility.--The term `special DUI/DWI
facility' means a facility that houses and treats offenders
arrested for driving while impaired and allows such offenders
to work or attend school.
``(7) Victim impact panel.--The term `victim impact panel'
means a group of impaired driving victims who speak to
offenders about impaired driving for the purpose of trying to
change attitudes and behaviors in order to deter impaired
driving recidivism,''; and
(3) by striking subsection (b) and inserting the following:
``(b) Imposition of Higher-Risk Impaired Driving Law
Requirement.--
``(1) In general.--Notwithstanding any provision of section
104 to the contrary, as a condition of receiving the full
amount of funds apportioned to a State under paragraphs (1),
(3), and (4) of section 104(b), a State shall enact and
enforce a higher-risk impaired driver law.
``(2) Enforcement by withholding funds.--On October 1st of
the following fiscal years, the Secretary shall withhold the
applicable percentage of the amount required to be
apportioned for Federal-aid highways to a State on that date
under each of paragraphs (1), (3), and (4) of section 104(b)
if the State has not enacted or is not enforcing a higher-
risk impaired driver law:
``(A) For fiscal year 2008, the applicable percentage is 2
percent.
``(B) For fiscal year 2009, the applicable percentage is 4
percent.
``(C) For fiscal year 2010, the applicable percentage is 6
percent.
``(D) For fiscal year 2011, the applicable percentage is 8
percent.''.
______
SA 2306. Mr. LAUTENBERG (for himself, Mr. DeWine, and Mr. Corzine)
submitted an amendment intended to be proposed to amendment SA 2285
proposed by Mr. Inhofe to the bill S. 1072, to authorize funds for
Federal-aid highways, highway safety programs, and transit programs,
and for other purposes; which was ordered to lie on the table; as
follows:
At the appropriate place, insert the following:
SEC. __. TERMINATION OF DETERMINATIONS OF GRANDFATHER RIGHTS.
(a) In General.--Section 127 of title 23, United States
Code, is amended by adding at the end the following:
``(h) Grandfather Rights.--
``(1) General rule.--After the 270th day following the date
of enactment of this subsection, a State may not allow, on a
segment of the Interstate System, the operation of a vehicle
or combination (other than a longer combination vehicle)
exceeding an Interstate weight limit unless the operation is
specified on the list published under paragraph (2).
``(2) List of vehicles and combinations.--
``(A) Proceeding.--Not later than 60 days after the date of
enactment of this subsection, the Secretary shall initiate a
proceeding to determine and publish a list of vehicles and
combinations (other than longer combination vehicles),
otherwise exceeding an Interstate weight limit, that the
Department of Transportation, any other Federal agency, or a
State has determined on or before June 1, 2003, could be
lawfully operated within such State--
[[Page S1029]]
``(i) on July 1, 1956;
``(ii) in the case of the overall gross weight of any group
of 2 or more consecutive axles, on the date of enactment of
the Federal-Aid Highway Amendments of 1974; or
``(iii) under a special rule applicable to a State under
subsection (a).
``(B) Limitations.--
``(i) Actual and lawful operations required.--An operation
of a vehicle or combination may be included on the list
published under subparagraph (A) only if the vehicle or
combination was in actual and lawful operation in the State
on a regular or periodic basis on or before June 1, 2003.
``(ii) State authority not sufficient.--An operation of a
vehicle or combination may not be included on the list
published under subparagraph (A) on the basis that a State
law or regulation could have authorized the operation of the
vehicle or combination at some prior date by permit or
otherwise.
``(C) Publication of final list.--Not later than 270 days
after the date of enactment of this subsection, the Secretary
shall publish a final list of vehicles and combinations
described in subparagraph (A).
``(3) Limitation on statutory construction.--This
subsection does not prevent a State from reducing the gross
vehicle weight limitation, the single and tandem axle weight
limitations, or the overall maximum gross weight on a group
of 2 or more consecutive axles applicable to portions of the
Interstate System in the State for operations on the list
published under paragraph (2)(C) but in no event may any such
reduction result in a limitation that is less than an
Interstate weight limit.
``(4) Applicability of existing requirements.--All vehicles
and combinations included on the list published under
paragraph (2) shall be subject to all routing-specific,
commodity-specific, and weight-specific designations in force
in a State on June 1, 2003.
``(5) Interstate weight limit defined.--In this subsection,
the term `Interstate weight limit' means the 80,000 pound
gross vehicle weight limitation, the 20,000 pound single axle
weight limitation (including enforcement tolerances), the
34,000 pound tandem axle weight limitation (including
enforcement tolerances), and the overall maximum gross weight
(including enforcement tolerances) on a group of 2 or more
consecutive axles produced by application of the formula in
subsection (a).''.
(b) Conforming Amendment.--The fourth sentence of section
127(a) of title 23, United States Code, is amended by
striking ``the State determines''.
SEC.__. NONDIVISIBLE LOAD PROCEEDING.
Section 127 of title 23, United States Code, is further
amended by adding at the end the following:
``(i) Nondivisible Loads.--
``(1) Proceeding.--Not later than 60 days after the date of
enactment of this subsection, the Secretary shall initiate a
proceeding to define the term `vehicles and loads which
cannot be easily dismantled or divided' as used in subsection
(a) and section 31112 of title 49.
``(2) List of commodities.--
``(A) In general.--The definition developed under paragraph
(1) shall include a list of commodities (or classes or types
of commodities) that do not qualify as nondivisible loads.
``(B) Limitation.--The list of commodities developed under
paragraph (1) shall not be interpreted to be a comprehensive
list of commodities that do not qualify as nondivisible
loads.
``(3) Regulations.--Not later than 270 days after the date
of enactment of this subsection, the Secretary shall issue
final regulations setting forth the determination of the
Secretary made under paragraph (1). The Secretary shall
update the regulations as necessary.
``(4) Applicability.--Regulations issued under paragraph
(2) shall apply to all vehicles and loads operating on the
National Highway System.
``(5) State requirements.--A State may establish any
requirement that is not inconsistent with regulations issued
under paragraph (2).
``(6) Statement of policy.--The purpose of this subsection
is to promote conformity with Interstate weight limits to
preserve publicly funded infrastructure and protect motorists
by limiting maximum vehicle weight on key portions of the
Federal-aid highway system.''.
SEC. __. WAIVERS OF WEIGHT LIMITATIONS DURING PERIODS OF
NATIONAL EMERGENCY.
Section 127 of title 23, United States Code, is further
amended by adding at the end the following:
``(j) Waivers During Periods of National Emergency.--
``(1) In general.--Notwithstanding any other provision of
this section or section 126, the Secretary, in consultation
with the Secretary of Defense, may waive or limit the
application of any vehicle weight limit established under
this section or section 126 with respect to a highway route
during a period of national emergency in order to respond to
the effects of the national emergency.
``(2) Applicability.--Emergency limits established under
paragraph (1) shall preempt any inconsistent State vehicle
weight limits.''.
SEC. __. VEHICLE WEIGHT LIMITATIONS--NATIONAL HIGHWAY SYSTEM.
(a) In General.--Title 23, United States Code, is amended
by inserting after section 125 the following:
``Sec. 126. Vehicle weight limitations--National Highway
System
``(a) Non-Interstate Highways on NHS.--
``(1) In general.--After the 270th day following the date
of enactment of this section, any Interstate weight limit
that applies to vehicles and combinations (other than longer
combination vehicles) operating on the Interstate System in a
State under section 127 shall also apply to vehicles and
combinations (other than longer combination vehicles)
operating on non-Interstate segments of the National Highway
System in such State, unless such segments are subject to
lower State weight limits as provided for in subsection (d).
``(2) Existing highways.--
``(A) In general.--Notwithstanding paragraph (1), in the
case of a non-Interstate segment of the National Highway
System that is open to traffic on June 1, 2003, a State may
allow the operation of any vehicle or combination (other than
a longer combination vehicle) on such segment that the
Secretary determines under subsection (b) could be lawfully
operated on such segment on June 1, 2003.
``(B) Applicability of state laws and regulations.--All
operations described in subparagraph (A) shall continue to be
subject to all State statutes, regulations, limitations and
conditions, including routing-specific, commodity-specific,
and configuration-specific designations and all other
restrictions, in force on June 1, 2003.
``(3) New highways.--Subject to subsection (d)(1), the
gross vehicle weight limitations and axle loading limitations
applicable to all vehicles and combinations (other than
longer combination vehicles) on a non-Interstate segment of
the National Highway System that is not open to traffic on
June 1, 2003, shall be the Interstate weight limit.
``(b) Listing of Vehicles and Combinations.--
``(1) In general.--The Secretary shall initiate a
proceeding to determine and publish a list of vehicles and
combinations (other than longer combination vehicles),
otherwise exceeding an Interstate weight limit, that could be
lawfully operated on a non-Interstate segment of the National
Highway System on June 1, 2003.
``(2) Requirements.--In publishing a list of vehicles and
combinations under paragraph (1), the Secretary shall
identify--
``(A) the gross vehicle weight limitations and axle loading
limitations in each State applicable, on June 1, 2003, to
vehicles and combinations (other than longer combination
vehicles) on non-Interstate segments of the National Highway
System; and
``(B) operations of vehicles and combinations (other than
longer combination vehicles), exceeding State gross vehicle
weight limitations and axle loading limitations identified
under subparagraph (A), which were in actual and lawful
operation on a regular or periodic basis (including seasonal
operations) on June 1, 2003.
``(3) Limitation.--An operation of a vehicle or combination
may not be included on the list published under paragraph (1)
on the basis that a State law or regulation could have
authorized such operation at some prior date by permit or
otherwise.
``(4) Publication of final list.--Not later than 270 days
after the date of enactment of this section, the Secretary
shall publish a final list of vehicles and combinations
described in paragraph (1).
``(5) Updates.--The Secretary shall update the list
published under paragraph (1) as necessary to reflect new
designations made to the National Highway System.
``(c) Applicability of Limitations.--The limitations
established by subsection (a) shall apply to any new
designation made to the National Highway System and remain in
effect on those non-Interstate highways that cease to be
designated as part of the National Highway System.
``(d) Limitations on Statutory Construction.--
``(1) State enforcement of more restrictive weight
limits.--This section does not prevent a State from
maintaining or imposing a weight limitation that is more
restrictive than the Interstate weight limit on vehicles or
combinations (other than longer combination vehicles)
operating on a non-Interstate segment of the National Highway
System.
``(2) State actions to reduce weight limits.--This section
does not prevent a State from reducing the State's gross
vehicle weight limitation, single or tandem axle weight
limitations, or the overall maximum gross weight on 2 or more
consecutive axles on any non-Interstate segment of the
National Highway System.
``(e) Longer Combination Vehicles.--
``(1) Prohibition.--
``(A) In general.--After the 270th day following the date
of enactment of this section, a longer combination vehicle
may continue to operate on a non-Interstate segment of the
National Highway System only if the operation of the longer
combination vehicle configuration type was authorized by
State officials pursuant to State statute or regulation on
June 1, 2003, and in actual and lawful operation on a regular
or periodic basis (including seasonal operations) on or
before June 1, 2003.
``(B) Applicability of state laws and regulations.--All
operations described in subparagraph (A) shall continue to be
subject to all State statutes, regulations, limitations and
conditions, including routing-specific, commodity-specific,
and configuration-specific designations and all other
restrictions, in force on June 1, 2003.
[[Page S1030]]
``(2) Listing of vehicles and combinations.--
``(A) In general.--Not later than 60 days after the date of
enactment of this section, the Secretary shall initiate a
proceeding to determine and publish a list of longer
combination vehicles that could be lawfully operated on non-
Interstate segments of the National Highway System on June 1,
2003.
``(B) Limitation.--A longer combination vehicle may not be
included on the list published under subparagraph (A) on the
basis that a State law or regulation could have authorized
the operation of such vehicle at some prior date by permit or
otherwise.
``(C) Publication of final list.--Not later than 270 days
after the date of enactment of this section, the Secretary
shall publish a final list of longer combination vehicles
described in subparagraph (A).
``(D) Updates.--The Secretary shall update the list
published under subparagraph (A) as necessary to reflect new
designations made to the National Highway System.
``(3) Limitation on statutory construction.--This
subsection does not prevent a State from further restricting
in any manner or prohibiting the operation of a longer
combination vehicle; except that such restrictions or
prohibitions shall be consistent with the requirements of
section 127 of this title and sections 31112 through 31114 of
title 49, United States Code.
``(f) Model Schedule of Fines.--
``(1) In general.--The Secretary, in consultation with the
States, shall establish a model schedule of fines to be
assessed for violations of this section.
``(2) Purpose.--The purpose of the schedule of fines shall
be to ensure that fines are sufficient to deter violations of
the requirements of this section and to permit States to
recover costs associated with damages caused to the National
Highway System by the operation of such vehicles.
``(3) Adoption by states.--The Secretary shall encourage
but not require States to adopt the schedule of fines.
``(g) Definitions.--In this section, the following
definitions apply:
``(1) Interstate weight limit.--The term `Interstate weight
limit' has the meaning given such term in section 127(h).
``(2) Longer combination vehicle.--The term `longer
combination vehicle' has the meaning given such term in
section 127(d).''.
(b) Enforcement of Requirements.--Section 141(a) of title
23, United States Code, is amended--
(1) by striking ``the Federal-aid primary system, the
Federal-aid urban system, and the Federal-aid secondary
system, including the Interstate System'' and inserting ``the
National Highway System, including the Interstate System,'';
and
(2) by striking ``section 127'' and inserting ``sections
126 and 127''.
(c) Conforming Amendment.--The analysis for title 23,
United States Code, is amended by inserting after the item
relating to section 125 the following:
``126. Vehicle weight limitations--National Highway System.''.
______
SA 2307. Ms. LANDRIEU submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end, add the following:
TITLE VII--MEASURES TO CONSERVE PETROLEUM
SEC. 7001. REDUCTION OF DEPENDENCE ON IMPORTED PETROLEUM.
(a) Report.--
(1) In general.--Not later than February 1, 2005, and
annually thereafter, the President shall submit to Congress a
report, based on the most recent edition of the Annual Energy
Outlook published by the Energy Information Administration,
assessing the progress made by the United States toward the
goal of reducing dependence on imported petroleum sources by
2014.
(2) Contents.--The report under subsection (a) shall--
(A) include a description of the implementation, during the
previous fiscal year, of provisions under existing law
relating to domestic crude petroleum production;
(B) assess the effectiveness of those provisions in meeting
the goal described in paragraph (1); and
(C) describe the progress in developing and implementing
measures under subsection (b).
(b) Measures To Reduce Import Dependence Through Increased
Domestic Petroleum Conservation.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, the President shall develop and
implement measures to conserve petroleum in end-uses
throughout the economy of the United States sufficient to
reduce total demand for petroleum in the United States by
1,000,000 barrels per day from the amount projected for
calendar year 2014 in the reference case contained in the
report of the Energy Information Administration entitled
``Annual Energy Outlook 2004''.
(2) Contents.--The measures under paragraph (1) shall be
designed to ensure continued reliable and affordable energy
for consumers.
(3) Implementation.--The measures under paragraph (1) shall
be implemented under existing authorities of appropriate
Federal executive agencies identified by the President.
______
SA 2308. Mr. CORZINE submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 762, between lines 12 and 13 insert the following
new paragraph:
``(6) The costs of operating programs that impound the
vehicle of an individual arrested as an impaired operator of
a motor vehicle for not less than 12 hours after the operator
is arrested.
______
SA 2309. Mr. CORZINE (for himself and Mr. Lautenberg) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. IMPOUNDING VEHICLES OF INTOXICATED ARRESTEES.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1814(a)), is
amended by adding at the end the following:
``Sec. 176. Impounding vehicles of intoxicated arrestees
``(a) Definition of Motor Vehicle.--In this section, the
term `motor vehicle' means a vehicle driven or drawn by
mechanical power and manufactured primarily for use on public
highways, but does not include a vehicle operated only on a
rail.
``(b) Withholding of Apportionments for Noncompliance.--
``(1) Fiscal year 2005.--The Secretary shall withhold 5
percent of the amount required to be apportioned to any State
under each of paragraphs (1), (3), and (4) of section 104(b)
on October 1, 2004, if the State does not meet the
requirements of paragraph (3) on that date.
``(2) Subsequent fiscal years.--The Secretary shall
withhold 10 percent of the amount required to be apportioned
to any State under each of paragraphs (1), (3), and (4) of
section 104(b) on October 1, 2005, and on October 1 of each
fiscal year thereafter, if the State does not meet the
requirements of paragraph (3) on that date.
``(3) Requirements.--A State meets the requirements of this
paragraph if the State has enacted and is enforcing a law
that is substantially provides for each of the following:
``(A) If a person has been arrested for public
intoxication, the arresting law enforcement agency shall
impound the vehicle that the person was operating at the time
of arrest.
``(B) A vehicle impounded pursuant to this subparagraph
shall be impounded for a period of 12 hours after the time of
arrest or until such later time as the arrestee claiming the
vehicle meets the conditions for release under subparagraph
(D).
``(C) A vehicle impounded pursuant to this subparagraph may
be released to a person other than the arrestee prior to the
end of the impoundment period only if--
``(i) the vehicle is not owned or leased by the person
under arrest and the person who owns or leases the vehicle
claims the vehicle and meets the conditions for release under
subparagraph (D); or
``(ii) the vehicle is owned or leased by the arrestee, the
arrestee gives permission to another person, who has
acknowledged in writing receipt of the statement to operate
the vehicle and the conditions for release under subparagraph
(D).
``(D) A vehicle impounded pursuant to this subparagraph
shall not be released unless the person claiming the
vehicle--
``(i) presents a valid operator's license, proof of
ownership or lawful authority to operate the vehicle, and
proof of valid motor vehicle insurance for that vehicle;
``(ii) is able to operate the vehicle in a safe manner and
would not be in violation driving while intoxicated laws; and
``(iii) meets any other conditions for release established
by the law enforcement agency.
``(E) A law enforcement agency impounding a vehicle
pursuant to this subparagraph is authorized to charge a
reasonable fee for towing and storage of the vehicle. The law
enforcement agency is further authorized to retain custody of
the vehicle until that fee is paid.
``(c) Period of Availability; Effect of Compliance and
Noncompliance.--
``(1) Period of availability of withheld funds.--Any funds
withheld under subsection (b) from apportionment to any State
shall remain available until the end of the fourth fiscal
year following the fiscal year for which the funds are
authorized to be appropriated.
``(2) Apportionment of withheld funds after compliance.--
If, before the last day of the period for which funds
withheld under subsection (b) from apportionment are to
remain available for apportionment to a State under paragraph
(1), the State meets the requirements of subsection (a)(3),
the Secretary shall, on the first day on which the State
meets the requirements, apportion to
[[Page S1031]]
the State the funds withheld under subsection (b) that remain
available for apportionment to the State.
``(3) Period of availability of subsequently apportioned
funds.--
``(A) In general.--Any funds apportioned under paragraph
(2) shall remain available for expenditure until the end of
the third fiscal year following the fiscal year in which the
funds are so apportioned.
``(B) Treatment of certain funds.--Any funds apportioned
under paragraph (2) that are not obligated at the end of the
period referred to in subparagraph (A) shall be allocated
equally among the States that meet the requirements of
subsection (a)(3).
``(4) Effect of noncompliance.--If, at the end of the
period for which funds withheld under subsection (b) from
apportionment are available for apportionment to a State
under paragraph (1), the State does not meet the requirements
of subsection (a)(3), the funds shall be allocated equally
among the States that meet the requirements of subsection
(a)(3).''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1814(c)), is amended by adding at the end the
following:
``176. Impounding vehicles of impounded arrestees.''.
______
SA 2310. Mr. CORZINE submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. MOBILE TELEPHONE USE WHILE OPERATING MOTOR
VEHICLES.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1814(a)), is
amended by adding at the end the following:
``Sec. 176. Mobile telephone use while operating motor
vehicles
``(a) Definition of Motor Vehicle.--In this section, the
term `motor vehicle' means a vehicle driven or drawn by
mechanical power and manufactured primarily for use on public
highways, but does not include a vehicle operated only on a
rail.
``(b) Withholding of Apportionments for Noncompliance.--
``(1) Fiscal year 2005.--The Secretary shall withhold 5
percent of the amount required to be apportioned to any State
under each of paragraphs (1), (3), and (4) of section 104(b)
on October 1, 2004, if the State does not meet the
requirements of paragraph (3) on that date.
``(2) Subsequent fiscal years.--The Secretary shall
withhold 10 percent of the amount required to be apportioned
to any State under each of paragraphs (1), (3), and (4) of
section 104(b) on October 1, 2005, and on October 1 of each
fiscal year thereafter, if the State does not meet the
requirements of paragraph (3) on that date.
``(3) Requirements.--
``(A) In general.--A State meets the requirements of this
paragraph if the State has enacted and is enforcing a law
that prohibits an individual from using a mobile telephone
(other than a mobile telephone used as described in
subparagraph (B)) while operating a motor vehicle, except in
the case of an emergency or other exceptional circumstance
(as determined by the State).
``(B) Hands-free devices.--A State law described in
subparagraph (A) may permit an individual operating a motor
vehicle to use a mobile telephone with a device that permits
hands-free operation of the telephone if the State determines
that such use does not pose a threat to public safety.
``(c) Period of Availability; Effect of Compliance and
Noncompliance.--
``(1) Period of availability of withheld funds.--Any funds
withheld under subsection (b) from apportionment to any State
shall remain available until the end of the fourth fiscal
year following the fiscal year for which the funds are
authorized to be appropriated.
``(2) Apportionment of withheld funds after compliance.--
If, before the last day of the period for which funds
withheld under subsection (b) from apportionment are to
remain available for apportionment to a State under paragraph
(1), the State meets the requirements of subsection (a)(3),
the Secretary shall, on the first day on which the State
meets the requirements, apportion to the State the funds
withheld under subsection (b) that remain available for
apportionment to the State.
``(3) Period of availability of subsequently apportioned
funds.--
``(A) In general.--Any funds apportioned under paragraph
(2) shall remain available for expenditure until the end of
the third fiscal year following the fiscal year in which the
funds are so apportioned.
``(B) Treatment of certain funds.--Any funds apportioned
under paragraph (2) that are not obligated at the end of the
period referred to in subparagraph (A) shall be allocated
equally among the States that meet the requirements of
subsection (a)(3).
``(4) Effect of noncompliance.--If, at the end of the
period for which funds withheld under subsection (b) from
apportionment are available for apportionment to a State
under paragraph (1), the State does not meet the requirements
of subsection (a)(3), the funds shall be allocated equally
among the States that meet the requirements of subsection
(a)(3).''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1814(c)), is amended by adding at the end the
following:
``176. Mobile telephone use while operating motor vehicles.''.
______
SA 2311. Mrs. CLINTON (for herself, Mr. Bingaman, Mr. Byrd, Mr. Dodd,
Mr. Sarbanes, Mr. Corzine, Mr. Lieberman, Mr. Rockefeller, Mr. Harkin,
and Ms. Stabenow) proposed an amendment to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; as follows:
At the appropriate place, insert the following:
SEC. __. SENSE OF THE SENATE CONCERNING THE OUTSOURCING OF
AMERICAN JOBS.
(a) Findings.--The Senate finds that--
(1) the President's Chairman of the Council of Economic
Advisors recently described the outsourcing of American jobs
overseas ``as a good thing'' and said, ``outsourcing is just
a new way of doing international trade'';
(2) the President's economic policies have either failed to
address or exacerbated the loss of manufacturing jobs that
our country has experienced over the last 3 years;
(3) American families are facing an economy with the fewest
jobs created since the Great Depression;
(4) 2,900,000 private sector jobs have been lost since
January 2001, including 2,800,000 manufacturing jobs;
(5) on several occasions the Senate has supported reforming
our tax laws to eliminate policies that make it cheaper to
move jobs overseas; and
(6) job creation is essential to the economic stability of
the United States and the Administration should pursue
policies that serve as an engine for economic growth, higher
wage jobs, and increased productivity.
(b) Sense of the Senate.--It is the sense of the Senate
that the Senate should--
(1) oppose any efforts to encourage the outsourcing of
American jobs overseas; and
(2) adopt legislation providing for a manufacturing tax
incentive to encourage job creation in the United States and
oppose efforts to make it cheaper to send jobs overseas.
______
SA 2312. Mr. CORZINE submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 724, strike line 19 and all that follows through
page 725, line 2, and insert the following:
(A) by redesignating clause (6) as clause (8);
(B) by inserting after ``involving school buses,'' at the
end of clause (5) the following: ``(6) to reduce aggressive
driving and to educate drivers about defensive driving, (7)
to reduce accidents resulting from fatigued and distracted
drivers, including distractions arising from the use of
electronic devices in vehicles,''; and
(C) by inserting ``aggressive driving, distracted
driving,'' after ``school bus accidents,''.
On page 731, between lines 12 and 13, insert the following:
``(5) Research on distracted, inattentive, and fatigued
drivers.--In conducting research under subsection (a)(3), the
Secretary shall carry out not less than 10 demonstration
projects to evaluate new and innovative means of combatting
traffic system problems caused by distracted, inattentive, or
fatigued drivers. The demonstration projects shall be in
addition to any other research carried out under this
subsection.
On page 770, between lines 7 and 8, insert the following:
``(2) Data on use of electronic devices.--The model data
elements required under paragraph (1) shall include data
elements, as determined appropriate by the Secretary in
consultation with the States and with appropriate elements of
the law enforcement community, on the impact on traffic
safety of the use of electronic devices while driving.
On page 770, line 8, strike ``(2)'' and insert ``(3)''.
On page 770, line 19, strike ``(3)'' and insert ``(4)''.
On page 770, line 23, strike ``(4)'' and insert ``(5)''.
______
SA 2313. Mr. ALLARD submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
In lieu of section 3032 insert the following:
SEC. 3032. EMPLOYEE PROTECTIVE ARRANGEMENTS.
Section 5333 is amended--
(1) in subsection (a), by striking ``(a) Prevailing Wages
Requirement.--''; and
[[Page S1032]]
(2) by striking subsection (b).
______
SA 2314. Mr. CAMPBELL (for himself and Mr. Inouye) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 20, between lines 6 and 7, insert the following:
``(__) Indian land.--The term `Indian land' means--
``(A) any land located within the boundaries of an Indian
reservation, pueblo, or rancheria;
``(B) any land not located within the boundaries of an
Indian reservation, pueblo, or rancheria, the title to which
is held--
``(i) in trust by the United States for the benefit of an
Indian tribe;
``(ii) by an Indian tribe, subject to restriction by the
United States against alienation; or
``(iii) by a dependent Indian community; and
``(C) land conveyed as part of an original conveyance to a
Native Corporation in accordance with the Alaska Native
Claims Settlement Act (43 U.S.C. 1601 et seq.).
``(__) Indian reservation.--The term `Indian reservation'
includes--
``(A) an Indian reservation in existence as of the date of
enactment of the Indian Tribal Surface Transportation
Improvement Act of 2003;
``(B) a public domain Indian allotment;
``(C) a former reservation in the State of Oklahoma;
``(D) a parcel of land conveyed as part of an original
conveyance to a Native Corporation in accordance with the
Alaska Native Claims Settlement Act (43 U.S.C. 1601 et seq.);
and
``(E) a dependent Indian community located within the
borders of the United States, regardless of whether the
community is located--
``(i) on original or acquired territory of the community;
or
``(ii) within or outside the boundaries of any particular
State.
On page 20, after line 25, add the following:
``(__) Indian tribe.--The term `Indian tribe' has the
meaning given the term in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b).
On page 31, between lines 15 and 16, insert the following:
``(__) Tribal transportation facility.--The term `tribal
transportation facility' means any transportation-related
project, facility, or physical infrastructure for an Indian
tribe that is funded under this title.
Beginning on page 321, strike line 14 and all that follows
through page 323, line 10, and insert the following:
``(B) Funding.--
``(i) Reservation of funds.--Notwithstanding any other
provision of law, there is authorized to be appropriated from
the Highway Trust Fund (other than the Mass Transit Account)
$15,000,000 for each of fiscal years 2004 through 2009 to
carry out planning, design, engineering, preconstruction,
construction, and inspection of projects to replace,''; and
(B) by adding at the end the following:
``(ii) Availability.--Funds made available to carry out
this subparagraph--
``(I) shall be available for obligation in the same manner
as if the funds were apportioned under chapter 1; and
``(II) shall not be available to the Bureau of Indian
Affairs to pay administrative costs.''; and
(5) by adding at the end the following:
``(f) Administration of Indian Reservation Roads.--
``(1) Contract authority.--
``(A) In general.--Notwithstanding any other provision of
law, for any fiscal year, not more than 6 percent of the
contract authority amounts made available from the Highway
Trust Fund to the Bureau of Indian Affairs under this title
shall be used to pay the administrative expenses of the
Bureau for the Indian reservation roads program (including
the administrative expenses relating to individual projects
that are associated with the program).
``(B) Availability.--Amounts made available to pay
administrative expenses under subparagraph (A) shall be made
available to an Indian tribal government, on the request of
the government, to be used for the associated administrative
functions assumed by the Indian tribe under contracts and
agreements entered into under the Indian Self-Determination
and Education Assistance Act (25 U.S.C. 450b et seq.).
``(2) Health and safety assurances.--Notwithstanding any
other provision of law, an Indian tribe or tribal
organization may commence road and bridge construction under
the Transportation Equity Act for the 21st Century (Public
Law 105-178) or its successor Act of Congress that is funded
through a contract or agreement under the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b et
seq.) if the Indian tribe or tribal organization--
``(A) provides assurances in the contract or agreement that
the construction will meet or exceed applicable health and
safety standards;
``(B) obtains the advance review of the plans and
specifications from a licensed professional that has
certified that the plans and specifications meet or exceed
the applicable health and safety standards; and
``(C) provides a copy of the certification under
subparagraph (B) to the Assistant Secretary for Indian
Affairs.''.
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. INDIAN TRIBAL SURFACE TRANSPORTATION.
(a) Funding for Indian Reservation Roads Program.--Section
1101(a)(8) of the Transportation Equity Act for the 21st
Century (112 Stat. 112) is amended by striking subparagraph
(A) and inserting the following:
``(A) Indian reservation roads.--
``(i) In general.--Subject to clause (ii), for Indian
reservation roads under section 204 of that title--
``(I) $330,000,000 for each of fiscal years 2004 through
2005;
``(II) $425,000,000 for each of fiscal years 2006 through
2007; and
``(III) $550,000,000 for each of fiscal years 2008 through
2009.
``(ii) Maintenance.--Of the amounts made available for each
fiscal year under clause (i), not less than $50,000,000 shall
be used--
``(I) to maintain roads on Indian land; and
``(II) to maintain tribal transportation facilities serving
Indian communities.''.
(b) Obligation Ceiling.--Section 1102(c)(1) of the
Transportation Equity Act for the 21st Century (23 U.S.C. 104
note; 112 Stat. 116) is amended--
(1) by striking ``distribute obligation'' and inserting the
following: ``distribute--
``(A) obligation'';
(2) by inserting ``and'' after the semicolon at the end;
and
(3) by adding at the end of the following:
``(B) for each of fiscal years 2004 through 2009, any
amount of obligation authority made available for Indian
reservation road bridges under section 202(d)(4), and for
Indian reservation roads under section 204, of title 23,
United States Code.''.
(c) Tribal Contracting Demonstration Project.--
(1) In general.--Section 202(d)(3) of title 23, United
States Code, is amended by adding at the end the following:
``(C) Federal lands highway program demonstration
project.--
``(i) In general.--The Secretary shall establish a
demonstration project under which all funds made available
under this chapter for Indian reservation roads and for
highway bridges located on Indian reservation roads as
provided for in subparagraph (A) shall be made available, on
the request of an affected Indian tribal government, to the
Indian tribal government for use in carrying out, in
accordance with the Indian Self-Determination and Education
Assistance Act (25 U.S.C. 450b et seq.), contracts and
agreements for the planning, research, engineering, and
construction described in that subparagraph.
``(ii) Exclusion of agency participation.--In accordance
with subparagraph (B), all funds for Indian reservation roads
and for highway bridges located on Indian reservation roads
to which clause (i) applies shall be paid without regard to
the organizational level at which the Federal lands highway
program has previously carried out the programs, functions,
services, or activities involved.
``(iii) Selection of participating tribes.--
``(I) Participants.--
``(aa) In general.--In addition to those Indian tribes or
tribal organizations already contracting or compacting for
any Indian reservation road function or program, for each
fiscal year, the Secretary may select up to 15 Indian tribes
from the applicant pool described in subclause (II) to
participate in the demonstration project carried out under
clause (i).
``(bb) Consortia.--Two or more Indian tribes that are
otherwise eligible to participate in a program or activity to
which this title applies may form a consortium to be
considered as a single Indian tribe for the purpose of
becoming part of the applicant pool under subclause (II).
``(cc) Funding.--An Indian tribe participating in the pilot
program under this subparagraph shall receive funding in an
amount equal to the sum of the funding that the Indian tribe
would otherwise receive in accordance with the funding
formula established under the other provisions of this
subsection, and an additional percentage of that amount equal
to the percentage of funds withheld during the applicable
fiscal year for the road program management costs of the
Bureau of Indian Affairs under subsection (f)(1).
``(II) Applicant pool.--The applicant pool described in
this subclause shall consist of each Indian tribe (or
consortium) that--
``(aa) has successfully completed the planning phase
described in subclause (IV);
``(bb) has requested participation in the demonstration
project under this subparagraph through the adoption of a
resolution or other official action by the tribal governing
body; and
``(cc) has demonstrated financial stability and financial
management capability in accordance with subclause (III)
during the 3-fiscal-year period immediately preceding the
fiscal year for which participation under this subparagraph
is being requested.
``(III) Criteria for determining financial stability and
financial management capacity.--For the purpose of subclause
(II), evidence that, during the 3-year period referred
[[Page S1033]]
to in subclause (II)(cc), an Indian tribe had no uncorrected
significant and material audit exceptions in the required
annual audit of the Indian tribe's self-determination
contracts or self-governance funding agreements with any
Federal agency shall be conclusive evidence of the required
stability and capability.
``(IV) Planning phase.--
``(aa) In general.--An Indian tribe (or consortium)
requesting participation in the demonstration project under
this subparagraph shall complete a planning phase that shall
include legal and budgetary research and internal tribal
government and organization preparation.
``(bb) Eligibility.--A tribe (or consortium) described in
item (aa) shall be eligible to receive a grant under this
subclause to plan and negotiate participation in a project
described in that item.
``(V) Report to congress.--Not later than September 30,
2006, the Secretary shall prepare and submit to Congress a
report describing the implementation of the demonstration
project and any recommendations for improving the project.''.
(2) Conforming amendments.--
(A) Section 4 of the Indian Self-Determination andEducation
Assistance Act (25 U.S.C. 450b(i)) is amended by striking
subsection (i) and inserting the following:
``(i) Secretary.--Except as otherwise provided, the term
`Secretary' means any 1 or more of the following, as
appropriate:
``(1) The Secretary of Health and Human Services.
``(2) The Secretary of the Interior.
``(3) The Secretary of Transportation.''
(B) Section 401 of the Indian Self-Determination and
Education Assistance Act (25 U.S.C. 458aa) is amended--
(i) by striking ``The Secretary'' and inserting ``(a) In
General.--The Secretary''; and
(ii) by adding at the end the following:
``(b) Secretary of Transportation.--Notwithstanding any
other provision of law, the Secretary of Transportation may
enter into self-governance compacts and annual funding
agreements with Indian tribes and tribal organizations to
carry out tribal transportation programs (including transit
programs) authorized under title 23 or 49, United States
Code, in accordance with the terms, conditions, and
procedures of this Act (including regulations promulgated
under this Act (part 1000 of title 25 Code of Federal
Regulations)).''.
(d) Indian Reservation Road Planning.--Section 204(j) of
title 23, United States Code, is amended in the first
sentence by striking ``2 percent'' and inserting ``5
percent''.
(e) Alaska Native Village Transportation Program.--Section
204 of title 23, United States Code (as amended by section
1816), is amended by adding at the end the following:
``(p) Alaska Native Village Transportation Program.--
``(1) Definitions.--In this subsection:
``(A) Commission.--The term `Commission' means the Alaska
Native Transportation Commission established under paragraph
(4)(A).
``(B) Native.--The term `Native' has the meaning given the
term in section 3 of the Alaska Native Claims Settlement Act
(43 U.S.C. 1602).
``(C) Native authority.--The term `Native authority' means
a governing board of a Regional Corporation, a regional
Native nonprofit entity, a tribal government, or an
alternative regional entity that is designated by the
Secretary as a Native regional transportation authority under
paragraph (3)(A).
``(D) Native village.--The term `Native village' has the
meaning given the term in section 3 of the Alaska Native
Claims Settlement Act (43 U.S.C. 1602).
``(E) Program.--The term `program' means the Alaska Native
village transportation program established under paragraph
(2).
``(F) Region.--The term `region' means a region in the
State specified in section 11(b)(1) of the Alaska Native
Claims Settlement Act (43 U.S.C 1610(b)(1)).
``(G) Regional corporation.--The term `Regional
Corporation' has the meaning given the term in section 2 of
the Alaska Native Claims Settlement Act (43 U.S.C. 1602).
``(H) State.--The term `State' means the State of Alaska.
``(2) Establishment.--The Secretary shall establish an
Alaska Native village transportation program to pay the costs
of planning, design, construction, and maintenance of road
and other surface transportation facilities identified in
accordance with this section.
``(3) Alaska native regional transportation authorities.--
``(A) Designation.--The Secretary shall designate a Native
authority for each region.
``(B) Responsibilities.--A Native authority shall, with
respect to each Native village or region, as appropriate,
covered by the Native authority--
``(i) prepare--
``(I) a regional transportation plan for the Native
village; and
``(II) a comprehensive transportation plan for the region;
``(ii) prioritize and select projects to be funded with
amounts made available under this section for the region;
``(iii) coordinate transportation planning with other
regions, the State, and other governmental entities; and
``(iv) ensure that transportation projects under this
section are constructed and implemented.
``(4) Alaska native transportation commission.--
``(A) Establishment.--As soon as practicable after the date
of enactment of this subsection, the Secretary shall
establish a commission, to be known as the `Statewide Alaska
Native Transportation Commission', consisting of 1
representative selected from each Native authority designated
by the Secretary under paragraph (3)(A).
``(B) Duties.--The Commission shall--
``(i) allocate funds made available under this section
among regions in accordance with paragraph (5);
``(ii) coordinate transportation planning among the
regions, the State, and other governmental entities; and
``(iii) facilitate transportation projects involving 2 or
more regions.
``(5) Allocation of funding.--
``(A) Fiscal year 2004.--Funds made available for the
program for fiscal year 2004 shall be allocated to each
region by the Secretary as follows:
``(i) 50 percent of the funds shall be allocated based on
the proportion that--
``(I) the Native population of Native villages in the
region; bears to
``(II) the Native population of all Native villages in the
State.
``(ii) 50 percent of the funds shall be allocated as
equally as practicable among all Native villages in the
region.
``(B) Fiscal year 2005 and subsequent fiscal years.--Funds
made available for the program for fiscal year 2005 and each
fiscal year thereafter shall be allocated among regions by
the Commission, in accordance with a formula to be developed
by the Commission after taking into consideration--
``(i) the health, safety, and economic needs of each region
for transportation infrastructure, as identified through the
regional planning process;
``(ii) the relative costs of construction in each region;
and
``(iii) the extent to which transportation projects for
each region are ready to proceed to design and construction.
``(6) Tribal contracting.--Funds allocated among regions
under this subsection may be contracted or compacted in
accordance with the Indian Self Determination and Education
Assistance Act (25 U.S.C. 450b et seq.).
``(7) Matching funds.--Notwithstanding any other provision
of law, funds made available under this subsection may be
used to pay a matching share required for receipt of any
other Federal funds that would further a purpose for which
allocations under this section are made.
``(8) Maintenance.--
``(A) In general.--At the request of a Native authority or
Native village, the Secretary may increase an amount of funds
provided under this subsection for a construction project by
an additional amount equal to 100 percent of the total cost
of construction of the project, as determined by the
Secretary.
``(B) Use of retained funds.--An increase in funds provided
under subparagraph (A) for a construction project shall be
retained, and used only, for future maintenance of the
construction project.''.
(f) Indian Reservation Road Safety Program.--
(1) In general.--Chapter 4 of title 23, United States Code,
is amended by adding at the end the following:
``SEC. 412. INDIAN RESERVATION ROAD SAFETY PROGRAM.
``(a) Program.--
``(1) In general.--The Secretary shall carry out a program
to provide to eligible Indian tribes (as determined by the
Secretary) competitive grants for use in establishing tribal
transportation safety programs on--
``(A) Indian reservations; and
``(B) other land under the jurisdiction of an Indian tribe.
``(2) Use of funds.--Funds from a grant provided under
paragraph (1) may be used to carry out a project or
activity--
``(A) to prevent the operation of motor vehicles by
intoxicated individuals;
``(B) to promote increased seat belt use rates;
``(C) to eliminate hazardous locations and conditions on,
or hazardous sections or elements of--
``(i) a public road;
``(ii) a public surface transportation facility;
``(iii) a publicly-owned bicycle or pedestrian pathway or
trail; or
``(iv) a traffic calming measure;
``(D) to eliminate hazards relating to railway-highway
crossings; or
``(E) to increase transportation safety by any other means,
as determined by the Secretary.
``(b) Federal Share.--The Federal share of the cost of
carrying out the program under this section shall be 100
percent.
``(c) Funding.--Notwithstanding any other provision of law,
there are authorized to be appropriated from the Highway
Trust Fund (other than the Mass Transit Account) to carry out
this section--
``(1) $6,000,000 for each of fiscal years 2004 and 2005;
and
``(2) $9,000,000 for each of fiscal years 2006 through
2009.''.
(2) Conforming amendment.--The analysis for chapter 4 of
title 23, United States Code, is amended by inserting after
the item relating to section 411 the following:
``412. Indian reservation road safety program.''.
(g) Indian Reservation Rural Transit Program.--Section 5311
of title 49, United
[[Page S1034]]
States Code, is amended by adding at the end the following:
``(k) Indian Reservation Rural Transit Program.--
``(1) In general.--The Secretary shall establish and carry
out a program to provide competitive grants to Indian tribes
to establish rural transit programs on reservations or other
land under the jurisdiction of the Indian tribes.
``(2) Amount of grants.--The amount of a grant provided to
an Indian tribe under subparagraph (A) shall be based on the
need of the Indian tribe, as determined by the Secretary of
Transportation.
``(3) Authorization of funding.--For each of fiscal years
2004 through 2009, of the amount made available under section
5338, $15,000,000 shall be made available to carry out this
subsection.''.
(h) Commercial Vehicle Driving Training Program.--
(1) Definitions.--In this section:
(A) Commercial vehicle driving.--The term ``commercial
vehicle driving'' means the driving of--
(i) a vehicle that is a tractor-trailer truck; or
(ii) any other vehicle (such as a bus or a vehicle used for
the purpose of construction) the driving of which requires a
commercial license.
(B) Secretary.--The term ``Secretary'' means the Secretary
of Labor.
(2) Grants.--The Secretary shall provide grants, on a
competitive basis, to entities described in paragraph (3)(A)
to support programs providing training and certificates
leading to the licensing of Native Americans with respect to
commercial vehicle driving.
(3) Eligibility.--To be eligible to receive a grant under
paragraph (1), an entity shall--
(A) be a tribal college or university (as defined in
section 316(b)(3) of the Higher Education Act (20 U.S.C.
1059(b)(3)); and
(B) prepare and submit to the Secretary an application at
such time, in such manner, and containing such information as
the Secretary may require.
(4) Priority.--In providing grants under paragraph (1), the
Secretary shall give priority to grant applications that--
(A) propose training that exceeds proposed minimum
standards for training tractor-trailer drivers of the
Department of Transportation;
(B) propose training that exceeds the entry level truck
driver certification standards set by the Professional Truck
Driver Institute; and
(C) propose an education partnership with a private
trucking firm, trucking association, or similar entity in
order to ensure the effectiveness of the grant program under
this section.
(5) Authorization of appropriations.--There is authorized
to be appropriated to carry out this subsection $5,000,000
for the period of fiscal years 2004 through 2009.
______
SA 2315. Mr. KYL submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Strike title V and insert the following:
TITLE V--HIGHWAY REAUTHORIZATION AND EXCISE TAX SIMPLIFICATION
SEC. 5000. SHORT TITLE; AMENDMENT OF 1986 CODE.
(a) Short Title.--This title may be cited as the ``Highway
Reauthorization and Excise Tax Simplification Act of 2004''.
(b) Amendment of 1986 Code.--Except as otherwise expressly
provided, whenever in this title an amendment or repeal is
expressed in terms of an amendment to, or repeal of, a
section or other provision, the reference shall be considered
to be made to a section or other provision of the Internal
Revenue Code of 1986.
Subtitle A--Trust Fund Reauthorization
SEC. 5101. EXTENSION OF AUTHORIZATION FOR USE OF TRUST FUNDS
FOR OBLIGATIONS UNDER TEA-21.
(a) Highway Trust Fund.--
(1) In general.--Paragraph (1) of section 9503(c) is
amended--
(A) in the matter before subparagraph (A), by striking
``2004'' and inserting ``2005'',
(B) by striking ``or'' at the end of subparagraph (E),
(C) by striking the period at the end of subparagraph (F)
and inserting ``, or'',
(D) by inserting after subparagraph (F), the following new
subparagraph:
``(G) authorized to be paid out of the Highway Trust Fund
under the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004.'', and
(E) in the matter after subparagraph (G), as added by
subparagraph (D), by striking ``Surface Transportation
Extension Act of 2003'' and inserting ``Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004''.
(2) Mass transit account.--Paragraph (3) of section 9503(e)
is amended--
(A) in the matter before subparagraph (A), by striking
``2004'' and inserting ``2005'',
(B) by striking ``or'' at the end of subparagraph (C),
(C) by striking the period at the end of subparagraph (D)
and inserting ``, or'',
(D) by inserting after subparagraph (D), the following new
subparagraph:
``(E) the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004,'', and
(E) in the matter after subparagraph (E), as added by
subparagraph (D), by striking ``Surface Transportation
Extension Act of 2003'' and inserting ``Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004''.
(3) Exception to limitation on transfers.--Subparagraph (B)
of section 9503(b)(5) is amended by striking ``2004'' and
inserting ``2005''.
(b) Aquatic Resources Trust Fund.--
(1) Sport fish restoration account.--Paragraph (2) of
section 9504(b) (relating to Sport Fish Restoration Account)
is amended by striking ``Surface Transportation Extension Act
of 2003'' each place it appears and inserting ``Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2004''.
(2) Boat safety account.--Section 9504(c) (relating to
expenditures from Boat Safety Account) is amended--
(A) by striking ``2004'' and inserting ``2005'', and
(B) by striking ``Surface Transportation Extension Act of
2003'' and inserting ``Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2004''.
(3) Exception to limitation on transfers.--Paragraph (2) of
section 9504(d) (relating to limitation on transfers to
Aquatic Resources Trust Fund) is amended by striking ``2004''
and inserting ``2005''.
(4) Technical correction.--The last sentence of paragraph
(2) of section 9504(b) is amended by striking ``subparagraph
(B)'', and inserting ``subparagraph (C)''.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
(d) Temporary Rule Regarding Adjustments.--During the
period beginning on the date of the enactment of this Act and
ending on February 28, 2005, for purposes of making any
estimate under section 9503(d) of the Internal Revenue Code
of 1986 of receipts of the Highway Trust Fund, the Secretary
of the Treasury shall treat--
(1) each expiring provision of paragraphs (1) through (4)
of section 9503(b) of such Code which is related to
appropriations or transfers to such Fund to have been
extended through the end of the 24-month period referred to
in section 9503(d)(1)(B) of such Code, and
(2) with respect to each tax imposed under the sections
referred to in section 9503(b)(1) of such Code, the rate of
such tax during the 24-month period referred to in section
9503(d)(1)(B) of such Code to be the same as the rate of such
tax as in effect on the date of the enactment of this Act.
SEC. 5102. TRANSFER OF CERTAIN ETHANOL TAXES INTO THE HIGHWAY
TRUST FUND.
(a) In General.--Section 9503(b)(4) is amended--
(1) by adding ``or'' at the end of subparagraph (C),
(2) by striking the comma at the end of subparagraph
(D)(iii) and inserting a period, and
(3) by striking subparagraphs (E) and (F).
(b) Effective Date.--The amendments made by this section
shall apply to fuel sold or used after September 30, 2003.
SEC. 5103. DEDICATION OF GAS GUZZLER TAX TO HIGHWAY TRUST
FUND.
(a) In General.--Section 9503(b)(1) (relating to transfer
to Highway Trust Fund of amounts equivalent to certain taxes)
is amended by redesignating subparagraphs (C), (D), and (E)
as subparagraphs (D), (E), and (F), respectively, and by
inserting after subparagraph (B) the following new
subparagraph:
``(C) section 4064 (relating to gas guzzler tax),''.
(b) Uniform Application of Tax.--Subparagraph (A) of
section 4064(b)(1) (defining automobile) is amended by
striking the second sentence.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5104. INTEREST ON UNEXPENDED BALANCES CREDITED TO TRUST
FUND.
(a) In General.--Section 9503 (relating to the Highway
Trust Fund) is amended by striking subsection (f).
(b) Effective Date.--The amendment made by this section
shall take effect on the date of the enactment of this Act.
Subtitle B--Fuel Fraud Prevention
SEC. 5200. SHORT TITLE.
This subtitle may be cited as the ``Fuel Fraud Prevention
Act of 2004''.
PART I--AVIATION JET FUEL
SEC. 5211. TAXATION OF AVIATION-GRADE KEROSENE.
(a) Rate of Tax.--
(1) In general.--Subparagraph (A) of section 4081(a)(2) is
amended by striking ``and'' at the end of clause (ii), by
striking the period at the end of clause (iii) and inserting
``, and'', and by adding at the end the following new clause:
``(iv) in the case of aviation-grade kerosene, 21.8 cents
per gallon.''.
(2) Commercial aviation.--Paragraph (2) of section 4081(a)
is amended by adding at the end the following new
subparagraph:
``(C) Taxes imposed on fuel used in commercial aviation.--
In the case of aviation-grade kerosene which is removed from
any refinery or terminal directly into the fuel tank of an
aircraft for use in commercial aviation, the rate of tax
under subparagraph (A)(iv) shall be 4.3 cents per gallon.''.
[[Page S1035]]
(3) Nontaxable uses.--
(A) In general.--Section 4082 is amended by redesignating
subsections (e) and (f) as subsections (f) and (g),
respectively, and by inserting after subsection (d) the
following new subsection:
``(e) Aviation-Grade Kerosene.--In the case of aviation-
grade kerosene which is exempt from the tax imposed by
section 4041(c) (other than by reason of a prior imposition
of tax) and which is removed from any refinery or terminal
directly into the fuel tank of an aircraft, the rate of tax
under section 4081(a)(2)(A)(iv) shall be zero.''.
(B) Conforming amendments.--
(i) Subsection (b) of section 4082 is amended by adding at
the end the following new flush sentence: ``The term
`nontaxable use' does not include the use of aviation-grade
kerosene in an aircraft.''.
(ii) Section 4082(d) is amended by striking paragraph (1)
and by redesignating paragraphs (2) and (3) as paragraphs (1)
and (2), respectively.
(4) Nonaircraft use of aviation-grade kerosene.--
(A) In general.--Subparagraph (B) of section 4041(a)(1) is
amended by adding at the end the following new sentence:
``This subparagraph shall not apply to aviation-grade
kerosene.''.
(B) Conforming amendment.--The heading for paragraph (1) of
section 4041(a) is amended by inserting ``and kerosene''
after ``diesel fuel''.
(b) Commercial Aviation.--Section 4083 is amended
redesignating subsections (b) and (c) as subsections (c) and
(d), respectively, and by inserting after subsection (a) the
following new subsection:
``(b) Commercial Aviation.--For purposes of this subpart,
the term `commercial aviation' means any use of an aircraft
in a business of transporting persons or property for
compensation or hire by air, unless properly allocable to any
transportation exempt from the taxes imposed by section 4261
and 4271 by reason of section 4281 or 4282 or by reason of
section 4261(h).''.
(c) Refunds.--
(1) In general.--Paragraph (4) of section 6427(l) is
amended to read as follows:
``(4) Refunds for aviation-grade kerosene.--
``(A) No refund of certain taxes on fuel used in commercial
aviation.--In the case of aviation-grade kerosene used in
commercial aviation (as defined in section 4083(b)) (other
than supplies for vessels or aircraft within the meaning of
section 4221(d)(3)), paragraph (1) shall not apply to so much
of the tax imposed by section 4081 as is attributable to--
``(i) the Leaking Underground Storage Tank Trust Fund
financing rate imposed by such section, and
``(ii) so much of the rate of tax specified in section
4081(a)(2)(A)(iv) as does not exceed 4.3 cents per gallon.
``(B) Payment to ultimate, registered vendor.--With respect
to aviation-grade kerosene, if the ultimate purchaser of such
kerosene waives (at such time and in such form and manner as
the Secretary shall prescribe) the right to payment under
paragraph (1) and assigns such right to the ultimate vendor,
then the Secretary shall pay the amount which would be paid
under paragraph (1) to such ultimate vendor, but only if such
ultimate vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).''.
(2) Time for filing claims.--Paragraph (4) of section
6427(i) is amended by striking ``subsection (l)(5)'' and
inserting ``paragraph (4)(B) or (5) of subsection (l)''.
(3) Conforming amendment.--Subparagraph (B) of section
6427(l)(2) is amended to read as follows:
``(B) in the case of aviation-grade kerosene--
``(i) any use which is exempt from the tax imposed by
section 4041(c) other than by reason of a prior imposition of
tax, or
``(ii) any use in commercial aviation (within the meaning
of section 4083(b)).''.
(d) Repeal of Prior Taxation of Aviation Fuel.--
(1) In general.--Part III of subchapter A of chapter 32 is
amended by striking subpart B and by redesignating subpart C
as subpart B.
(2) Conforming amendments.--
(A) Section 4041(c) is amended to read as follows:
``(c) Aviation-Grade Kerosene.--
``(1) In general.--There is hereby imposed a tax upon
aviation-grade kerosene--
``(A) sold by any person to an owner, lessee, or other
operator of an aircraft for use in such aircraft, or
``(B) used by any person in an aircraft unless there was a
taxable sale of such fuel under subparagraph (A).
``(2) Exemption for previously taxed fuel.--No tax shall be
imposed by this subsection on the sale or use of any
aviation-grade kerosene if tax was imposed on such liquid
under section 4081 and the tax thereon was not credited or
refunded.
``(3) Rate of tax.--The rate of tax imposed by this
subsection shall be the rate of tax specified in section
4081(a)(2)(A)(iv) which is in effect at the time of such sale
or use.''.
(B) Section 4041(d)(2) is amended by striking ``section
4091'' and inserting ``section 4081''.
(C) Section 4041 is amended by striking subsection (e).
(D) Section 4041 is amended by striking subsection (i).
(E) Section 4041(m)(1) is amended to read as follows:
``(1) In general.--In the case of the sale or use of any
partially exempt methanol or ethanol fuel, the rate of the
tax imposed by subsection (a)(2) shall be--
``(A) after September 30, 1997, and before September 30,
2009--
``(i) in the case of fuel none of the alcohol in which
consists of ethanol, 9.15 cents per gallon, and
``(ii) in any other case, 11.3 cents per gallon, and
``(B) after September 30, 2009--
``(i) in the case of fuel none of the alcohol in which
consists of ethanol, 2.15 cents per gallon, and
``(ii) in any other case, 4.3 cents per gallon.''.
(F) Sections 4101(a), 4103, 4221(a), and 6206 are each
amended by striking ``, 4081, or 4091'' and inserting ``or
4081''.
(G) Section 6416(b)(2) is amended by striking ``4091 or''.
(H) Section 6416(b)(3) is amended by striking ``or 4091''
each place it appears.
(I) Section 6416(d) is amended by striking ``or to the tax
imposed by section 4091 in the case of refunds described in
section 4091(d)''.
(J) Section 6427(j)(1) is amended by striking ``, 4081, and
4091'' and inserting ``and 4081''.
(K)(i) Section 6427(l)(1) is amended to read as follows:
``(1) In general.--Except as otherwise provided in this
subsection and in subsection (k), if any diesel fuel or
kerosene on which tax has been imposed by section 4041 or
4081 is used by any person in a nontaxable use, the Secretary
shall pay (without interest) to the ultimate purchaser of
such fuel an amount equal to the aggregate amount of tax
imposed on such fuel under section 4041 or 4081, as the case
may be, reduced by any refund paid to the ultimate vendor
under paragraph (4)(B).''.
(ii) Paragraph (5)(B) of section 6427(l) is amended by
striking ``Paragraph (1)(A) shall not apply to kerosene'' and
inserting ``Paragraph (1) shall not apply to kerosene (other
than aviation-grade kerosene)''.
(L) Subparagraph (B) of section 6724(d)(1) is amended by
striking clause (xv) and by redesignating the succeeding
clauses accordingly.
(M) Paragraph (2) of section 6724(d) is amended by striking
subparagraph (W) and by redesignating the succeeding
subparagraphs accordingly.
(N) Paragraph (1) of section 9502(b) is amended by adding
``and'' at the end of subparagraph (B) and by striking
subparagraphs (C) and (D) and inserting the following new
subparagraph:
``(C) section 4081 with respect to aviation gasoline and
aviation-grade kerosene, and''.
(O) The last sentence of section 9502(b) is amended to read
as follows:
``There shall not be taken into account under paragraph (1)
so much of the taxes imposed by section 4081 as are
determined at the rate specified in section 4081(a)(2)(B).''.
(P) Subsection (b) of section 9508 is amended by striking
paragraph (3) and by redesignating paragraphs (4) and (5) as
paragraphs (3) and (4), respectively.
(Q) Section 9508(c)(2)(A) is amended by striking ``sections
4081 and 4091'' and inserting ``section 4081''.
(R) The table of subparts for part III of subchapter A of
chapter 32 is amended to read as follows:
``Subpart A. Motor and aviation fuels.
``Subpart B. Special provisions applicable to fuels tax.''
. (S) The heading for subpart A of part III of subchapter A
of chapter 32 is amended to read as follows:
``Subpart A--Motor and Aviation Fuels''.
(T) The heading for subpart B of part III of subchapter A
of chapter 32 is amended to read as follows:
``Subpart B--Special Provisions Applicable to Fuels Tax''.
(g) Other Amendments.--
(1) Section 4081(c) is amended by adding at the end the
following new flush sentence:
``In the case of any taxable fuel which is aviation-grade
kerosene, this subsection shall not apply and the rules of
section 4091(c) (as in effect on the day before the date of
the enactment of the Fuel Fraud Prevention Act of 2004) shall
apply.''.
(2) For purposes of the Internal Revenue Code of 1986, any
reference to section 4091(c) shall be treated as a reference
to the rules of such section as in effect on the date before
the date of the enactment of this Act.
(f) Effective Date.--The amendments made by this section
shall apply to aviation-grade kerosene removed, entered, or
sold after September 30, 2004.
(g) Floor Stocks Tax.--
(1) In general.--There is hereby imposed on aviation-grade
kerosene held on October 1, 2004, by any person a tax equal
to--
(A) the tax which would have been imposed before such date
on such kerosene had the amendments made by this section been
in effect at all times before such date, reduced by
(B) the tax imposed before such date under section 4091 of
the Internal Revenue Code of 1986, as in effect on the day
before the date of the enactment of this Act.
(2) Liability for tax and method of payment.--
(A) Liability for tax.--The person holding the kerosene on
October 1, 2004, to which the tax imposed by paragraph (1)
applies shall be liable for such tax.
[[Page S1036]]
(B) Method and time for payment.--The tax imposed by
paragraph (1) shall be paid at such time and in such manner
as the Secretary of the Treasury shall prescribe, including
the nonapplication of such tax on de minimis amounts of
kerosene.
(3) Transfer of floor stock tax revenues to trust funds.--
For purposes of determining the amount transferred to any
trust fund, the tax imposed by this subsection shall be
treated as imposed by section 4081 of the Internal Revenue
Code of 1986--
(A) at the Leaking Underground Storage Tank Trust Fund
financing rate under such section to the extent of 0.1 cents
per gallon, and
(B) at the rate under section 4081(a)(2)(A)(iv) to the
extent of the remainder.
(4) Held by a person.--For purposes of this section,
kerosene shall be considered as held by a person if title
thereto has passed to such person (whether or not delivery to
the person has been made).
(5) Other laws applicable.--All provisions of law,
including penalties, applicable with respect to the tax
imposed by section 4081 of such Code shall, insofar as
applicable and not inconsistent with the provisions of this
subsection, apply with respect to the floor stock tax imposed
by paragraph (1) to the same extent as if such tax were
imposed by such section.
SEC. 5212. TRANSFER OF CERTAIN AMOUNTS FROM THE AIRPORT AND
AIRWAY TRUST FUND TO THE HIGHWAY TRUST FUND TO
REFLECT HIGHWAY USE OF JET FUEL.
(a) In General.--Section 9502(d) is amended by adding at
the end the following new paragraph:
``(7) Transfers from the trust fund to the highway trust
fund to reflect highway use of jet fuel.--
``(A) In general.--The Secretary shall pay from the Airport
and Airway Trust Fund into the Highway Trust Fund--
``(i) $395,000,000 in fiscal year 2005,
``(ii) $425,000,000 in fiscal year 2006,
``(iii) $429,000,000 in fiscal year 2007,
``(iv) $432,000,000 in fiscal year 2008, and
``(v) $435,000,000 in fiscal year 2009.
``(B) Amounts transferred to mass transit account.--The
Secretary shall transfer 11 percent of the amounts paid into
the Highway Trust Fund under subparagraph (A) to the Mass
Transit Account established under section 9503(e).''.
(b) Conforming Amendments.--
(1) Subsection (a) of section 9503 is amended--
(A) by striking ``appropriated or credited'' and inserting
``paid, appropriated, or credited'', and
(B) by striking ``or section 9602(b)'' and inserting ``,
section 9502(d)(7), or section 9602(b)''.
(2) Subsection (e)(1) of section 9503 is amended by
striking ``or section 9602(b)'' and inserting ``, section
9502(d)(7), or section 9602(b)''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART II--DYED FUEL
SEC. 5221. DYE INJECTION EQUIPMENT.
(a) In General.--Section 4082(a)(2) (relating to exemptions
for diesel fuel and kerosene) is amended by inserting ``by
mechanical injection'' after ``indelibly dyed''.
(b) Dye Injector Security.--Not later than June 30, 2004,
the Secretary of the Treasury shall issue regulations
regarding mechanical dye injection systems described in the
amendment made by subsection (a), and such regulations shall
include standards for making such systems tamper resistant.
(c) Penalty for Tampering With or Failing To Maintain
Security Requirements for Mechanical Dye Injection Systems.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties) is amended by adding after
section 6715 the following new section:
``SEC. 6715A. TAMPERING WITH OR FAILING TO MAINTAIN SECURITY
REQUIREMENTS FOR MECHANICAL DYE INJECTION
SYSTEMS.
``(a) Imposition of Penalty--
``(1) Tampering.--If any person tampers with a mechanical
dye injection system used to indelibly dye fuel for purposes
of section 4082, then such person shall pay a penalty in
addition to the tax (if any).
``(2) Failure to maintain security requirements.--If any
operator of a mechanical dye injection system used to
indelibly dye fuel for purposes of section 4082 fails to
maintain the security standards for such system as
established by the Secretary, then such operator shall pay a
penalty.
``(b) Amount of Penalty.--The amount of the penalty under
subsection (a) shall be--
``(1) for each violation described in paragraph (1), the
greater of--
``(A) $25,000, or
``(B) $10 for each gallon of fuel involved, and
``(2) for each--
``(A) failure to maintain security standards described in
paragraph (2), $1,000, and
``(B) failure to correct a violation described in paragraph
(2), $1,000 per day for each day after which such violation
was discovered or such person should have reasonably known of
such violation.
``(c) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68 is amended by adding after the
item related to section 6715 the following new item:
``Sec. 6715A. Tampering with or failing to maintain security
requirements for mechanical dye injection systems.''.
(d) Effective Date.--The amendments made by subsections (a)
and (c) shall take effect 180 days after the date on which
the Secretary issues the regulations described in subsection
(b).
SEC. 5222. ELIMINATION OF ADMINISTRATIVE REVIEW FOR TAXABLE
USE OF DYED FUEL.
(a) In General.--Section 6715 is amended by inserting at
the end the following new subsection:
``(e) No Administrative Appeal for Third and Subsequent
Violations.--In the case of any person who is found to be
subject to the penalty under this section after a chemical
analysis of such fuel and who has been penalized under this
section at least twice after the date of the enactment of
this subsection, no administrative appeal or review shall be
allowed with respect to such finding except in the case of a
claim regarding--
``(1) fraud or mistake in the chemical analysis, or
``(2) mathematical calculation of the amount of the
penalty.''.
(b) Effective Date.--The amendment made by this section
shall apply to penalties assessed after the date of the
enactment of this Act.
SEC. 5223. PENALTY ON UNTAXED CHEMICALLY ALTERED DYED FUEL
MIXTURES.
(a) In General.--Section 6715(a) (relating to dyed fuel
sold for use or used in taxable use, etc.) is amended by
striking ``or'' in paragraph (2), by inserting ``or'' at the
end of paragraph (3), and by inserting after paragraph (3)
the following new paragraph:
``(4) any person who has knowledge that a dyed fuel which
has been altered as described in paragraph (3) sells or holds
for sale such fuel for any use which the person knows or has
reason to know is not a nontaxable use of such fuel,''.
(b) Conforming Amendment.--Section 6715(a)(3) is amended by
striking ``alters, or attempts to alter,'' and inserting
``alters, chemically or otherwise, or attempts to so
alter,''.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5224. TERMINATION OF DYED DIESEL USE BY INTERCITY BUSES.
(a) In General.--Paragraph (3) of section 4082(b) (relating
to nontaxable use) is amended to read as follows:
``(3) any use described in section
4041(a)(1)(C)(iii)(II).''.
(b) Ultimate Vendor Refund.--Subsection (b) of section 6427
is amended by adding at the end the following new paragraph:
``(4) Refunds for use of diesel fuel in certain intercity
buses.--
``(A) In general.--With respect to any fuel to which
paragraph (2)(A) applies, if the ultimate purchaser of such
fuel waives (at such time and in such form and manner as the
Secretary shall prescribe) the right to payment under
paragraph (1) and assigns such right to the ultimate vendor,
then the Secretary shall pay the amount which would be paid
under paragraph (1) to such ultimate vendor, but only if such
ultimate vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).
``(B) Credit cards.--For purposes of this paragraph, if the
sale of such fuel is made by means of a credit card, the
person extending credit to the ultimate purchaser shall be
deemed to be the ultimate vendor.''.
(c) Payment of Refunds.--Subparagraph (A) of section
6427(i)(4), as amended by section 5211 of this Act, is
amended by inserting ``subsections (b)(4) and'' after ``filed
under''.
(d) Effective Date.--The amendments made by this section
shall apply to fuel sold after September 30, 2004.
PART III--MODIFICATION OF INSPECTION OF RECORDS PROVISIONS
SEC. 5231. AUTHORITY TO INSPECT ON-SITE RECORDS.
(a) In General.--Section 4083(d)(1)(A) (relating to
administrative authority), as amended by section 5211 of this
Act, is amended by striking ``and'' at the end of clause (i)
and by inserting after clause (ii) the following new clause:
``(iii) inspecting any books and records and any shipping
papers pertaining to such fuel, and''.
(b) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5232. ASSESSABLE PENALTY FOR REFUSAL OF ENTRY.
(a) In General.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5221 of this Act, is amended by adding at the end the
following new section:
[[Page S1037]]
``SEC. 6717. REFUSAL OF ENTRY.
``(a) In General.--In addition to any other penalty
provided by law, any person who refuses to admit entry or
refuses to permit any other action by the Secretary
authorized by section 4083(d)(1) shall pay a penalty of
$1,000 for such refusal.
``(b) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(b) Conforming Amendments.--
(1) Section 4083(d)(3), as amended by section 5211 of this
Act, is amended--
(A) by striking ``entry.--The penalty'' and inserting:
``entry.--
``(A) Forfeiture.--The penalty'', and
(B) by adding at the end the following new subparagraph:
``(B) Assessable penalty.--For additional assessable
penalty for the refusal to admit entry or other refusal to
permit an action by the Secretary authorized by paragraph
(1), see section 6717.''.
(2) The table of sections for part I of subchapter B of
chapter 68, as amended by section 5221 of this Act, is
amended by adding at the end the following new item:
``Sec. 6717. Refusal of entry.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART IV--REGISTRATION AND REPORTING REQUIREMENTS
SEC. 5241. REGISTRATION OF PIPELINE OR VESSEL OPERATORS
REQUIRED FOR EXEMPTION OF BULK TRANSFERS TO
REGISTERED TERMINALS OR REFINERIES.
(a) In General.--Section 4081(a)(1)(B) (relating to
exemption for bulk transfers to registered terminals or
refineries) is amended--
(1) by inserting ``by pipeline or vessel'' after
``transferred in bulk'', and
(2) by inserting ``, the operator of such pipeline or
vessel,'' after ``the taxable fuel''.
(b) Civil Penalty for Carrying Taxable Fuels by
Nonregistered Pipelines or Vessels.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5232 of this Act, is amended by adding at the end the
following new section:
``SEC. 6718. CARRYING TAXABLE FUELS BY NONREGISTERED
PIPELINES OR VESSELS.
``(a) Imposition of Penalty.--If any person knowingly
transfers any taxable fuel (as defined in section 4083(a)(1))
in bulk pursuant to section 4081(a)(1)(B) to an unregistered,
such person shall pay a penalty in addition to the tax (if
any).
``(b) Amount of Penalty.--
``(1) In general.--Except as provided in paragraph (2), the
amount of the penalty under subsection (a) on each act shall
be an amount equal to the greater of--
``(A) $10,000, or
``(B) $1 per gallon.
``(2) Multiple violations.--In determining the penalty
under subsection (a) on any person, paragraph (1) shall be
applied by increasing the amount in paragraph (1) by the
product of such amount and the number of prior penalties (if
any) imposed by this section on such person (or a related
person or any predecessor of such person or related person).
``(c) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.
``(d) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5232 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6718. Carrying taxable fuels by nonregistered pipelines or
vessels.''.
(c) Publication of Registered Persons.--Not later than June
30, 2004, the Secretary of the Treasury shall publish a list
of persons required to be registered under section 4101 of
the Internal Revenue Code of 1986.
(d) Effective Date.--The amendments made by subsections (a)
and (b) shall take effect on October 1, 2004.
SEC. 5242. DISPLAY OF REGISTRATION.
(a) In General.--Subsection (a) of section 4101 (relating
to registration) is amended--
(1) by striking ``Every'' and inserting the following:
``(1) In general.--Every'', and
(2) by adding at the end the following new paragraph:
``(2) Display of registration.--Every operator of a vessel
required by the Secretary to register under this section
shall display proof of registration through an electronic
identification device prescribed by the Secretary on each
vessel used by such operator to transport any taxable
fuel.''.
(b) Civil Penalty for Failure to Display Registration.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5241 of this Act, is amended by adding at the end the
following new section:
``SEC. 6719. FAILURE TO DISPLAY REGISTRATION OF VESSEL.
``(a) Failure to Display Registration.--Every operator of a
vessel who fails to display proof of registration pursuant to
section 4101(a)(2) shall pay a penalty of $500 for each such
failure. With respect to any vessel, only one penalty shall
be imposed by this section during any calendar month.
``(b) Multiple Violations.--In determining the penalty
under subsection (a) on any person, subsection (a) shall be
applied by increasing the amount in subsection (a) by the
product of such amount and the number of prior penalties (if
any) imposed by this section on such person (or a related
person or any predecessor of such person or related person).
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5241 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6719. Failure to display registration of vessel.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5243. REGISTRATION OF PERSONS WITHIN FOREIGN TRADE
ZONES, ETC..
(a) In General.--Section 4101(a), as amended by section
5242 of this Act, is amended by redesignating paragraph (2)
as paragraph (3), and by inserting after paragraph (1) the
following new paragraph:
``(2) Registration of persons within foreign trade zones,
etc..--The Secretary shall require registration by any person
which--
``(A) operates a terminal or refinery within a foreign
trade zone or within a customs bonded storage facility, or
``(B) holds an inventory position with respect to a taxable
fuel in such a terminal.''.
(b) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5244. PENALTIES FOR FAILURE TO REGISTER AND FAILURE TO
REPORT.
(a) Increased Penalty.--Subsection (a) of section 7272
(relating to penalty for failure to register) is amended by
inserting ``($10,000 in the case of a failure to register
under section 4101)'' after ``$50''.
(b) Increased Criminal Penalty.--Section 7232 (relating to
failure to register under section 4101, false representations
of registration status, etc.) is amended by striking
``$5,000'' and inserting ``$10,000''.
(c) Assessable Penalty for Failure to Register.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5242 of this Act, is amended by adding at the end the
following new section:
``SEC. 6720. FAILURE TO REGISTER.
``(a) Failure to Register.--Every person who is required to
register under section 4101 and fails to do so shall pay a
penalty in addition to the tax (if any).
``(b) Amount of Penalty.--The amount of the penalty under
subsection (a) shall be--
``(1) $10,000 for each initial failure to register, and
``(2) $1,000 for each day thereafter such person fails to
register.
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5242 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6720. Failure to register.''.
(d) Assessable Penalty for Failure to Report.--
(1) In general.--Part II of subchapter B of chapter 68
(relating to assessable penalties) is amended by adding at
the end the following new section:
``SEC. 6725. FAILURE TO REPORT INFORMATION UNDER SECTION
4101.
``(a) In General.--In the case of each failure described in
subsection (b) by any person with respect to a vessel or
facility, such person shall pay a penalty of $10,000 in
addition to the tax (if any).
``(b) Failures Subject to Penalty.--For purposes of
subsection (a), the failures described in this subsection
are--
``(1) any failure to make a report under section 4101(d) on
or before the date prescribed therefor, and
``(2) any failure to include all of the information
required to be shown on such report or the inclusion of
incorrect information.
[[Page S1038]]
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part II
of subchapter B of chapter 68 is amended by adding at the end
the following new item:
``Sec. 6725. Failure to report information under section 4101.''.
(e) Effective Date.--The amendments made by this section
shall apply to failures pending or occurring after September
30, 2004.
SEC. 5245. INFORMATION REPORTING FOR PERSONS CLAIMING CERTAIN
TAX BENEFITS.
(a) In General.--Subpart C of part III of subchapter A of
chapter 32 is amended by adding at the end the following new
section:
``SEC. 4104. INFORMATION REPORTING FOR PERSONS CLAIMING
CERTAIN TAX BENEFITS.
``(a) In General.--The Secretary shall require any person
claiming tax benefits--
``(1) under the provisions of section 34, 40, and 40A to
file a return at the time such person claims such benefits
(in such manner as the Secretary may prescribe), and
``(2) under the provisions of section 4041(b)(2), 6426, or
6427(e) to file a monthly return (in such manner as the
Secretary may prescribe).
``(b) Contents of Return.--Any return filed under this
section shall provide such information relating to such
benefits and the coordination of such benefits as the
Secretary may require to ensure the proper administration and
use of such benefits.
``(c) Enforcement.--With respect to any person described in
subsection (a) and subject to registration requirements under
this title, rules similar to rules of section 4222(c) shall
apply with respect to any requirement under this section.''.
(b) Conforming Amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 32 is
amended by adding at the end the following new item:
``Sec. 4104. Information reporting for persons claiming certain tax
benefits.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART V--IMPORTS
SEC. 5251. TAX AT POINT OF ENTRY WHERE IMPORTER NOT
REGISTERED.
(a) Tax at Point of Entry Where Importer Not Registered.--
(1) In general.--Subpart C of part III of subchapter A of
chapter 31, as amended by section 5245 of this Act, is
amended by adding at the end the following new section:
``SEC. 4105. TAX AT ENTRY WHERE IMPORTER NOT REGISTERED.
``(a) In General.--Any tax imposed under this part on any
person not registered under section 4101 for the entry of a
fuel into the United States shall be imposed at the time and
point of entry.
``(b) Enforcement of Assessment.--If any person liable for
any tax described under subsection (a) has not paid the tax
or posted a bond, the Secretary may--
``(1) seize the fuel on which the tax is due, or
``(2) detain any vehicle transporting such fuel,
until such tax is paid or such bond is filed.
``(c) Levy of Fuel.--If no tax has been paid or no bond has
been filed within 5 days from the date the Secretary seized
fuel pursuant to subsection (b), the Secretary may sell such
fuel as provided under section 6336.''.
(2) Conforming amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 31 of the
Internal Revenue Code of 1986, as amended by section 5245 of
this Act, is amended by adding after the last item the
following new item:
``Sec. 4105. Tax at entry where importer not registered.''.
(b) Denial of Entry Where Tax Not Paid.--The Secretary of
Homeland Security is authorized to deny entry into the United
States of any shipment of a fuel which is taxable under
section 4081 of the Internal Revenue Code of 1986 if the
person entering such shipment fails to pay the tax imposed
under such section or post a bond in accordance with the
provisions of section 4105 of such Code.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5252. RECONCILIATION OF ON-LOADED CARGO TO ENTERED
CARGO.
(a) In General.--Subsection (a) of section 343 of the Trade
Act of 2002 is amended by inserting at the end the following
new paragraph:
``(4) In General.--Subject to paragraphs (2) and (3), not
later than 1 year after the enactment of this paragraph, the
Secretary of Homeland Security, together with the Secretary
of the Treasury, shall promulgate regulations providing for
the transmission to the Internal Revenue Service, through an
electronic data interchange system, of information pertaining
to cargo of taxable fuels (as defined in section 4083 of the
Internal Revenue Code of 1986) destined for importation into
the United States prior to such importation.''.
(b) Effective Date.--The amendment made by this section
shall take effect on the date of the enactment of this Act.
PART VI--MISCELLANEOUS PROVISIONS
SEC. 5261. TAX ON SALE OF DIESEL FUEL WHETHER SUITABLE FOR
USE OR NOT IN A DIESEL-POWERED VEHICLE OR
TRAIN.
(a) In General.--Section 4083(a)(3) is amended--
(1) by striking ``The term'' and inserting the following:
``(A) In general.--The term'', and
(2) by inserting at the end the following new subparagraph:
``(B) Liquid sold as diesel fuel.--The term `diesel fuel'
includes any liquid which is sold as or offered for sale as a
fuel in a diesel-powered highway vehicle or a diesel-powered
train.''.
(b) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5262. MODIFICATION OF ULTIMATE VENDOR REFUND CLAIMS WITH
RESPECT TO FARMING.
(a) In General.--
(1) Refunds.--Section 6427(l) is amended by adding at the
end the following new paragraph:
``(6) Registered vendors permitted to administer certain
claims for refund of diesel fuel and kerosene sold to
farmers.--
``(A) In general.--In the case of diesel fuel or kerosene
used on a farm for farming purposes (within the meaning of
section 6420(c)), paragraph (1) shall not apply to the
aggregate amount of such diesel fuel or kerosene if such
amount does not exceed 500 gallons (as determined under
subsection (i)(5)(A)(iii)).
``(B) Payment to ultimate vendor.--The amount which would
(but for subparagraph (A)) have been paid under paragraph (1)
with respect to any fuel shall be paid to the ultimate vendor
of such fuel, if such vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).''.
(2) Filing of claims.--Section 6427(i) is amended by
inserting at the end the following new paragraph:
``(5) Special rule for vendor refunds with respect to
farmers.--
``(A) In general.--A claim may be filed under subsection
(l)(6) by any person with respect to fuel sold by such person
for any period--
``(i) for which $200 or more ($100 or more in the case of
kerosene) is payable under subsection (l)(6),
``(ii) which is not less than 1 week, and
``(iii) which is for not more than 500 gallons for each
farmer for which there is a claim.
Notwithstanding subsection (l)(1), paragraph (3)(B) shall
apply to claims filed under the preceding sentence.
``(B) Time for filing claim.--No claim filed under this
paragraph shall be allowed unless filed on or before the last
day of the first quarter following the earliest quarter
included in the claim.''.
(3) Conforming amendments.--
(A) Section 6427(l)(5)(A) is amended to read as follows:
``(A) In general.--Paragraph (1) shall not apply to diesel
fuel or kerosene used by a State or local government.''.
(B) The heading for section 6427(l)(5) is amended by
striking ``farmers and''.
(b) Section 6427(i)(3) is amended--
(1) by adding at the end of subparagraph (A) the following
new flush sentence:
``In the case of an electronic claim, this subparagraph shall
be applied without regard to clause (i).'', and
(2) by striking ``20 days of the date of the filing of such
claim'' in subparagraph (B) and inserting ``45 days of the
date of the filing of such claim (20 days in the case of an
electronic claim)'', and
(c) Effective Date.--The amendment made by this section
shall apply to fuels sold for nontaxable use after the date
of the enactment of this Act.
SEC. 5263. TAXABLE FUEL REFUNDS FOR CERTAIN ULTIMATE VENDORS.
(a) In General.--Paragraph (4) of section 6416(a) (relating
to abatements, credits, and refunds) is amended to read as
follows:
``(4) Registered ultimate vendor to administer credits and
refunds of gasoline tax.--
``(A) In general.--For purposes of this subsection, if an
ultimate vendor purchases any gasoline on which tax imposed
by section 4081 has been paid and sells such gasoline to an
ultimate purchaser described in subparagraph (C) or (D) of
subsection (b)(2) (and such gasoline is for a use described
in such subparagraph), such ultimate vendor shall be treated
as the person (and the only person) who paid such tax, but
only if such ultimate vendor is registered under section
4101. For purposes of this subparagraph, if the sale of
gasoline is made by means of a credit card, the person
extending the credit to the ultimate purchaser shall be
deemed to be the ultimate vendor.
``(B) Timing of claims.--The procedure and timing of any
claim under subparagraph (A) shall be the same as for claims
under section 6427(i)(4), except that the rules of section
6427(i)(3)(B) regarding electronic claims shall not apply
unless the ultimate vendor has certified to the Secretary for
the most recent quarter of the taxable year that all ultimate
purchasers of the vendor are certified and entitled to a
refund under subparagraph (C) or (D) of subsection (b)(2).''.
(b) Credit Card Purchases of Diesel Fuel or Kerosene by
State and Local Governments.--Section 6427(l)(5)(C) (relating
to nontaxable uses of diesel fuel, kerosene, and aviation
fuel), as amended by section 5252 of this Act, is amended by
adding at the end
[[Page S1039]]
the following new sentence: ``For purposes of this
subparagraph, if the sale of diesel fuel or kerosene is made
by means of a credit card, the person extending the credit to
the ultimate purchaser shall be deemed to be the ultimate
vendor.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5264. TWO-PARTY EXCHANGES.
(a) In General.--Subpart C of part III of subchapter A of
chapter 32, as amended by section 5251 of this Act, is
amended by adding at the end the following new section:
``SEC. 4106. TWO-PARTY EXCHANGES.
``(a) In General.--In a two-party exchange, the delivering
person shall not be liable for the tax imposed under of
section 4081(a)(1)(A)(ii).
``(b) Two-Party Exchange.--The term `two-party exchange'
means a transaction, other than a sale, in which taxable fuel
is transferred from a delivering person registered under
section 4101 as a taxable fuel registrant to a receiving
person who is so registered where all of the following occur:
``(1) The transaction includes a transfer from the
delivering person, who holds the inventory position for
taxable fuel in the terminal as reflected in the records of
the terminal operator.
``(2) The exchange transaction occurs before or
contemporaneous with completion of removal across the rack
from the terminal by the receiving person.
``(3) The terminal operator in its books and records treats
the receiving person as the person that removes the product
across the terminal rack for purposes of reporting the
transaction to the Secretary.
``(4) The transaction is the subject of a written
contract.''.
(b) Conforming Amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 32, as
amended by section 5251 of this Act, is amended by adding
after the last item the following new item:
``Sec. 4106. Two-party exchanges.''.
(c) Effective Date.--The amendment made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5265. MODIFICATIONS OF TAX ON USE OF CERTAIN VEHICLES.
(a) No Proration of Tax Unless Vehicle Is Destroyed or
Stolen.--
(1) In general.--Section 4481(c) (relating to proration of
tax) is amended to read as follows:
``(c) Proration of Tax Where Vehicle Sold, Destroyed, or
Stolen.--
``(1) In general.--If in any taxable period a highway motor
vehicle is sold, destroyed, or stolen before the first day of
the last month in such period and not subsequently used
during such taxable period, the tax shall be reckoned
proportionately from the first day of the month in such
period in which the first use of such highway motor vehicle
occurs to and including the last day of the month in which
such highway motor vehicle was sold, destroyed, or stolen.
``(2) Destroyed.--For purposes of paragraph (1), a highway
motor vehicle is destroyed if such vehicle is damaged by
reason of an accident or other casualty to such an extent
that it is not economic to rebuild.''.
(2) Conforming amendments.--
(A) Section 6156 (relating to installment payment of tax on
use of highway motor vehicles) is repealed.
(B) The table of sections for subchapter A of chapter 62 is
amended by striking the item relating to section 6156.
(b) Display of Tax Certificate.--Paragraph (2) of section
4481(d) (relating to one tax liability for period) is amended
to read as follows:
``(2) Display of tax certificate.--Every taxpayer which
pays the tax imposed under this section with respect to a
highway motor vehicle shall, not later than 1 month after the
due date of the return of tax with respect to each taxable
period, receive and display on such vehicle an electronic
identification device prescribed by the Secretary.''.
(c) Electronic filing.--Section 4481 is amended by
redesignating subsection (e) as subsection (f) and by
inserting after subsection (d) the following new subsection:
``(e) Electronic filing.--Any taxpayer who files a return
under this section with respect to 25 or more vehicles for
any taxable period shall file such return electronically.''.
(d) Repeal of reduction in tax for certain trucks.--Section
4483 of the Internal Revenue Code of 1986 is amended by
striking subsection (f).
(e) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to taxable
periods beginning after the date of the enactment of this
Act.
(2) Subsection (b).--The amendment made by subsection (b)
shall take effect on October 1, 2005.
SEC. 5266. DEDICATION OF REVENUES FROM CERTAIN PENALTIES TO
THE HIGHWAY TRUST FUND.
(a) In General.--Subsection (b) of section 9503 (relating
to transfer to Highway Trust Fund of amounts equivalent to
certain taxes), as amended by section 5101 of this Act, is
amended by redesignating paragraph (5) as paragraph (6) and
inserting after paragraph (4) the following new paragraph:
``(5) Certain penalties.--There are hereby appropriated to
the Highway Trust Fund amounts equivalent to the penalties
assessed under sections 6715, 6715A, 6717, 6718, 6719, 6720,
6725, 7232, and 7272 (but only with regard to penalties under
such section related to failure to register under section
4101).''.
(b) Conforming Amendments.--
(1) The heading of subsection (b) of section 9503 is
amended by inserting ``and Penalties'' after ``Taxes''.
(2) The heading of paragraph (1) of section 9503(b) is
amended by striking ``In general'' and inserting ``Certain
taxes''.
(c) Effective Date.--The amendments made by this section
shall apply to penalties assessed after October 1, 2004.
SEC. 5267. NONAPPLICATION OF EXPORT EXEMPTION TO DELIVERY OF
FUEL TO MOTOR VEHICLES REMOVED FROM UNITED
STATES.
(a) In General.--Section 4221(d)(2) (defining export) is
amended by adding at the end the following new sentence:
``Such term does not include the delivery of a taxable fuel
(as defined in section 4083(a)(1)) into a fuel tank of a
motor vehicle which is shipped or driven out of the United
States.''.
(b) Conforming Amendments.--
(1) Section 4041(g) (relating to other exemptions) is
amended by adding at the end the following new sentence:
``Paragraph (3) shall not apply to the sale for delivery of a
liquid into a fuel tank of a motor vehicle which is shipped
or driven out of the United States.''.
(2) Clause (iv) of section 4081(a)(1)(A) (relating to tax
on removal, entry, or sale) is amended by inserting ``or at a
duty-free sales enterprise (as defined in section 555(b)(8)
of the Tariff Act of 1930)'' after ``section 4101''.
(c) Effective Date.--The amendments made by this section
shall apply to sales or deliveries made after the date of the
enactment of this Act.
PART VII--TOTAL ACCOUNTABILITY
SEC. 5271. TOTAL ACCOUNTABILITY.
(a) Taxation of Reportable Liquids.--
(1) In general.--Section 4081(a), as amended by this Act,
is amended--
(A) by inserting ``or reportable liquid'' after ``taxable
fuel'' each place it appears, and
(B) by inserting ``such liquid'' after ``such fuel'' in
paragraph (1)(A)(iv).
(2) Rate of tax.--Subparagraph (A) of section 4081(a)(2),
as amended by section 5211 of this Act, is amended by
striking ``and'' at the end of clause (iii), by striking the
period at the end of clause (iv) and inserting ``, and'', and
by adding at the end the following new clause:
``(v) in the case of reportable liquids, the rate
determined under section 4083(c)(2).''.
(3) Exemption.--Section 4081(a)(1) is amended by adding at
the end the following new subparagraph:
``(C) Exemption for registered transfers of reportable
liquids.--The tax imposed by this paragraph shall not apply
to any removal, entry, or sale of a reportable liquid if--
``(i) such removal, entry, or sale is to a registered
person who certifies that such liquid will not be used as a
fuel or in the production of a fuel, or
``(ii) the sale is to the ultimate purchaser of such
liquid.''.
(4) Reportable liquids.--Section 4083, as amended by this
Act, is amended by redesignating subsections (c) and (d) (as
redesignated by section 5211 of this Act) as subsections (d)
and (e), respectively, and by inserting after subsection (b)
the following new section:
``(c) Reportable liquid.--For purposes of this subpart--
``(1) In general.--The term `reportable liquid' means any
petroleum-based liquid other than a taxable fuel.
``(2) Taxation.--
``(A) Gasoline blend stocks and additives.--Gasoline blend
stocks and additives which are reportable liquids (as defined
in paragraph (1)) shall be subject to the rate of tax under
clause (i) of section 4081(a)(2)(A).
``(B) Other reportable liquids.--Any reportable liquid (as
defined in paragraph (1)) not described in subparagraph (A)
shall be subject to the rate of tax under clause (iii) of
section 4081(a)(2)(A).''.
(5) Conforming amendments.--
(A) Section 4081(e) is amended by inserting ``or reportable
liquid'' after ``taxable fuel''.
(B) Section 4083(d) (relating to certain use defined as
removal), as redesignated by paragraph (4), is amended by
inserting ``or reportable liquid'' after ``taxable fuel''.
(C) Section 4083(e)(1) (relating to administrative
authority), as redesignated by paragraph (4), is amended--
(i) in subparagraph (A)--
(I) by inserting ``or reportable liquid'' after ``taxable
fuel'', and
(II) by inserting ``or such liquid'' after ``such fuel''
each place it appears, and
(ii) in subparagraph (B), by inserting ``or any reportable
liquid'' after ``any taxable fuel''.
(D) Section 4101(a)(2), as added by section 5243 of this
Act, is amended by inserting ``or a reportable liquid'' after
``taxable fuel''.
(E) Section 4101(a)(3), as added by section 5242 of this
Act and redesignated by section 5243 of this Act, is amended
by inserting ``or any reportable liquid'' before the period
at the end.
(F) Section 4102 is amended by inserting ``or any
reportable liquid'' before the period at the end.
(G)(i) Section 6718, as added by section 5241 of this Act,
is amended--
(I) in subsection (a), by inserting ``or any reportable
liquid (as defined in section 4083(c)(1))'' after `` section
4083(a)(1))'', and
[[Page S1040]]
(II) in the heading, by inserting ``or reportable liquids''
after ``taxable fuel''.
(ii) The item relating to section 6718 in table of sections
for part I of subchapter B of chapter 68, as added by section
5241 of this Act, is amended by inserting ``or reportable
liquids'' after ``taxable fuels''.
(H) Section 6427(h) is amended to read as follows:
``(h) Gasoline Blend Stocks or Additives and Reportable
Liquids.--Except as provided in subsection (k)--
``(1) if any gasoline blend stock or additive (within the
meaning of section 4083(a)(2)) is not used by any person to
produce gasoline and such person establishes that the
ultimate use of such gasoline blend stock or additive is not
to produce gasoline, or
``(2) if any reportable liquid (within the meaning of
section 4083(c)(1)) is not used by any person to produce a
taxable fuel and such person establishes that the ultimate
use of such reportable liquid is not to produce a taxable
fuel,
then the Secretary shall pay (without interest) to such
person an amount equal to the aggregate amount of the tax
imposed on such person with respect to such gasoline blend
stock or additive or such reportable fuel.''.
(I) Section 7232, as amended by this Act, is amended by
inserting ``or reportable liquid (within the meaning of
section 4083(c)(1))'' after ``section 4083)''.
(J) Section 343 of the Trade Act of 2002, as amended by
section 5252 of this Act, is amended by inserting ``and
reportable liquids (as defined in section 4083(c)(1) of such
Code)'' after ``Internal Revenue Code of 1986)''.
(b) Dyed Diesel.--Section 4082(a) is amended by striking
``and'' at the end of paragraph (2), by striking the period
at the end of paragraph (3) and inserting ``and'', and by
inserting after paragraph (3) the following new paragraph:
``(4) which is removed, entered, or sold by a person
registered under section 4101.''.
(c) Effective Date.--The amendments made by this section
shall apply to reportable liquids (as defined in section
4083(c) of the Internal Revenue Code) and fuel sold or used
after September 30, 2004.
SEC. 5272. EXCISE TAX REPORTING.
(a) In General.--Part II of subchapter A of chapter 61 is
amended by adding at the end the following new subpart:
``Subpart E--Excise Tax Reporting
``SEC. 6025. RETURNS RELATING TO FUEL TAXES.
``(a) In General.--The Secretary shall require any person
liable for the tax imposed under Part III of subchapter A of
chapter 32 to file a return of such tax on a monthly basis.
``(b) Information Included with Return.--The Secretary
shall require any person filing a return under subsection (a)
to provide information regarding any refined product (whether
or not such product is taxable under this title) removed from
a terminal during the period for which such return
applies.''.
(b) Conforming Amendment.--The table of parts for
subchapter A of chapter 61 is amended by adding at the end
the following new item:
``Subpart E--Excise Tax Reporting''.
(c) Effective Date.--The amendments made by this section
shall apply to fuel sold or used after September 30, 2004.
SEC. 5273. INFORMATION REPORTING.
(a) In General.--Section 4101(d) is amended by adding at
the end the following new flush sentence:
``The Secretary shall require reporting under the previous
sentence with respect to taxable fuels removed, entered, or
transferred from any refinery, pipeline, or vessel which is
registered under this section.''.
(b) Effective Date.--The amendment made by this section
shall apply on October 1, 2004.
______
SA 2316. Mr. KYL submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Strike title V and insert the following:
TITLE V--HIGHWAY REAUTHORIZATION AND EXCISE TAX SIMPLIFICATION
SEC. 5000. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF
CONTENTS.
(a) Short Title.--This title may be cited as the ``Highway
Reauthorization and Excise Tax Simplification Act of 2004''.
(b) Amendment of 1986 Code.--Except as otherwise expressly
provided, whenever in this title an amendment or repeal is
expressed in terms of an amendment to, or repeal of, a
section or other provision, the reference shall be considered
to be made to a section or other provision of the Internal
Revenue Code of 1986.
(c) Table of Contents.--The table of contents for this
title is as follows:
TITLE V--HIGHWAY REAUTHORIZATION AND EXCISE TAX SIMPLIFICATION
Sec. 5000. Short title; amendment of 1986 code; table of contents.
Subtitle A--Trust Fund Reauthorization
Sec. 5001. Extension of Highway Trust Fund and Aquatic Resources Trust
Fund expenditure authority and related taxes.
Sec. 5002. Full accounting of funds received by the Highway Trust Fund.
Sec. 5003. Modification of adjustments of apportionments.
Subtitle B--Biodiesel Income Tax Credit
Sec. 5101. Biodiesel income tax credit.
Subtitle C--Fuel Fraud Prevention
Sec. 5200. Short title.
Part I--Aviation Jet Fuel
Sec. 5211. Taxation of aviation-grade kerosene.
Sec. 5212. Transfer of certain amounts from the Airport and Airway
Trust Fund to the Highway Trust Fund to reflect highway
use of jet fuel.
Part II--Dyed Fuel
Sec. 5221. Dye injection equipment.
Sec. 5222. Elimination of administrative review for taxable use of dyed
fuel.
Sec. 5223. Penalty on untaxed chemically altered dyed fuel mixtures.
Sec. 5224. Termination of dyed diesel use by intercity buses.
Part III--Modification of Inspection of Records Provisions
Sec. 5231. Authority to inspect on-site records.
Sec. 5232. Assessable penalty for refusal of entry.
Part IV--Registration and Reporting Requirements
Sec. 5241. Registration of pipeline or vessel operators required for
exemption of bulk transfers to registered terminals or
refineries.
Sec. 5242. Display of registration.
Sec. 5243. Registration of persons within foreign trade zones.
Sec. 5244. Penalties for failure to register and failure to report.
Sec. 5245. Information reporting for persons claiming certain tax
benefits.
Part V--Imports
Sec. 5251. Tax at point of entry where importer not registered.
Sec. 5252. Reconciliation of on-loaded cargo to entered cargo.
Part VI--Miscellaneous Provisions
Sec. 5261. Tax on sale of diesel fuel whether suitable for use or not
in a diesel-powered vehicle or train.
Sec. 5262. Modification of ultimate vendor refund claims with respect
to farming.
Sec. 5263. Taxable fuel refunds for certain ultimate vendors.
Sec. 5264. Two-party exchanges.
Sec. 5265. Modifications of tax on use of certain vehicles.
Sec. 5266. Dedication of revenues from certain penalties to the Highway
Trust Fund.
Sec. 5267. Nonapplication of export exemption to delivery of fuel to
motor vehicles removed from United States.
Part VII--Total Accountability
Sec. 5271. Total accountability.
Sec. 5272. Excise tax reporting.
Sec. 5273. Information reporting.
Subtitle D--Definition of Highway Vehicle
Sec. 5301. Exemption from certain excise taxes for mobile machinery.
Sec. 5302. Modification of definition of off-highway vehicle.
Subtitle E--Excise Tax Reform and Simplification
Part I--Highway Excise Taxes
Sec. 5401. Dedication of gas guzzler tax to Highway Trust Fund.
Sec. 5402. Repeal certain excise taxes on rail diesel fuel and inland
waterway barge fuels.
Part II--Aquatic Excise Taxes
Sec. 5411. Elimination of Aquatic Resources Trust Fund and
transformation of Sport Fish Restoration Account.
Sec. 5412. Exemption of LED devices from sonar devices suitable for
finding fish.
Sec. 5413. Repeal of harbor maintenance tax on exports.
Sec. 5414. Cap on excise tax on certain fishing equipment.
Sec. 5415. Reduction in rate of tax on portable aerated bait
containers.
Part III--Aerial Excise Taxes
Sec. 5421. Clarification of excise tax exemptions for agricultural
aerial applicators and exemption for fixed-wing aircraft
engaged in forestry operations.
Sec. 5422. Modification of rural airport definition.
Sec. 5423. Exemption from ticket taxes for transportation provided by
seaplanes.
Sec. 5424. Certain sightseeing flights exempt from taxes on air
transportation.
Part IV--Alcoholic Beverage Excise Taxes
Sec. 5431. Repeal of special occupational taxes on producers and
marketers of alcoholic beverages.
Sec. 5432. Suspension of limitation on rate of rum excise tax cover
over to Puerto Rico and Virgin Islands.
Part V--Sport Excise Taxes
Sec. 5441. Custom gunsmiths.
[[Page S1041]]
Sec. 5442. Modified taxation of imported archery products.
Sec. 5443. Treatment of tribal governments for purposes of Federal
wagering excise and occupational taxes.
Part VI--Other Provisions
Sec. 5451. Income tax credit for distilled spirits wholesalers and for
distilled spirits in control State bailment warehouses
for costs of carrying Federal excise taxes on bottled
distilled spirits.
Sec. 5452. Credit for taxpayers owning commercial power takeoff
vehicles.
Sec. 5453. Credit for auxiliary power units installed on diesel-powered
trucks.
Subtitle F--Miscellaneous Provisions
Sec. 5501. Motor Fuel Tax Enforcement Advisory Commission.
Sec. 5502. National Surface Transportation Infrastructure Financing
Commission.
Sec. 5503. Treasury study of fuel tax compliance and interagency
cooperation.
Sec. 5504. Expansion of Highway Trust Fund expenditure purposes to
include funding for studies of supplemental or
alternative financing for the Highway Trust Fund.
Sec. 5505. Treasury study of highway fuels used by trucks for non-
transportation purposes.
Sec. 5506. Delta regional transportation plan.
Sec. 5507. Treatment of employer-provided transit and van pooling
benefits.
Sec. 5508. Study of incentives for production of biodiesel.
Sec. 5509. Reduction of expenditures from the Highway Trust Fund.
Subtitle G--Revenue Offsets
Part I--Limitation on Expensing Certain Passengers Automobiles
Sec. 5601. Expansion of limitation on depreciation of certain passenger
automobiles.
Part II--Provision To Replenish the General Fund
Sec. 5611. Modification to corporate estimated tax requirements.
Subtitle A--Trust Fund Reauthorization
SEC. 5001. EXTENSION OF HIGHWAY TRUST FUND AND AQUATIC
RESOURCES TRUST FUND EXPENDITURE AUTHORITY AND
RELATED TAXES.
(a) Highway Trust Fund Expenditure Authority.--
(1) Highway account.--Paragraph (1) of section 9503(c)
(relating to transfers from Highway Trust Fund for certain
repayments and credits) is amended--
(A) in the matter before subparagraph (A), by striking
``March 1, 2004'' and inserting ``October 1, 2009'',
(B) by striking ``or'' at the end of subparagraph (E),
(C) by striking the period at the end of subparagraph (F)
and inserting ``, or'',
(D) by inserting after subparagraph (F), the following new
subparagraph:
``(G) authorized to be paid out of the Highway Trust Fund
under the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004.'', and
(E) in the matter after subparagraph (G), as added by
subparagraph (D), by striking ``Surface Transportation
Extension Act of 2003'' and inserting ``Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004''.
(2) Mass transit account.--Paragraph (3) of section 9503(e)
(relating to establishment of Mass Transit Account) is
amended--
(A) in the matter before subparagraph (A), by striking
``March 1, 2004'' and inserting ``October 1, 2009'',
(B) by striking ``or'' at the end of subparagraph (C),
(C) by striking the period at the end of subparagraph (D)
and inserting ``, or'',
(D) by inserting after subparagraph (D), the following new
subparagraph:
``(E) the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004,'', and
(E) in the matter after subparagraph (E), as added by
subparagraph (D), by striking ``Surface Transportation
Extension Act of 2003'' and inserting ``Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004''.
(3) Exception to limitation on transfers.--Subparagraph (B)
of section 9503(b)(5) (relating to limitation on transfers to
Highway Trust Fund) is amended by striking ``March 1, 2004''
and inserting ``October 1, 2009''.
(b) Aquatic Resources Trust Fund Expenditure Authority.--
(1) Sport fish restoration account.--Paragraph (2) of
section 9504(b) (relating to Sport Fish Restoration Account)
is amended by striking ``Surface Transportation Extension Act
of 2003'' each place it appears and inserting ``Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2004''.
(2) Boat safety account.--Section 9504(c) (relating to
expenditures from Boat Safety Account) is amended--
(A) by striking ``March 1, 2004'' and inserting ``October
1, 2009'', and
(B) by striking ``Surface Transportation Extension Act of
2003'' and inserting ``Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2004''.
(3) Exception to limitation on transfers.--Paragraph (2) of
section 9504(d) (relating to limitation on transfers to
Aquatic Resources Trust Fund) is amended by striking ``March
1, 2004'' and inserting ``October 1, 2009''.
(4) Technical correction.--The last sentence of paragraph
(2) of section 9504(b) is amended by striking ``subparagraph
(B)'', and inserting ``subparagraph (C)''.
(c) Extension of Taxes.--
(1) In general.--The following provisions are each amended
by striking ``2005'' each place it appears and inserting
``2009'':
(A) Section 4041(a)(1)(C)(iii)(I) (relating to rate of tax
on certain buses).
(B) Section 4041(a)(2)(B) (relating to rate of tax on
special motor fuels).
(C) Section 4041(m)(1)(A) (relating to certain alcohol
fuels produced from natural gas).
(D) Section 4051(c) (relating to termination of tax on
heavy trucks and trailers).
(E) Section 4071(d) (relating to termination of tax on
tires).
(F) Section 4081(d)(1) (relating to termination of tax on
gasoline, diesel fuel, and kerosene).
(G) Section 4481(e) (relating to period tax in effect).
(H) Section 4482(c)(4) (relating to taxable period).
(I) Section 4482(d) (relating to special rule for taxable
period in which termination date occurs).
(2) Floor stocks refunds.--Section 6412(a)(1) (relating to
floor stocks refunds) is amended--
(A) by striking ``2005'' each place it appears and
inserting ``2009'', and
(B) by striking ``2006'' each place it appears and
inserting ``2010''.
(d) Extension of Certain Exemptions.--The following
provisions are each amended by striking ``2005'' and
inserting ``2009'':
(1) Section 4221(a) (relating to certain tax-free sales).
(2) Section 4483(g) (relating to termination of exemptions
for highway use tax).
(e) Extension of Deposits Into, and Certain Transfers From,
Trust Fund.--
(1) In general.--Subsections (b), (c)(2), (c)(3),
(c)(4)(A)(i), and (c)(5)(A) of section 9503 (relating to the
Highway Trust Fund) are amended--
(A) by striking ``2005'' each place it appears and
inserting ``2009'', and
(B) by striking ``2006'' each place it appears and
inserting ``2010''.
(2) Conforming amendments to land and water conservation
fund.--Section 201(b) of the Land and Water Conservation Fund
Act of 1965 (16 U.S.C. 460l-11(b)) is amended--
(A) by striking ``2003'' and inserting ``2007'', and
(B) by striking ``2004'' each place it appears and
inserting ``2008''.
(f) Extension of Tax Benefits for Qualified Methanol and
Ethanol Fuel Produced From Coal.--Section 4041(b)(2)
(relating to qualified methanol and ethanol fuel) is
amended--
(1) by striking ``2007'' in subparagraph (C)(ii) and
inserting ``2010'', and
(2) by striking ``October 1, 2007'' in subparagraph (D) and
inserting ``January 1, 2011''.
(g) Prohibition on Use of Highway Account for Rail
Projects.--Section 9503(c) (relating to transfers from
Highway Trust Fund for certain repayments and credits) is
amended by adding at the end the following new paragraph:
``(6) Prohibition on use of highway account for rail
projects.--With respect to projects beginning after the date
of the enactment of this paragraph, no amount shall be
available from the Highway Account (as defined in subsection
(e)(5)(B)) for any rail project.''.
(h) Highway Trust Fund Expenditures for Highway Use Tax
Evasion Projects.--From amounts available in the Highway
Trust Fund, there is authorized to be expended such sums as
are necessary for highway use tax evasion projects.
(i) Effective Date.--The amendments made by and provisions
of this section shall take effect on the date of the
enactment of this Act.
SEC. 5002. FULL ACCOUNTING OF FUNDS RECEIVED BY THE HIGHWAY
TRUST FUND.
(a) In General.--Section 9503(c) (relating to transfers
from Highway Trust Fund for certain repayments and credits),
as amended by section 5001 of this Act, is amended by
striking paragraph (2) and redesignating paragraphs (3), (4),
(5), and (6) as paragraphs (2), (3), (4), and (5),
respectively.
(b) Interest on Unexpended Balances Credited to Trust
Fund.--Section 9503 (relating to the Highway Trust Fund) is
amended by striking subsection (f).
(c) Conforming Amendments.--
(1) Section 9503(b)(4)(D) is amended by striking
``paragraph (4)(D) or (5)(B)'' and inserting ``paragraph
(3)(D) or (4)(B)''.
(2) Paragraph (2) of section 9503(c) (as redesignated by
subsection (a)) is amended by adding at the end the following
new sentence: ``The amounts payable from the Highway Trust
Fund under this paragraph shall be determined by taking into
account only the portion of the taxes which are deposited
into the Highway Trust Fund.''.
(3) Section 9504(a)(2) is amended by striking ``section
9503(c)(4), section 9503(c)(5)'' and inserting ``section
9503(c)(3), section 9503(c)(4)''.
(4) Paragraph (2) of section 9504(b), as amended by section
5001 of this Act, is amended by striking ``section
9503(c)(5)'' and inserting ``section 9503(c)(4)''.
[[Page S1042]]
(5) Section 9504(e) is amended by striking ``section
9503(c)(4)'' and inserting ``section 9503(c)(3)''.
(d) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to amounts paid
for which no transfer from the Highway Trust Fund has been
made before April 1, 2004.
(2) Interest credited.--The amendment made by subsection
(b) shall take effect on the date of the enactment of this
Act.
SEC. 5003. MODIFICATION OF ADJUSTMENTS OF APPORTIONMENTS.
(a) In General.--Section 9503(d) (relating to adjustments
for apportionments) is amended--
(1) by striking ``24-month'' in paragraph (1)(B) and
inserting ``48-month'', and
(2) by striking ``2 years''' in the heading for paragraph
(3) and inserting ``4 years'''.
(b) Measurement of Net Highway Receipts.--Section 9503(d)
is amended by redesignating paragraph (6) as paragraph (7)
and by inserting after paragraph (5) the following new
paragraph:
``(6) Measurement of net highway receipts.--For purposes of
making any estimate under paragraph (1) of net highway
receipts for periods ending after the date specified in
subsection (b)(1), the Secretary shall treat--
``(A) each expiring provision of subsection (b) which is
related to appropriations or transfers to the Highway Trust
Fund to have been extended through the end of the 48-month
period referred to in paragraph (1)(B), and
``(B) with respect to each tax imposed under the sections
referred to in subsection (b)(1), the rate of such tax during
the 48-month period referred to in paragraph (1)(B) to be the
same as the rate of such tax as in effect on the date of such
estimate.''.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
Subtitle B--Biodiesel Income Tax Credit
SEC. 5101. BIODIESEL INCOME TAX CREDIT.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business related credits) is amended
by inserting after section 40 the following new section:
``SEC. 40A. BIODIESEL USED AS FUEL.
``(a) General Rule.--For purposes of section 38, the
biodiesel fuels credit determined under this section for the
taxable year is an amount equal to the sum of--
``(1) the biodiesel mixture credit, plus
``(2) the biodiesel credit.
``(b) Definition of Biodiesel Mixture Credit and Biodiesel
Credit.--For purposes of this section--
``(1) Biodiesel mixture credit.--
``(A) In general.--The biodiesel mixture credit of any
taxpayer for any taxable year is 50 cents for each gallon of
biodiesel used by the taxpayer in the production of a
qualified biodiesel mixture.
``(B) Qualified biodiesel mixture.--The term `qualified
biodiesel mixture' means a mixture of biodiesel and diesel
fuel (as defined in section 4083(a)(3)), determined without
regard to any use of kerosene, which--
``(i) is sold by the taxpayer producing such mixture to any
person for use as a fuel, or
``(ii) is used as a fuel by the taxpayer producing such
mixture.
``(C) Sale or use must be in trade or business, etc.--
Biodiesel used in the production of a qualified biodiesel
mixture shall be taken into account--
``(i) only if the sale or use described in subparagraph (B)
is in a trade or business of the taxpayer, and
``(ii) for the taxable year in which such sale or use
occurs.
``(D) Casual off-farm production not eligible.--No credit
shall be allowed under this section with respect to any
casual off-farm production of a qualified biodiesel mixture.
``(2) Biodiesel credit.--
``(A) In general.--The biodiesel credit of any taxpayer for
any taxable year is 50 cents for each gallon of biodiesel
which is not in a mixture with diesel fuel and which during
the taxable year--
``(i) is used by the taxpayer as a fuel in a trade or
business, or
``(ii) is sold by the taxpayer at retail to a person and
placed in the fuel tank of such person's vehicle.
``(B) User credit not to apply to biodiesel sold at
retail.--No credit shall be allowed under subparagraph (A)(i)
with respect to any biodiesel which was sold in a retail sale
described in subparagraph (A)(ii).
``(3) Credit for agri-biodiesel.--In the case of any
biodiesel which is agri-biodiesel, paragraphs (1)(A) and
(2)(A) shall be applied by substituting `$1.00' for `50
cents'.
``(4) Certification for biodiesel.--No credit shall be
allowed under this section unless the taxpayer obtains a
certification (in such form and manner as prescribed by the
Secretary) from the producer or importer of the biodiesel
which identifies the product produced and the percentage of
biodiesel and agri-biodiesel in the product.
``(c) Coordination With Credit Against Excise Tax.--The
amount of the credit determined under this section with
respect to any biodiesel shall be properly reduced to take
into account any benefit provided with respect to such
biodiesel solely by reason of the application of section 6426
or 6427(e).
``(d) Definitions and Special Rules.--For purposes of this
section--
``(1) Biodiesel.--The term `biodiesel' means the monoalkyl
esters of long chain fatty acids derived from plant or animal
matter which meet--
``(A) the registration requirements for fuels and fuel
additives established by the Environmental Protection Agency
under section 211 of the Clean Air Act (42 U.S.C. 7545), and
``(B) the requirements of the American Society of Testing
and Materials D6751.
``(2) Agri-biodiesel.--The term `agri-biodiesel' means
biodiesel derived solely from virgin oils, including esters
derived from virgin vegetable oils from corn, soybeans,
sunflower seeds, cottonseeds, canola, crambe, rapeseeds,
safflowers, flaxseeds, rice bran, and mustard seeds, and from
animal fats.
``(3) Mixture or biodiesel not used as a fuel, etc.--
``(A) Mixtures.--If--
``(i) any credit was determined under this section with
respect to biodiesel used in the production of any qualified
biodiesel mixture, and
``(ii) any person--
``(I) separates the biodiesel from the mixture, or
``(II) without separation, uses the mixture other than as a
fuel,
then there is hereby imposed on such person a tax equal to
the product of the rate applicable under subsection (b)(1)(A)
and the number of gallons of such biodiesel in such mixture.
``(B) Biodiesel.--If--
``(i) any credit was determined under this section with
respect to the retail sale of any biodiesel, and
``(ii) any person mixes such biodiesel or uses such
biodiesel other than as a fuel,
then there is hereby imposed on such person a tax equal to
the product of the rate applicable under subsection (b)(2)(A)
and the number of gallons of such biodiesel.
``(C) Applicable laws.--All provisions of law, including
penalties, shall, insofar as applicable and not inconsistent
with this section, apply in respect of any tax imposed under
subparagraph (A) or (B) as if such tax were imposed by
section 4081 and not by this chapter.
``(4) Pass-thru in the case of estates and trusts.--Under
regulations prescribed by the Secretary, rules similar to the
rules of subsection (d) of section 52 shall apply.
``(e) Termination.--This section shall not apply to any
sale or use after December 31, 2006.''.
(b) Credit Treated as Part of General Business Credit.--
Section 38(b) (relating to current year business credit) is
amended by striking ``plus'' at the end of paragraph (14), by
striking the period at the end of paragraph (15) and
inserting ``, plus'', and by adding at the end the following
new paragraph:
``(16) the biodiesel fuels credit determined under section
40A(a).''.
(c) Conforming Amendments.--
(1) Section 39(d) is amended by adding at the end the
following new paragraph:
``(11) No carryback of biodiesel fuels credit before
effective date.--No portion of the unused business credit for
any taxable year which is attributable to the biodiesel fuels
credit determined under section 40A may be carried back to a
taxable year ending on or before September 30, 2004.''.
(2)(A) Section 87 is amended to read as follows:
``SEC. 87. ALCOHOL AND BIODIESEL FUELS CREDITS.
``Gross income includes--
``(1) the amount of the alcohol fuels credit determined
with respect to the taxpayer for the taxable year under
section 40(a), and
``(2) the biodiesel fuels credit determined with respect to
the taxpayer for the taxable year under section 40A(a).''.
(B) The item relating to section 87 in the table of
sections for part II of subchapter B of chapter 1 is amended
by striking ``fuel credit'' and inserting ``and biodiesel
fuels credits''.
(3) Section 196(c) is amended by striking ``and'' at the
end of paragraph (9), by striking the period at the end of
paragraph (10) and inserting ``, and'', and by adding at the
end the following new paragraph:
``(11) the biodiesel fuels credit determined under section
40A(a).''.
(4) The table of sections for subpart D of part IV of
subchapter A of chapter 1 is amended by adding after the item
relating to section 40 the following new item:
``Sec. 40A. Biodiesel used as fuel.''.
(d) Effective Date.--The amendments made by this section
shall apply to fuel produced, and sold or used, after
September 30, 2004, in taxable years ending after such date.
Subtitle C--Fuel Fraud Prevention
SEC. 5200. SHORT TITLE.
This subtitle may be cited as the ``Fuel Fraud Prevention
Act of 2004''.
PART I--AVIATION JET FUEL
SEC. 5211. TAXATION OF AVIATION-GRADE KEROSENE.
(a) Rate of Tax.--
(1) In general.--Subparagraph (A) of section 4081(a)(2) is
amended by striking ``and'' at the end of clause (ii), by
striking the period at the end of clause (iii) and inserting
``, and'', and by adding at the end the following new clause:
``(iv) in the case of aviation-grade kerosene, 21.8 cents
per gallon.''.
(2) Commercial aviation.--Paragraph (2) of section 4081(a)
is amended by adding at the end the following new
subparagraph:
``(C) Taxes imposed on fuel used in commercial aviation.--
In the case of aviation-grade kerosene which is removed from
any refinery or terminal directly into the fuel
[[Page S1043]]
tank of an aircraft for use in commercial aviation, the rate
of tax under subparagraph (A)(iv) shall be 4.3 cents per
gallon.''.
(3) Nontaxable uses.--
(A) In general.--Section 4082 is amended by redesignating
subsections (e) and (f) as subsections (f) and (g),
respectively, and by inserting after subsection (d) the
following new subsection:
``(e) Aviation-Grade Kerosene.--In the case of aviation-
grade kerosene which is exempt from the tax imposed by
section 4041(c) (other than by reason of a prior imposition
of tax) and which is removed from any refinery or terminal
directly into the fuel tank of an aircraft, the rate of tax
under section 4081(a)(2)(A)(iv) shall be zero.''.
(B) Conforming amendments.--
(i) Subsection (b) of section 4082 is amended by adding at
the end the following new flush sentence: ``The term
`nontaxable use' does not include the use of aviation-grade
kerosene in an aircraft.''.
(ii) Section 4082(d) is amended by striking paragraph (1)
and by redesignating paragraphs (2) and (3) as paragraphs (1)
and (2), respectively.
(4) Nonaircraft use of aviation-grade kerosene.--
(A) In general.--Subparagraph (B) of section 4041(a)(1) is
amended by adding at the end the following new sentence:
``This subparagraph shall not apply to aviation-grade
kerosene.''.
(B) Conforming amendment.--The heading for paragraph (1) of
section 4041(a) is amended by inserting ``and kerosene''
after ``diesel fuel''.
(b) Commercial Aviation.--Section 4083 is amended
redesignating subsections (b) and (c) as subsections (c) and
(d), respectively, and by inserting after subsection (a) the
following new subsection:
``(b) Commercial Aviation.--For purposes of this subpart,
the term `commercial aviation' means any use of an aircraft
in a business of transporting persons or property for
compensation or hire by air, unless properly allocable to any
transportation exempt from the taxes imposed by section 4261
and 4271 by reason of section 4281 or 4282 or by reason of
section 4261(h).''.
(c) Refunds.--
(1) In general.--Paragraph (4) of section 6427(l) is
amended to read as follows:
``(4) Refunds for aviation-grade kerosene.--
``(A) No refund of certain taxes on fuel used in commercial
aviation.--In the case of aviation-grade kerosene used in
commercial aviation (as defined in section 4083(b)) (other
than supplies for vessels or aircraft within the meaning of
section 4221(d)(3)), paragraph (1) shall not apply to so much
of the tax imposed by section 4081 as is attributable to--
``(i) the Leaking Underground Storage Tank Trust Fund
financing rate imposed by such section, and
``(ii) so much of the rate of tax specified in section
4081(a)(2)(A)(iv) as does not exceed 4.3 cents per gallon.
``(B) Payment to ultimate, registered vendor.--With respect
to aviation-grade kerosene, if the ultimate purchaser of such
kerosene waives (at such time and in such form and manner as
the Secretary shall prescribe) the right to payment under
paragraph (1) and assigns such right to the ultimate vendor,
then the Secretary shall pay the amount which would be paid
under paragraph (1) to such ultimate vendor, but only if such
ultimate vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).''.
(2) Time for filing claims.--Paragraph (4) of section
6427(i) is amended by striking ``subsection (l)(5)'' and
inserting ``paragraph (4)(B) or (5) of subsection (l)''.
(3) Conforming amendment.--Subparagraph (B) of section
6427(l)(2) is amended to read as follows:
``(B) in the case of aviation-grade kerosene--
``(i) any use which is exempt from the tax imposed by
section 4041(c) other than by reason of a prior imposition of
tax, or
``(ii) any use in commercial aviation (within the meaning
of section 4083(b)).''.
(d) Repeal of Prior Taxation of Aviation Fuel.--
(1) In general.--Part III of subchapter A of chapter 32 is
amended by striking subpart B and by redesignating subpart C
as subpart B.
(2) Conforming amendments.--
(A) Section 4041(c) is amended to read as follows:
``(c) Aviation-Grade Kerosene.--
``(1) In general.--There is hereby imposed a tax upon
aviation-grade kerosene--
``(A) sold by any person to an owner, lessee, or other
operator of an aircraft for use in such aircraft, or
``(B) used by any person in an aircraft unless there was a
taxable sale of such fuel under subparagraph (A).
``(2) Exemption for previously taxed fuel.--No tax shall be
imposed by this subsection on the sale or use of any
aviation-grade kerosene if tax was imposed on such liquid
under section 4081 and the tax thereon was not credited or
refunded.
``(3) Rate of tax.--The rate of tax imposed by this
subsection shall be the rate of tax specified in section
4081(a)(2)(A)(iv) which is in effect at the time of such sale
or use.''.
(B) Section 4041(d)(2) is amended by striking ``section
4091'' and inserting ``section 4081''.
(C) Section 4041 is amended by striking subsection (e).
(D) Section 4041 is amended by striking subsection (i).
(E) Section 4041(m)(1) is amended to read as follows:
``(1) In general.--In the case of the sale or use of any
partially exempt methanol or ethanol fuel, the rate of the
tax imposed by subsection (a)(2) shall be--
``(A) after September 30, 1997, and before September 30,
2009--
``(i) in the case of fuel none of the alcohol in which
consists of ethanol, 9.15 cents per gallon, and
``(ii) in any other case, 11.3 cents per gallon, and
``(B) after September 30, 2009--
``(i) in the case of fuel none of the alcohol in which
consists of ethanol, 2.15 cents per gallon, and
``(ii) in any other case, 4.3 cents per gallon.''.
(F) Sections 4101(a), 4103, 4221(a), and 6206 are each
amended by striking ``, 4081, or 4091'' and inserting ``or
4081''.
(G) Section 6416(b)(2) is amended by striking ``4091 or''.
(H) Section 6416(b)(3) is amended by striking ``or 4091''
each place it appears.
(I) Section 6416(d) is amended by striking ``or to the tax
imposed by section 4091 in the case of refunds described in
section 4091(d)''.
(J) Section 6427(j)(1) is amended by striking ``, 4081, and
4091'' and inserting ``and 4081''.
(K)(i) Section 6427(l)(1) is amended to read as follows:
``(1) In general.--Except as otherwise provided in this
subsection and in subsection (k), if any diesel fuel or
kerosene on which tax has been imposed by section 4041 or
4081 is used by any person in a nontaxable use, the Secretary
shall pay (without interest) to the ultimate purchaser of
such fuel an amount equal to the aggregate amount of tax
imposed on such fuel under section 4041 or 4081, as the case
may be, reduced by any refund paid to the ultimate vendor
under paragraph (4)(B).''.
(ii) Paragraph (5)(B) of section 6427(l) is amended by
striking ``Paragraph (1)(A) shall not apply to kerosene'' and
inserting ``Paragraph (1) shall not apply to kerosene (other
than aviation-grade kerosene)''.
(L) Subparagraph (B) of section 6724(d)(1) is amended by
striking clause (xv) and by redesignating the succeeding
clauses accordingly.
(M) Paragraph (2) of section 6724(d) is amended by striking
subparagraph (W) and by redesignating the succeeding
subparagraphs accordingly.
(N) Paragraph (1) of section 9502(b) is amended by adding
``and'' at the end of subparagraph (B) and by striking
subparagraphs (C) and (D) and inserting the following new
subparagraph:
``(C) section 4081 with respect to aviation gasoline and
aviation-grade kerosene, and''.
(O) The last sentence of section 9502(b) is amended to read
as follows:
``There shall not be taken into account under paragraph (1)
so much of the taxes imposed by section 4081 as are
determined at the rate specified in section 4081(a)(2)(B).''.
(P) Subsection (b) of section 9508 is amended by striking
paragraph (3) and by redesignating paragraphs (4) and (5) as
paragraphs (3) and (4), respectively.
(Q) Section 9508(c)(2)(A) is amended by striking ``sections
4081 and 4091'' and inserting ``section 4081''.
(R) The table of subparts for part III of subchapter A of
chapter 32 is amended to read as follows:
``Subpart A. Motor and aviation fuels.
``Subpart B. Special provisions applicable to fuels tax.''.
(S) The heading for subpart A of part III of subchapter A
of chapter 32 is amended to read as follows:
``Subpart A--Motor and Aviation Fuels''.
(T) The heading for subpart B of part III of subchapter A
of chapter 32 is amended to read as follows:
``Subpart B--Special Provisions Applicable to Fuels Tax''.
(g) Other Amendments.--
(1) Section 4081(c) is amended by adding at the end the
following new flush sentence:
``In the case of any taxable fuel which is aviation-grade
keorsene, this subsection shall not apply and the rules of
section 4091(c) (as in effect on the day before the date of
the enactment of the Fuel Fraud Prevention Act of 2004) shall
apply.''.
(2) For purposes of the Internal Revenue Code of 1986, any
reference to section 4091(c) shall be treated as a reference
to the rules of such section as in effect on the date before
the date of the enactment of this Act.
(f) Effective Date.--The amendments made by this section
shall apply to aviation-grade kerosene removed, entered, or
sold after September 30, 2004.
(g) Floor Stocks Tax.--
(1) In general.--There is hereby imposed on aviation-grade
kerosene held on October 1, 2004, by any person a tax equal
to--
(A) the tax which would have been imposed before such date
on such kerosene had the amendments made by this section been
in effect at all times before such date, reduced by
(B) the tax imposed before such date under section 4091 of
the Internal Revenue Code of 1986, as in effect on the day
before the date of the enactment of this Act.
(2) Liability for tax and method of payment.--
(A) Liability for tax.--The person holding the kerosene on
October 1, 2004, to which the
[[Page S1044]]
tax imposed by paragraph (1) applies shall be liable for such
tax.
(B) Method and time for payment.--The tax imposed by
paragraph (1) shall be paid at such time and in such manner
as the Secretary of the Treasury shall prescribe, including
the nonapplication of such tax on de minimis amounts of
kerosene.
(3) Transfer of floor stock tax revenues to trust funds.--
For purposes of determining the amount transferred to any
trust fund, the tax imposed by this subsection shall be
treated as imposed by section 4081 of the Internal Revenue
Code of 1986--
(A) at the Leaking Underground Storage Tank Trust Fund
financing rate under such section to the extent of 0.1 cents
per gallon, and
(B) at the rate under section 4081(a)(2)(A)(iv) to the
extent of the remainder.
(4) Held by a person.--For purposes of this section,
kerosene shall be considered as held by a person if title
thereto has passed to such person (whether or not delivery to
the person has been made).
(5) Other laws applicable.--All provisions of law,
including penalties, applicable with respect to the tax
imposed by section 4081 of such Code shall, insofar as
applicable and not inconsistent with the provisions of this
subsection, apply with respect to the floor stock tax imposed
by paragraph (1) to the same extent as if such tax were
imposed by such section.
SEC. 5212. TRANSFER OF CERTAIN AMOUNTS FROM THE AIRPORT AND
AIRWAY TRUST FUND TO THE HIGHWAY TRUST FUND TO
REFLECT HIGHWAY USE OF JET FUEL.
(a) In General.--Section 9502(d) is amended by adding at
the end the following new paragraph:
``(7) Transfers from the trust fund to the highway trust
fund to reflect highway use of jet fuel.--
``(A) In general.--The Secretary shall pay from the Airport
and Airway Trust Fund into the Highway Trust Fund--
``(i) $395,000,000 in fiscal year 2005,
``(ii) $425,000,000 in fiscal year 2006,
``(iii) $429,000,000 in fiscal year 2007,
``(iv) $432,000,000 in fiscal year 2008, and
``(v) $435,000,000 in fiscal year 2009.
``(B) Amounts transferred to mass transit account.--The
Secretary shall transfer 11 percent of the amounts paid into
the Highway Trust Fund under subparagraph (A) to the Mass
Transit Account established under section 9503(e).''.
(b) Conforming Amendments.--
(1) Subsection (a) of section 9503 is amended--
(A) by striking ``appropriated or credited'' and inserting
``paid, appropriated, or credited'', and
(B) by striking ``or section 9602(b)'' and inserting ``,
section 9502(d)(7), or section 9602(b)''.
(2) Subsection (e)(1) of section 9503 is amended by
striking ``or section 9602(b)'' and inserting ``, section
9502(d)(7), or section 9602(b)''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART II--DYED FUEL
SEC. 5221. DYE INJECTION EQUIPMENT.
(a) In General.--Section 4082(a)(2) (relating to exemptions
for diesel fuel and kerosene) is amended by inserting ``by
mechanical injection'' after ``indelibly dyed''.
(b) Dye Injector Security.--Not later than June 30, 2004,
the Secretary of the Treasury shall issue regulations
regarding mechanical dye injection systems described in the
amendment made by subsection (a), and such regulations shall
include standards for making such systems tamper resistant.
(c) Penalty for Tampering With or Failing To Maintain
Security Requirements for Mechanical Dye Injection Systems.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties) is amended by adding after
section 6715 the following new section:
``SEC. 6715A. TAMPERING WITH OR FAILING TO MAINTAIN SECURITY
REQUIREMENTS FOR MECHANICAL DYE INJECTION
SYSTEMS.
``(a) Imposition of Penalty--
``(1) Tampering.--If any person tampers with a mechanical
dye injection system used to indelibly dye fuel for purposes
of section 4082, then such person shall pay a penalty in
addition to the tax (if any).
``(2) Failure to maintain security requirements.--If any
operator of a mechanical dye injection system used to
indelibly dye fuel for purposes of section 4082 fails to
maintain the security standards for such system as
established by the Secretary, then such operator shall pay a
penalty.
``(b) Amount of Penalty.--The amount of the penalty under
subsection (a) shall be--
``(1) for each violation described in paragraph (1), the
greater of--
``(A) $25,000, or
``(B) $10 for each gallon of fuel involved, and
``(2) for each--
``(A) failure to maintain security standards described in
paragraph (2), $1,000, and
``(B) failure to correct a violation described in paragraph
(2), $1,000 per day for each day after which such violation
was discovered or such person should have reasonably known of
such violation.
``(c) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68 is amended by adding after the
item related to section 6715 the following new item:
``Sec. 6715A. Tampering with or failing to maintain security
requirements for mechanical dye injection systems.''.
(d) Effective Date.--The amendments made by subsections (a)
and (c) shall take effect 180 days after the date on which
the Secretary issues the regulations described in subsection
(b).
SEC. 5222. ELIMINATION OF ADMINISTRATIVE REVIEW FOR TAXABLE
USE OF DYED FUEL.
(a) In General.--Section 6715 is amended by inserting at
the end the following new subsection:
``(e) No Administrative Appeal for Third and Subsequent
Violations.--In the case of any person who is found to be
subject to the penalty under this section after a chemical
analysis of such fuel and who has been penalized under this
section at least twice after the date of the enactment of
this subsection, no administrative appeal or review shall be
allowed with respect to such finding except in the case of a
claim regarding--
``(1) fraud or mistake in the chemical analysis, or
``(2) mathematical calculation of the amount of the
penalty.''.
(b) Effective Date.--The amendment made by this section
shall apply to penalties assessed after the date of the
enactment of this Act.
SEC. 5223. PENALTY ON UNTAXED CHEMICALLY ALTERED DYED FUEL
MIXTURES.
(a) In General.--Section 6715(a) (relating to dyed fuel
sold for use or used in taxable use, etc.) is amended by
striking ``or'' in paragraph (2), by inserting ``or'' at the
end of paragraph (3), and by inserting after paragraph (3)
the following new paragraph:
``(4) any person who has knowledge that a dyed fuel which
has been altered as described in paragraph (3) sells or holds
for sale such fuel for any use which the person knows or has
reason to know is not a nontaxable use of such fuel,''.
(b) Conforming Amendment.--Section 6715(a)(3) is amended by
striking ``alters, or attempts to alter,'' and inserting
``alters, chemically or otherwise, or attempts to so
alter,''.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5224. TERMINATION OF DYED DIESEL USE BY INTERCITY BUSES.
(a) In General.--Paragraph (3) of section 4082(b) (relating
to nontaxable use) is amended to read as follows:
``(3) any use described in section
4041(a)(1)(C)(iii)(II).''.
(b) Ultimate Vendor Refund.--Subsection (b) of section 6427
is amended by adding at the end the following new paragraph:
``(4) Refunds for use of diesel fuel in certain intercity
buses.--
``(A) In general.--With respect to any fuel to which
paragraph (2)(A) applies, if the ultimate purchaser of such
fuel waives (at such time and in such form and manner as the
Secretary shall prescribe) the right to payment under
paragraph (1) and assigns such right to the ultimate vendor,
then the Secretary shall pay the amount which would be paid
under paragraph (1) to such ultimate vendor, but only if such
ultimate vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).
``(B) Credit cards.--For purposes of this paragraph, if the
sale of such fuel is made by means of a credit card, the
person extending credit to the ultimate purchaser shall be
deemed to be the ultimate vendor.''.
(c) Payment of Refunds.--Subparagraph (A) of section
6427(i)(4), as amended by section 5211 of this Act, is
amended by inserting ``subsections (b)(4) and'' after ``filed
under''.
(b) Effective Date.--The amendments made by this section
shall apply to fuel sold after September 30, 2004.
PART III--MODIFICATION OF INSPECTION OF RECORDS PROVISIONS
SEC. 5231. AUTHORITY TO INSPECT ON-SITE RECORDS.
(a) In General.--Section 4083(d)(1)(A) (relating to
administrative authority), as amended by section 5211 of this
Act, is amended by striking ``and'' at the end of clause (i)
and by inserting after clause (ii) the following new clause:
``(iii) inspecting any books and records and any shipping
papers pertaining to such fuel, and''.
(b) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5232. ASSESSABLE PENALTY FOR REFUSAL OF ENTRY.
(a) In General.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5221 of this Act, is amended by adding at the end the
following new section:
[[Page S1045]]
``SEC. 6717. REFUSAL OF ENTRY.
``(a) In General.--In addition to any other penalty
provided by law, any person who refuses to admit entry or
refuses to permit any other action by the Secretary
authorized by section 4083(d)(1) shall pay a penalty of
$1,000 for such refusal.
``(b) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(b) Conforming Amendments.--
(1) Section 4083(d)(3), as amended by section 5211 of this
Act, is amended--
(A) by striking ``entry.--The penalty'' and inserting:
``entry.--
``(A) Forfeiture.--The penalty'', and
(B) by adding at the end the following new subparagraph:
``(B) Assessable penalty.--For additional assessable
penalty for the refusal to admit entry or other refusal to
permit an action by the Secretary authorized by paragraph
(1), see section 6717.''.
(2) The table of sections for part I of subchapter B of
chapter 68, as amended by section 5221 of this Act, is
amended by adding at the end the following new item:
``Sec. 6717. Refusal of entry.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART IV--REGISTRATION AND REPORTING REQUIREMENTS
SEC. 5241. REGISTRATION OF PIPELINE OR VESSEL OPERATORS
REQUIRED FOR EXEMPTION OF BULK TRANSFERS TO
REGISTERED TERMINALS OR REFINERIES.
(a) In General.--Section 4081(a)(1)(B) (relating to
exemption for bulk transfers to registered terminals or
refineries) is amended--
(1) by inserting ``by pipeline or vessel'' after
``transferred in bulk'', and
(2) by inserting ``, the operator of such pipeline or
vessel,'' after ``the taxable fuel''.
(b) Civil Penalty for Carrying Taxable Fuels by
Nonregistered Pipelines or Vessels.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5232 of this Act, is amended by adding at the end the
following new section:
``SEC. 6718. CARRYING TAXABLE FUELS BY NONREGISTERED
PIPELINES OR VESSELS.
``(a) Imposition of Penalty.--If any person knowingly
transfers any taxable fuel (as defined in section 4083(a)(1))
in bulk pursuant to section 4081(a)(1)(B) to an unregistered,
such person shall pay a penalty in addition to the tax (if
any).
``(b) Amount of Penalty.--
``(1) In general.--Except as provided in paragraph (2), the
amount of the penalty under subsection (a) on each act shall
be an amount equal to the greater of--
``(A) $10,000, or
``(B) $1 per gallon.
``(2) Multiple violations.--In determining the penalty
under subsection (a) on any person, paragraph (1) shall be
applied by increasing the amount in paragraph (1) by the
product of such amount and the number of prior penalties (if
any) imposed by this section on such person (or a related
person or any predecessor of such person or related person).
``(c) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.
``(d) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5232 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6718. Carrying taxable fuels by nonregistered pipelines or
vessels.''.
(c) Publication of Registered Persons.--Not later than June
30, 2004, the Secretary of the Treasury shall publish a list
of persons required to be registered under section 4101 of
the Internal Revenue Code of 1986.
(d) Effective Date.--The amendments made by subsections (a)
and (b) shall take effect on October 1, 2004.
SEC. 5242. DISPLAY OF REGISTRATION.
(a) In General.--Subsection (a) of section 4101 (relating
to registration) is amended--
(1) by striking ``Every'' and inserting the following:
``(1) In general.--Every'', and
(2) by adding at the end the following new paragraph:
``(2) Display of registration.--Every operator of a vessel
required by the Secretary to register under this section
shall display proof of registration through an electronic
identification device prescribed by the Secretary on each
vessel used by such operator to transport any taxable
fuel.''.
(b) Civil Penalty for Failure to Display Registration.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5241 of this Act, is amended by adding at the end the
following new section:
``SEC. 6719. FAILURE TO DISPLAY REGISTRATION OF VESSEL.
``(a) Failure to Display Registration.--Every operator of a
vessel who fails to display proof of registration pursuant to
section 4101(a)(2) shall pay a penalty of $500 for each such
failure. With respect to any vessel, only one penalty shall
be imposed by this section during any calendar month.
``(b) Multiple Violations.--In determining the penalty
under subsection (a) on any person, subsection (a) shall be
applied by increasing the amount in subsection (a) by the
product of such amount and the number of prior penalties (if
any) imposed by this section on such person (or a related
person or any predecessor of such person or related person).
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5241 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6719. Failure to display registration of vessel.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5243. REGISTRATION OF PERSONS WITHIN FOREIGN TRADE
ZONES, ETC..
(a) In General.--Section 4101(a), as amended by section
5242 of this Act, is amended by redesignating paragraph (2)
as paragraph (3), and by inserting after paragraph (1) the
following new paragraph:
``(2) Registration of persons within foreign trade zones,
etc..--The Secretary shall require registration by any person
which--
``(A) operates a terminal or refinery within a foreign
trade zone or within a customs bonded storage facility, or
``(B) holds an inventory position with respect to a taxable
fuel in such a terminal.''.
(b) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5244. PENALTIES FOR FAILURE TO REGISTER AND FAILURE TO
REPORT.
(a) Increased Penalty.--Subsection (a) of section 7272
(relating to penalty for failure to register) is amended by
inserting ``($10,000 in the case of a failure to register
under section 4101)'' after ``$50''.
(b) Increased Criminal Penalty.--Section 7232 (relating to
failure to register under section 4101, false representations
of registration status, etc.) is amended by striking
``$5,000'' and inserting ``$10,000''.
(c) Assessable Penalty for Failure to Register.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5242 of this Act, is amended by adding at the end the
following new section:
``SEC. 6720. FAILURE TO REGISTER.
``(a) Failure to Register.--Every person who is required to
register under section 4101 and fails to do so shall pay a
penalty in addition to the tax (if any).
``(b) Amount of Penalty.--The amount of the penalty under
subsection (a) shall be--
``(1) $10,000 for each initial failure to register, and
``(2) $1,000 for each day thereafter such person fails to
register.
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5242 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6720. Failure to register.''.
(d) Assessable Penalty for Failure to Report.--
(1) In general.--Part II of subchapter B of chapter 68
(relating to assessable penalties) is amended by adding at
the end the following new section:
``SEC. 6725. FAILURE TO REPORT INFORMATION UNDER SECTION
4101.
``(a) In General.--In the case of each failure described in
subsection (b) by any person with respect to a vessel or
facility, such person shall pay a penalty of $10,000 in
addition to the tax (if any).
``(b) Failures Subject to Penalty.--For purposes of
subsection (a), the failures described in this subsection
are--
``(1) any failure to make a report under section 4101(d) on
or before the date prescribed therefor, and
``(2) any failure to include all of the information
required to be shown on such report or the inclusion of
incorrect information.
[[Page S1046]]
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part II
of subchapter B of chapter 68 is amended by adding at the end
the following new item:
``Sec. 6725. Failure to report information under section 4101.''.
(e) Effective Date.--The amendments made by this section
shall apply to failures pending or occurring after September
30, 2004.
SEC. 5245. INFORMATION REPORTING FOR PERSONS CLAIMING CERTAIN
TAX BENEFITS.
(a) In General.--Subpart C of part III of subchapter A of
chapter 32 is amended by adding at the end the following new
section:
``SEC. 4104. INFORMATION REPORTING FOR PERSONS CLAIMING
CERTAIN TAX BENEFITS.
``(a) In General.--The Secretary shall require any person
claiming tax benefits--
``(1) under the provisions of section 34, 40, and 40A to
file a return at the time such person claims such benefits
(in such manner as the Secretary may prescribe), and
``(2) under the provisions of section 4041(b)(2), 6426, or
6427(e) to file a monthly return (in such manner as the
Secretary may prescribe).
``(b) Contents of Return.--Any return filed under this
section shall provide such information relating to such
benefits and the coordination of such benefits as the
Secretary may require to ensure the proper administration and
use of such benefits.
``(c) Enforcement.--With respect to any person described in
subsection (a) and subject to registration requirements under
this title, rules similar to rules of section 4222(c) shall
apply with respect to any requirement under this section.''.
(b) Conforming Amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 32 is
amended by adding at the end the following new item:
``Sec. 4104. Information reporting for persons claiming certain tax
benefits.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART V--IMPORTS
SEC. 5251. TAX AT POINT OF ENTRY WHERE IMPORTER NOT
REGISTERED.
(a) Tax at Point of Entry Where Importer Not Registered.--
(1) In general.--Subpart C of part III of subchapter A of
chapter 31, as amended by section 5245 of this Act, is
amended by adding at the end the following new section:
``SEC. 4105. TAX AT ENTRY WHERE IMPORTER NOT REGISTERED.
``(a) In General.--Any tax imposed under this part on any
person not registered under section 4101 for the entry of a
fuel into the United States shall be imposed at the time and
point of entry.
``(b) Enforcement of Assessment.--If any person liable for
any tax described under subsection (a) has not paid the tax
or posted a bond, the Secretary may--
``(1) seize the fuel on which the tax is due, or
``(2) detain any vehicle transporting such fuel,
until such tax is paid or such bond is filed.
``(c) Levy of Fuel.--If no tax has been paid or no bond has
been filed within 5 days from the date the Secretary seized
fuel pursuant to subsection (b), the Secretary may sell such
fuel as provided under section 6336.''.
(2) Conforming amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 31 of the
Internal Revenue Code of 1986, as amended by section 5245 of
this Act, is amended by adding after the last item the
following new item:
``Sec. 4105. Tax at entry where importer not registered.''.
(b) Denial of Entry Where Tax Not Paid.--The Secretary of
Homeland Security is authorized to deny entry into the United
States of any shipment of a fuel which is taxable under
section 4081 of the Internal Revenue Code of 1986 if the
person entering such shipment fails to pay the tax imposed
under such section or post a bond in accordance with the
provisions of section 4105 of such Code.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5252. RECONCILIATION OF ON-LOADED CARGO TO ENTERED
CARGO.
(a) In General.--Subsection (a) of section 343 of the Trade
Act of 2002 is amended by inserting at the end the following
new paragraph:
``(4) In General.--Subject to paragraphs (2) and (3), not
later than 1 year after the enactment of this paragraph, the
Secretary of Homeland Security, together with the Secretary
of the Treasury, shall promulgate regulations providing for
the transmission to the Internal Revenue Service, through an
electronic data interchange system, of information pertaining
to cargo of taxable fuels (as defined in section 4083 of the
Internal Revenue Code of 1986) destined for importation into
the United States prior to such importation.''.
(b) Effective Date.--The amendment made by this section
shall take effect on the date of the enactment of this Act.
PART VI--MISCELLANEOUS PROVISIONS
SEC. 5261. TAX ON SALE OF DIESEL FUEL WHETHER SUITABLE FOR
USE OR NOT IN A DIESEL-POWERED VEHICLE OR
TRAIN.
(a) In General.--Section 4083(a)(3) is amended--
(1) by striking ``The term'' and inserting the following:
``(A) In general.--The term'', and
(2) by inserting at the end the following new subparagraph:
``(B) Liquid sold as diesel fuel.--The term `diesel fuel'
includes any liquid which is sold as or offered for sale as a
fuel in a diesel-powered highway vehicle or a diesel-powered
train.''.
(b) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5262. MODIFICATION OF ULTIMATE VENDOR REFUND CLAIMS WITH
RESPECT TO FARMING.
(a) In General.--
(1) Refunds.--Section 6427(l) is amended by adding at the
end the following new paragraph:
``(6) Registered vendors permitted to administer certain
claims for refund of diesel fuel and kerosene sold to
farmers.--
``(A) In general.--In the case of diesel fuel or kerosene
used on a farm for farming purposes (within the meaning of
section 6420(c)), paragraph (1) shall not apply to the
aggregate amount of such diesel fuel or kerosene if such
amount does not exceed 500 gallons (as determined under
subsection (i)(5)(A)(iii)).
``(B) Payment to ultimate vendor.--The amount which would
(but for subparagraph (A)) have been paid under paragraph (1)
with respect to any fuel shall be paid to the ultimate vendor
of such fuel, if such vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).''.
(2) Filing of claims.--Section 6427(i) is amended by
inserting at the end the following new paragraph:
``(5) Special rule for vendor refunds with respect to
farmers.--
``(A) In general.--A claim may be filed under subsection
(l)(6) by any person with respect to fuel sold by such person
for any period--
``(i) for which $200 or more ($100 or more in the case of
kerosene) is payable under subsection (l)(6),
``(ii) which is not less than 1 week, and
``(iii) which is for not more than 500 gallons for each
farmer for which there is a claim.
Notwithstanding subsection (l)(1), paragraph (3)(B) shall
apply to claims filed under the preceding sentence.
``(B) Time for filing claim.--No claim filed under this
paragraph shall be allowed unless filed on or before the last
day of the first quarter following the earliest quarter
included in the claim.''.
(3) Conforming amendments.--
(A) Section 6427(l)(5)(A) is amended to read as follows:
``(A) In general.--Paragraph (1) shall not apply to diesel
fuel or kerosene used by a State or local government.''.
(B) The heading for section 6427(l)(5) is amended by
striking ``farmers and''.
(b) Section 6427(i)(3) is amended--
(1) by adding at the end of subparagraph (A) the following
new flush sentence:
``In the case of an electronic claim, this subparagraph shall
be applied without regard to clause (i).'', and
(2) by striking ``20 days of the date of the filing of such
claim'' in subparagraph (B) and inserting ``45 days of the
date of the filing of such claim (20 days in the case of an
electronic claim)'', and
(c) Effective Date.--The amendment made by this section
shall apply to fuels sold for nontaxable use after the date
of the enactment of this Act.
SEC. 5263. TAXABLE FUEL REFUNDS FOR CERTAIN ULTIMATE VENDORS.
(a) In General.--Paragraph (4) of section 6416(a) (relating
to abatements, credits, and refunds) is amended to read as
follows:
``(4) Registered ultimate vendor to administer credits and
refunds of gasoline tax.--
``(A) In general.--For purposes of this subsection, if an
ultimate vendor purchases any gasoline on which tax imposed
by section 4081 has been paid and sells such gasoline to an
ultimate purchaser described in subparagraph (C) or (D) of
subsection (b)(2) (and such gasoline is for a use described
in such subparagraph), such ultimate vendor shall be treated
as the person (and the only person) who paid such tax, but
only if such ultimate vendor is registered under section
4101. For purposes of this subparagraph, if the sale of
gasoline is made by means of a credit card, the person
extending the credit to the ultimate purchaser shall be
deemed to be the ultimate vendor.
``(B) Timing of claims.--The procedure and timing of any
claim under subparagraph (A) shall be the same as for claims
under section 6427(i)(4), except that the rules of section
6427(i)(3)(B) regarding electronic claims shall not apply
unless the ultimate vendor has certified to the Secretary for
the most recent quarter of the taxable year that all ultimate
purchasers of the vendor are certified and entitled to a
refund under subparagraph (C) or (D) of subsection (b)(2).''.
(b) Credit Card Purchases of Diesel Fuel or Kerosene by
State and Local Governments.--Section 6427(l)(5)(C) (relating
to nontaxable uses of diesel fuel, kerosene, and aviation
fuel), as amended by section 5252 of this Act, is amended by
adding at the end
[[Page S1047]]
the following new sentence: ``For purposes of this
subparagraph, if the sale of diesel fuel or kerosene is made
by means of a credit card, the person extending the credit to
the ultimate purchaser shall be deemed to be the ultimate
vendor.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5264. TWO-PARTY EXCHANGES.
(a) In General.--Subpart C of part III of subchapter A of
chapter 32, as amended by section 5251 of this Act, is
amended by adding at the end the following new section:
``SEC. 4106. TWO-PARTY EXCHANGES.
``(a) In General.--In a two-party exchange, the delivering
person shall not be liable for the tax imposed under of
section 4081(a)(1)(A)(ii).
``(b) Two-Party Exchange.--The term `two-party exchange'
means a transaction, other than a sale, in which taxable fuel
is transferred from a delivering person registered under
section 4101 as a taxable fuel registrant to a receiving
person who is so registered where all of the following occur:
``(1) The transaction includes a transfer from the
delivering person, who holds the inventory position for
taxable fuel in the terminal as reflected in the records of
the terminal operator.
``(2) The exchange transaction occurs before or
contemporaneous with completion of removal across the rack
from the terminal by the receiving person.
``(3) The terminal operator in its books and records treats
the receiving person as the person that removes the product
across the terminal rack for purposes of reporting the
transaction to the Secretary.
``(4) The transaction is the subject of a written
contract.''.
(b) Conforming Amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 32, as
amended by section 5251 of this Act, is amended by adding
after the last item the following new item:
``Sec. 4106. Two-party exchanges.''.
(c) Effective Date.--The amendment made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5265. MODIFICATIONS OF TAX ON USE OF CERTAIN VEHICLES.
(a) No Proration of Tax Unless Vehicle Is Destroyed or
Stolen.--
(1) In general.--Section 4481(c) (relating to proration of
tax) is amended to read as follows:
``(c) Proration of Tax Where Vehicle Sold, Destroyed, or
Stolen.--
``(1) In general.--If in any taxable period a highway motor
vehicle is sold, destroyed, or stolen before the first day of
the last month in such period and not subsequently used
during such taxable period, the tax shall be reckoned
proportionately from the first day of the month in such
period in which the first use of such highway motor vehicle
occurs to and including the last day of the month in which
such highway motor vehicle was sold, destroyed, or stolen.
``(2) Destroyed.--For purposes of paragraph (1), a highway
motor vehicle is destroyed if such vehicle is damaged by
reason of an accident or other casualty to such an extent
that it is not economic to rebuild.''.
(2) Conforming amendments.--
(A) Section 6156 (relating to installment payment of tax on
use of highway motor vehicles) is repealed.
(B) The table of sections for subchapter A of chapter 62 is
amended by striking the item relating to section 6156.
(b) Display of Tax Certificate.--Paragraph (2) of section
4481(d) (relating to one tax liability for period) is amended
to read as follows:
``(2) Display of tax certificate.--Every taxpayer which
pays the tax imposed under this section with respect to a
highway motor vehicle shall, not later than 1 month after the
due date of the return of tax with respect to each taxable
period, receive and display on such vehicle an electronic
identification device prescribed by the Secretary.''.
(c) Electronic filing.--Section 4481, as amended by section
5001 of this Act, is amended by redesignating subsection (e)
as subsection (f) and by inserting after subsection (d) the
following new subsection:
``(e) Electronic filing.--Any taxpayer who files a return
under this section with respect to 25 or more vehicles for
any taxable period shall file such return electronically.''.
(d) Repeal of reduction in tax for certain trucks.--Section
4483 of the Internal Revenue Code of 1986 is amended by
striking subsection (f).
(e) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to taxable
periods beginning after the date of the enactment of this
Act.
(2) Subsection (b).--The amendment made by subsection (b)
shall take effect on October 1, 2005.
SEC. 5266. DEDICATION OF REVENUES FROM CERTAIN PENALTIES TO
THE HIGHWAY TRUST FUND.
(a) In General.--Subsection (b) of section 9503 (relating
to transfer to Highway Trust Fund of amounts equivalent to
certain taxes), as amended by section 5001 of this Act, is
amended by redesignating paragraph (5) as paragraph (6) and
inserting after paragraph (4) the following new paragraph:
``(5) Certain penalties.--There are hereby appropriated to
the Highway Trust Fund amounts equivalent to the penalties
assessed under sections 6715, 6715A, 6717, 6718, 6719, 6720,
6725, 7232, and 7272 (but only with regard to penalties under
such section related to failure to register under section
4101).''.
(b) Conforming Amendments.--
(1) The heading of subsection (b) of section 9503 is
amended by inserting ``and Penalties'' after ``Taxes''.
(2) The heading of paragraph (1) of section 9503(b) is
amended by striking ``In general'' and inserting ``Certain
taxes''.
(c) Effective Date.--The amendments made by this section
shall apply to penalties assessed after October 1, 2004.
SEC. 5267. NONAPPLICATION OF EXPORT EXEMPTION TO DELIVERY OF
FUEL TO MOTOR VEHICLES REMOVED FROM UNITED
STATES.
(a) In General.--Section 4221(d)(2) (defining export) is
amended by adding at the end the following new sentence:
``Such term does not include the delivery of a taxable fuel
(as defined in section 4083(a)(1)) into a fuel tank of a
motor vehicle which is shipped or driven out of the United
States.''.
(b) Conforming Amendments.--
(1) Section 4041(g) (relating to other exemptions) is
amended by adding at the end the following new sentence:
``Paragraph (3) shall not apply to the sale for delivery of a
liquid into a fuel tank of a motor vehicle which is shipped
or driven out of the United States.''.
(2) Clause (iv) of section 4081(a)(1)(A) (relating to tax
on removal, entry, or sale) is amended by inserting ``or at a
duty-free sales enterprise (as defined in section 555(b)(8)
of the Tariff Act of 1930)'' after ``section 4101''.
(c) Effective Date.--The amendments made by this section
shall apply to sales or deliveries made after the date of the
enactment of this Act.
PART VII--TOTAL ACCOUNTABILITY
SEC. 5271. TOTAL ACCOUNTABILITY.
(a) Taxation of Reportable Liquids.--
(1) In general.--Section 4081(a), as amended by this Act,
is amended--
(A) by inserting ``or reportable liquid'' after ``taxable
fuel'' each place it appears, and
(B) by inserting ``such liquid'' after ``such fuel'' in
paragraph (1)(A)(iv).
(2) Rate of tax.--Subparagraph (A) of section 4081(a)(2),
as amended by section 5211 of this Act, is amended by
striking ``and'' at the end of clause (iii), by striking the
period at the end of clause (iv) and inserting ``, and'', and
by adding at the end the following new clause:
``(v) in the case of reportable liquids, the rate
determined under section 4083(c)(2).''.
(3) Exemption.--Section 4081(a)(1) is amended by adding at
the end the following new subparagraph:
``(C) Exemption for registered transfers of reportable
liquids.--The tax imposed by this paragraph shall not apply
to any removal, entry, or sale of a reportable liquid if--
``(i) such removal, entry, or sale is to a registered
person who certifies that such liquid will not be used as a
fuel or in the production of a fuel, or
``(ii) the sale is to the ultimate purchaser of such
liquid.''.
(4) Reportable liquids.--Section 4083, as amended by this
Act, is amended by redesignating subsections (c) and (d) (as
redesignated by section 5211 of this Act) as subsections (d)
and (e), respectively, and by inserting after subsection (b)
the following new section:
``(c) Reportable liquid.--For purposes of this subpart--
``(1) In general.--The term `reportable liquid' means any
petroleum-based liquid other than a taxable fuel.
``(2) Taxation.--
``(A) Gasoline blend stocks and additives.--Gasoline blend
stocks and additives which are reportable liquids (as defined
in paragraph (1)) shall be subject to the rate of tax under
clause (i) of section 4081(a)(2)(A).
``(B) Other reportable liquids.--Any reportable liquid (as
defined in paragraph (1)) not described in subparagraph (A)
shall be subject to the rate of tax under clause (iii) of
section 4081(a)(2)(A).''.
(5) Conforming amendments.--
(A) Section 4081(e) is amended by inserting ``or reportable
liquid'' after ``taxable fuel''.
(B) Section 4083(d) (relating to certain use defined as
removal), as redesignated by paragraph (4), is amended by
inserting ``or reportable liquid'' after ``taxable fuel''.
(C) Section 4083(e)(1) (relating to administrative
authority), as redesignated by paragraph (4), is amended--
(i) in subparagraph (A)--
(I) by inserting ``or reportable liquid'' after ``taxable
fuel'', and
(II) by inserting ``or such liquid'' after ``such fuel''
each place it appears, and
(ii) in subparagraph (B), by inserting ``or any reportable
liquid'' after ``any taxable fuel''.
(D) Section 4101(a)(2), as added by section 5243 of this
Act, is amended by inserting ``or a reportable liquid'' after
``taxable fuel''.
(E) Section 4101(a)(3), as added by section 5242 of this
Act and redesignated by section 5243 of this Act, is amended
by inserting ``or any reportable liquid'' before the period
at the end.
(F) Section 4102 is amended by inserting ``or any
reportable liquid'' before the period at the end.
(G)(i) Section 6718, as added by section 5241 of this Act,
is amended--
(I) in subsection (a), by inserting ``or any reportable
liquid (as defined in section 4083(c)(1))'' after `` section
4083(a)(1))'', and
[[Page S1048]]
(II) in the heading, by inserting ``or reportable liquids''
after ``taxable fuel''.
(ii) The item relating to section 6718 in table of sections
for part I of subchapter B of chapter 68, as added by section
5241 of this Act, is amended by inserting ``or reportable
liquids'' after ``taxable fuels''.
(H) Section 6427(h) is amended to read as follows:
``(h) Gasoline Blend Stocks or Additives and Reportable
Liquids.--Except as provided in subsection (k)--
``(1) if any gasoline blend stock or additive (within the
meaning of section 4083(a)(2)) is not used by any person to
produce gasoline and such person establishes that the
ultimate use of such gasoline blend stock or additive is not
to produce gasoline, or
``(2) if any reportable liquid (within the meaning of
section 4083(c)(1)) is not used by any person to produce a
taxable fuel and such person establishes that the ultimate
use of such reportable liquid is not to produce a taxable
fuel,
then the Secretary shall pay (without interest) to such
person an amount equal to the aggregate amount of the tax
imposed on such person with respect to such gasoline blend
stock or additive or such reportable fuel.''.
(I) Section 7232, as amended by this Act, is amended by
inserting ``or reportable liquid (within the meaning of
section 4083(c)(1))'' after ``section 4083)''.
(J) Section 343 of the Trade Act of 2002, as amended by
section 5252 of this Act, is amended by inserting ``and
reportable liquids (as defined in section 4083(c)(1) of such
Code)'' after ``Internal Revenue Code of 1986)''.
(b) Dyed Diesel.--Section 4082(a) is amended by striking
``and'' at the end of paragraph (2), by striking the period
at the end of paragraph (3) and inserting ``and'', and by
inserting after paragraph (3) the following new paragraph:
``(4) which is removed, entered, or sold by a person
registered under section 4101.''.
(c) Effective Date.--The amendments made by this section
shall apply to reportable liquids (as defined in section
4083(c) of the Internal Revenue Code) and fuel sold or used
after September 30, 2004.
SEC. 5272. EXCISE TAX REPORTING.
(a) In General.--Part II of subchapter A of chapter 61 is
amended by adding at the end the following new subpart:
``Subpart E--Excise Tax Reporting
``SEC. 6025. RETURNS RELATING TO FUEL TAXES.
``(a) In General.--The Secretary shall require any person
liable for the tax imposed under Part III of subchapter A of
chapter 32 to file a return of such tax on a monthly basis.
``(b) Information Included with Return.--The Secretary
shall require any person filing a return under subsection (a)
to provide information regarding any refined product (whether
or not such product is taxable under this title) removed from
a terminal during the period for which such return
applies.''.
(b) Conforming Amendment.--The table of parts for
subchapter A of chapter 61 is amended by adding at the end
the following new item:
``Subpart E--Excise Tax Reporting''.
(c) Effective Date.--The amendments made by this section
shall apply to fuel sold or used after September 30, 2004.
SEC. 5273. INFORMATION REPORTING.
(a) In General.--Section 4101(d) is amended by adding at
the end the following new flush sentence:
``The Secretary shall require reporting under the previous
sentence with respect to taxable fuels removed, entered, or
transferred from any refinery, pipeline, or vessel which is
registered under this section.''.
(b) Effective Date.--The amendment made by this section
shall apply on October 1, 2004.
Subtitle D--Definition of Highway Vehicle
SEC. 5301. EXEMPTION FROM CERTAIN EXCISE TAXES FOR MOBILE
MACHINERY.
(a) Exemption From Tax on Heavy Trucks and Trailers Sold at
Retail.--
(1) In general.--Section 4053 (relating to exemptions) is
amended by adding at the end the following new paragraph:
``(8) Mobile machinery.--Any vehicle which consists of a
chassis--
``(A) to which there has been permanently mounted (by
welding, bolting, riveting, or other means) machinery or
equipment to perform a construction, manufacturing,
processing, farming, mining, drilling, timbering, or similar
operation if the operation of the machinery or equipment is
unrelated to transportation on or off the public highways,
``(B) which has been specially designed to serve only as a
mobile carriage and mount (and a power source, where
applicable) for the particular machinery or equipment
involved, whether or not such machinery or equipment is in
operation, and
``(C) which, by reason of such special design, could not,
without substantial structural modification, be used as a
component of a vehicle designed to perform a function of
transporting any load other than that particular machinery or
equipment or similar machinery or equipment requiring such a
specially designed chassis.''.
(2) Effective date.--The amendment made by this subsection
shall take effect on the day after the date of the enactment
of this Act.
(b) Exemption From Tax on Use of Certain Vehicles.--
(1) In general.--Section 4483 (relating to exemptions) is
amended by redesignating subsection (g) as subsection (h) and
by inserting after subsection (f) the following new
subsection:
``(g) Exemption for Mobile Machinery.--No tax shall be
imposed by section 4481 on the use of any vehicle described
in section 4053(8).''.
(2) Effective date.--The amendments made by this subsection
shall take effect on the day after the date of the enactment
of this Act.
(d) Exemption From Fuel Taxes.--
(1) In general.--Section 6421(e)(2) (defining off-highway
business use) is amended by adding at the end the following
new subparagraph:
``(C) Uses in mobile machinery.--
``(i) In general.--The term `off-highway business use'
shall include any use in a vehicle which meets the
requirements described in clause (ii).
``(ii) Requirements for mobile machinery.--The requirements
described in this clause are--
``(I) the design-based test, and
``(II) the use-based test.
``(iii) Design-based test.--For purposes of clause (ii)(I),
the design-based test is met if the vehicle consists of a
chassis--
``(I) to which there has been permanently mounted (by
welding, bolting, riveting, or other means) machinery or
equipment to perform a construction, manufacturing,
processing, farming, mining, drilling, timbering, or similar
operation if the operation of the machinery or equipment is
unrelated to transportation on or off the public highways,
``(II) which has been specially designed to serve only as a
mobile carriage and mount (and a power source, where
applicable) for the particular machinery or equipment
involved, whether or not such machinery or equipment is in
operation, and
``(III) which, by reason of such special design, could not,
without substantial structural modification, be used as a
component of a vehicle designed to perform a function of
transporting any load other than that particular machinery or
equipment or similar machinery or equipment requiring such a
specially designed chassis.
``(iv) Use-based test.--For purposes of clause (ii)(II),
the use-based test is met if the use of the vehicle on public
highways was less than 5,000 miles during the taxpayer's
taxable year.
``(v) Special rule for use by certain tax-exempt
organizations.--In the case of any use in a vehicle by an
organization which is described in section 501(c) and exempt
from tax under section 501(a), clause (ii) shall be applied
without regard to subclause (II) thereof.''.
(2) Annual refund of tax paid.--Section 6427(i)(2)
(relating to exceptions) is amended by adding at the end the
following new subparagraph:
``(C) Nonapplication of paragraph.--This paragraph shall
not apply to any fuel used in any off-highway business use
described in section 6421(e)(2)(C).''.
(3) Effective date.--The amendments made by this subsection
shall apply to taxable years beginning after the date of the
enactment of this Act.
SEC. 5302. MODIFICATION OF DEFINITION OF OFF-HIGHWAY VEHICLE.
(a) In General.--Section 7701(a) (relating to definitions)
is amended by adding at the end the following new paragraph:
``(48) Off-highway vehicles.--
``(A) Off-highway transportation vehicles.--
``(i) In general.--A vehicle shall not be treated as a
highway vehicle if such vehicle is specially designed for the
primary function of transporting a particular type of load
other than over the public highway and because of this
special design such vehicle's capability to transport a load
over the public highway is substantially limited or impaired.
``(ii) Determination of vehicle's design.--For purposes of
clause (i), a vehicle's design is determined solely on the
basis of its physical characteristics.
``(iii) Determination of substantial limitation or
impairment.--For purposes of clause (i), in determining
whether substantial limitation or impairment exists, account
may be taken of factors such as the size of the vehicle,
whether such vehicle is subject to the licensing, safety, and
other requirements applicable to highway vehicles, and
whether such vehicle can transport a load at a sustained
speed of at least 25 miles per hour. It is immaterial that a
vehicle can transport a greater load off the public highway
than such vehicle is permitted to transport over the public
highway.
``(B) Nontransportation trailers and semitrailers.--A
trailer or semitrailer shall not be treated as a highway
vehicle if it is specially designed to function only as an
enclosed stationary shelter for the carrying on of an off-
highway function at an off-highway site.''.
(c) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendment made by this section shall take effect on the date
of the enactment of this Act.
(2) Fuel taxes.--With respect to taxes imposed under
subchapter B of chapter 31 and part III of subchapter A of
chapter 32, the amendment made by this section shall apply
[[Page S1049]]
to taxable periods beginning after the date of the enactment
of this Act.
Subtitle E--Excise Tax Reform and Simplification
PART I--HIGHWAY EXCISE TAXES
SEC. 5401. DEDICATION OF GAS GUZZLER TAX TO HIGHWAY TRUST
FUND.
(a) In General.--Section 9503(b)(1) (relating to transfer
to Highway Trust Fund of amounts equivalent to certain taxes)
is amended by redesignating subparagraphs (C), (D), and (E)
as subparagraphs (D), (E), and (F), respectively, and by
inserting after subparagraph (B) the following new
subparagraph:
``(C) section 4064 (relating to gas guzzler tax),''.
(b) Uniform Application of Tax.--Subparagraph (A) of
section 4064(b)(1) (defining automobile) is amended by
striking the second sentence.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5402. REPEAL CERTAIN EXCISE TAXES ON RAIL DIESEL FUEL
AND INLAND WATERWAY BARGE FUELS.
(a) Taxes on Trains.--
(1) In general.--Subparagraph (A) of section 4041(a)(1) is
amended by striking ``or a diesel-powered train'' each place
it appears and by striking ``or train''.
(2) Conforming amendments.--
(A) Subparagraph (C) of section 4041(a)(1), as amended by
section 5001 of this Act, is amended by striking clause (ii)
and by redesignating clause (iii) as clause (ii).
(B) Subparagraph (C) of section 4041(b)(1) is amended by
striking all that follows ``section 6421(e)(2)'' and
inserting a period.
(C) Subsection (d) of section 4041 is amended by
redesignating paragraph (3) as paragraph (4) and by inserting
after paragraph (2) the following new paragraph:
``(3) Diesel fuel used in trains.--There is hereby imposed
a tax of 0.1 cent per gallon on any liquid other than
gasoline (as defined in section 4083)--
``(A) sold by any person to an owner, lessee, or other
operator of a diesel-powered train for use as a fuel in such
train, or
``(B) used by any person as a fuel in a diesel-powered
train unless there was a taxable sale of such fuel under
subparagraph (A).
No tax shall be imposed by this paragraph on the sale or use
of any liquid if tax was imposed on such liquid under section
4081.''.
(D) Subsection (f) of section 4082 is amended by striking
``section 4041(a)(1)'' and inserting ``subsections (d)(3) and
(a)(1) of section 4041, respectively''.
(E) Subparagraphs (A) and (B) of section 4083(a)(3), as
amended by section 5261 of this Act, are amended by striking
``or a diesel-powered train''.
(F) Paragraph (3) of section 6421(f) is amended to read as
follows:
``(3) Gasoline used in trains.--In the case of gasoline
used as a fuel in a train, this section shall not apply with
respect to the Leaking Underground Storage Tank Trust Fund
financing rate under section 4081.''.
(G) Paragraph (3) of section 6427(l) is amended to read as
follows:
``(3) Refund of certain taxes on fuel used in diesel-
powered trains.--For purposes of this subsection, the term
`nontaxable use' includes fuel used in a diesel-powered
train. The preceding sentence shall not apply to the tax
imposed by section 4041(d) and the Leaking Underground
Storage Tank Trust Fund financing rate under section 4081
except with respect to fuel sold for exclusive use by a State
or any political subdivision thereof.''.
(b) Fuel Used on Inland Waterways.--
(1) In general.--Paragraph (1) of section 4042(b) is
amended by adding ``and'' at the end of subparagraph (A), by
striking ``, and'' at the end of subparagraph (B) and
inserting a period, and by striking subparagraph (C).
(2) Conforming amendment.--Paragraph (2) of section 4042(b)
is amended by striking subparagraph (C).
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART II--AQUATIC EXCISE TAXES
SEC. 5411. ELIMINATION OF AQUATIC RESOURCES TRUST FUND AND
TRANSFORMATION OF SPORT FISH RESTORATION
ACCOUNT.
(a) Simplification of Funding for Boat Safety Account.--
(1) In general.--Section 9503(c)(3) (relating to transfers
from Trust Fund for motorboat fuel taxes), as redesignated by
section 5002 of this Act, is amended--
(A) by striking ``Fund--'' and all that follows through
``shall be transferred'' in subparagraph (B) and inserting
``Fund which is attributable to motorboat fuel taxes shall be
transferred'', and
(B) by striking subparagraph (A), and
(C) by redesignating subparagraphs (B) through (E) as
subparagraphs (A) through (D), respectively.
(2) Conforming amendments.--
(A) Section 9503(b)(4) is amended by striking subparagraph
(D).
(B) Subparagraph (B) of section 9503(c)(3), as redesignated
by section 5002 of this Act and subsection (a)(3), is
amended--
(i) by striking ``account'' in the heading and inserting
``trust fund'',
(ii) by striking ``or (B)'' in clause (ii), and
(iii) by striking ``Account in the Aquatic Resources''.
(C) Subparagraph (C) of section 9503(c)(3), as redesignated
by section 5002 of this Act and subsection (a)(3), is amended
by striking ``, but only to the extent such taxes are
deposited into the Highway Trust Fund''.
(D) Paragraph (4) of section 9503(c), as redesignated by
section 5002 of this Act, is amended--
(i) by striking ``Account in the Aquatic Resources'' in
subparagraph (A), and
(ii) by striking ``, but only to the extent such taxes are
deposited into the Highway Trust Fund'' in subparagraph (B).
(b) Merging of Accounts.--
(1) In general.--Subsection (a) of section 9504 is amended
to read as follows:
``(a) Creation of Trust Fund.--There is hereby established
in the Treasury of the United States a trust fund to be known
as the `Sport Fish Restoration Trust Fund'. Such Trust Fund
shall consist of such amounts as may be appropriated,
credited, or paid to it as provided in this section, section
9503(c)(3), section 9503(c)(4), or section 9602(b).''.
(2) Conforming amendments.--
(A) Subsection (b) of section 9504 is amended--
(i) by striking ``Account'' in the heading and inserting
``Trust Fund'',
(ii) by striking ``Account'' both places it appears in
paragraphs (1) and (2) and inserting ``Trust Fund'', and
(iii) by striking ``account'' both places it appears in the
headings for paragraphs (1) and (2) and inserting ``trust
fund''.
(B) Subsection (d) of section 9504, as amended by section
5001 of this Act, is amended--
(i) by striking ``Aquatic Resources'' in the heading,
(ii) by striking ``any Account in the Aquatic Resources''
in paragraph (1) and inserting ``the Sports Fish
Restoration'', and
(iii) by striking ``any such Account'' in paragraph (1) and
inserting ``such Trust Fund''.
(C) Subsection (e) of section 9504, as amended by section
5002 of this Act, is amended by striking ``Boat Safety
Account and Sport Fish Restoration Account'' and inserting
``Sport Fish Restoration Trust Fund''.
(D) Section 9504 is amended by striking ``AQUATIC
RESOURCES'' in the heading and inserting ``SPORT FISH
RESTORATION''.
(E) The item relating to section 9504 in the table of
sections for subchapter A of chapter 98 is amended by
striking ``aquatic resources'' and inserting ``sport fish
restoration''.
(c) Phaseout of Boat Safety Account.--Subsection (c) of
section 9504 is amended to read as follows:
``(c) Expenditures From Boat Safety Account.--Amounts
remaining in the Boat Safety Account on October 1, 2004, and
amounts thereafter credited to the Account under section
9602(b), shall be available, as provided by appropriation
Acts, for making expenditures before October 1, 2009, to
carry out the purposes of section 13106 of title 46, United
States Code (as in effect on the date of the enactment of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004).''.
(d) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5412. EXEMPTION OF LED DEVICES FROM SONAR DEVICES
SUITABLE FOR FINDING FISH.
(a) In General.--Section 4162(b) (defining sonar device
suitable for finding fish) is amended by striking ``or'' at
the end of paragraph (3), by striking the period at the end
of paragraph (4) and inserting ``, or'', and by adding at the
end the following new paragraph:
``(5) an LED display.''.
(b) Effective Date.--The amendments made by this section
shall apply to articles sold by the manufacturer, producer,
or importer after September 30, 2004.
SEC. 5413. REPEAL OF HARBOR MAINTENANCE TAX ON EXPORTS.
(a) In General.--Subsection (d) of section 4462 (relating
to definitions and special rules) is amended to read as
follows:
``(d) Nonapplicability of Tax to Exports.--The tax imposed
by section 4461(a) shall not apply to any port use with
respect to any commercial cargo to be exported from the
United States.''.
(b) Conforming Amendments.--
(1) Section 4461(c)(1) is amended by adding ``or'' at the
end of subparagraph (A), by striking subparagraph (B), and by
redesignating subparagraph (C) as subparagraph (B).
(2) Section 4461(c)(2) is amended by striking ``imposed--''
and all that follows through ``in any other case,'' and
inserting ``imposed''.
(c) Effective Date.--The amendments made by this section
shall take effect before, on, and after the date of the
enactment of this Act.
SEC. 5414. CAP ON EXCISE TAX ON CERTAIN FISHING EQUIPMENT.
(a) In General.--Paragraph (1) of section 4161(a) (relating
to sport fishing equipment) is amended to read as follows:
``(1) Imposition of tax.--
``(A) In general.--There is hereby imposed on the sale of
any article of sport fishing equipment by the manufacturer,
producer, or importer a tax equal to 10 percent of the price
for which so sold.
``(B) Limitation on tax imposed on fishing rods and
poles.--The tax imposed by subparagraph (A) on any fishing
rod or pole shall not exceed $10.''.
(b) Conforming Amendments.--Section 4161(a)(2) is amended
by striking ``paragraph
[[Page S1050]]
(1)'' both places it appears and inserting ``paragraph
(1)(A)''.
(c) Effective Date.--The amendments made by this section
shall apply to articles sold by the manufacturer, producer,
or importer after September 30, 2004.
SEC. 5415. REDUCTION IN RATE OF TAX ON PORTABLE AERATED BAIT
CONTAINERS.
(a) In General.--Section 4161(a)(2)(A) (relating to 3
percent rate of tax for electric outboard motors and sonar
devices suitable for finding fish) is amended by inserting
``or a portable aerated bait container'' after ``fish''.
(b) Conforming Amendment.--The heading of section
4161(a)(2) is amended by striking ``electric outboard motors
and sonar devices suitable for finding fish'' and inserting
``certain sport fishing equipment''.
(c) Effective Date.--The amendments made by this section
shall apply to articles sold by the manufacturer, producer,
or importer after September 30, 2004.
PART III--AERIAL EXCISE TAXES
SEC. 5421. CLARIFICATION OF EXCISE TAX EXEMPTIONS FOR
AGRICULTURAL AERIAL APPLICATORS AND EXEMPTION
FOR FIXED-WING AIRCRAFT ENGAGED IN FORESTRY
OPERATIONS.
(a) No Waiver by Farm Owner, Tenant, or Operator
Necessary.--Subparagraph (B) of section 6420(c)(4) (relating
to certain farming use other than by owner, etc.) is amended
to read as follows:
``(B) if the person so using the gasoline is an aerial or
other applicator of fertilizers or other substances and is
the ultimate purchaser of the gasoline, then subparagraph (A)
of this paragraph shall not apply and the aerial or other
applicator shall be treated as having used such gasoline on a
farm for farming purposes.''.
(b) Exemption Includes Fuel Used Between Airfield and
Farm.--Section 6420(c)(4), as amended by subsection (a), is
amended by adding at the end the following new flush
sentence:
``For purposes of this paragraph, in the case of an aerial
applicator, gasoline shall be treated as used on a farm for
farming purposes if the gasoline is used for the direct
flight between the airfield and 1 or more farms.''.
(c) Exemption from Tax on Air Transportation of Persons for
Forestry Purposes Extended to Fixed-Wing Aircraft.--
Subsection (f) of section 4261 (relating to tax on air
transportation of persons) is amended to read as follows:
``(f) Exemption for Certain Uses.--No tax shall be imposed
under subsection (a) or (b) on air transportation--
``(1) by helicopter for the purpose of transporting
individuals, equipment, or supplies in the exploration for,
or the development or removal of, hard minerals, oil, or gas,
or
``(2) by helicopter or by fixed-wing aircraft for the
purpose of the planting, cultivation, cutting, or
transportation of, or caring for, trees (including logging
operations),
but only if the helicopter or fixed-wing aircraft does not
take off from, or land at, a facility eligible for assistance
under the Airport and Airway Development Act of 1970, or
otherwise use services provided pursuant to section 44509 or
44913(b) or subchapter I of chapter 471 of title 49, United
States Code, during such use. In the case of helicopter
transportation described in paragraph (1), this subsection
shall be applied by treating each flight segment as a
distinct flight.''.
(d) Effective Date.--The amendments made by this section
shall apply to fuel use or air transportation after the date
of the enactment of this Act.
SEC. 5422. MODIFICATION OF RURAL AIRPORT DEFINITION.
(a) In General.--Section 4261(e)(1)(B) (defining rural
airport) is amended--
(1) by inserting ``(in the case of any airport described in
clause (ii)(III), on flight segments of at least 100 miles)''
after ``by air'' in clause (i), and
(2) by striking the period at the end of subclause (II) of
clause (ii) and inserting ``, or'', and by adding at the end
of clause (ii) the following new subclause:
``(III) is not connected by paved roads to another
airport.''.
(b) Effective Date.--The amendments made by this section
shall take effect on April 1, 2004.
SEC. 5423. EXEMPTION FROM TICKET TAXES FOR TRANSPORTATION
PROVIDED BY SEAPLANES.
(a) In General.--Section 4261 (relating to imposition of
tax) is amended by redesignating subsection (i) as subsection
(j) and by inserting after subsection (h) the following new
subsection:
``(i) Exemption for Seaplanes.--No tax shall be imposed by
this section or section 4271 on any air transportation by a
seaplane with respect to any segment consisting of a takeoff
from, and a landing on, water, but only if the places at
which such takeoff and landing occur have not received and
are not receiving financial assistance from the Airport and
Airways Trust Fund.''.
(b) Effective Date.--The amendments made by this section
shall apply to transportation beginning after March 31, 2004.
SEC. 5424. CERTAIN SIGHTSEEING FLIGHTS EXEMPT FROM TAXES ON
AIR TRANSPORTATION.
(a) In General.--Section 4281 (relating to small aircraft
on nonestablished lines) is amended by adding at the end the
following new sentence: ``For purposes of this section, an
aircraft shall not be considered as operated on an
established line if such aircraft is operated on a flight the
sole purpose of which is sightseeing.''.
(b) Effective Date.--The amendment made by this section
shall apply with respect to transportation beginning on or
after the date of the enactment of this Act, but shall not
apply to any amount paid before such date for such
transportation.
PART IV--ALCOHOLIC BEVERAGE EXCISE TAXES
SEC. 5431. REPEAL OF SPECIAL OCCUPATIONAL TAXES ON PRODUCERS
AND MARKETERS OF ALCOHOLIC BEVERAGES.
(a) Repeal of Occupational Taxes.--
(1) In general.--The following provisions of part II of
subchapter A of chapter 51 (relating to occupational taxes)
are hereby repealed:
(A) Subpart A (relating to proprietors of distilled spirits
plants, bonded wine cellars, etc.).
(B) Subpart B (relating to brewer).
(C) Subpart D (relating to wholesale dealers) (other than
sections 5114 and 5116).
(D) Subpart E (relating to retail dealers) (other than
section 5124).
(E) Subpart G (relating to general provisions) (other than
sections 5142, 5143, 5145, and 5146).
(2) Nonbeverage domestic drawback.--Section 5131 is amended
by striking ``, on payment of a special tax per annum,''.
(3) Industrial use of distilled spirits.--Section 5276 is
hereby repealed.
(b) Conforming Amendments.--
(1)(A) The heading for part II of subchapter A of chapter
51 and the table of subparts for such part are amended to
read as follows:
``PART II--MISCELLANEOUS PROVISIONS
``Subpart A. Manufacturers of stills.
``Subpart B. Nonbeverage domestic drawback claimants.
``Subpart C. Recordkeeping by dealers.
``Subpart D. Other provisions.''.
(B) The table of parts for such subchapter A is amended by
striking the item relating to part II and inserting the
following new item:
``Part II. Miscellaneous provisions.''.
(2) Subpart C of part II of such subchapter (relating to
manufacturers of stills) is redesignated as subpart A.
(3)(A) Subpart F of such part II (relating to nonbeverage
domestic drawback claimants) is redesignated as subpart B and
sections 5131 through 5134 are redesignated as sections 5111
through 5114, respectively.
(B) The table of sections for such subpart B, as so
redesignated, is amended--
(i) by redesignating the items relating to sections 5131
through 5134 as relating to sections 5111 through 5114,
respectively, and
(ii) by striking ``and rate of tax'' in the item relating
to section 5111, as so redesignated.
(C) Section 5111, as redesignated by subparagraph (A), is
amended--
(i) by striking ``and rate of tax'' in the section heading,
(ii) by striking the subsection heading for subsection (a),
and
(iii) by striking subsection (b).
(4) Part II of subchapter A of chapter 51 is amended by
adding after subpart B, as redesignated by paragraph (3), the
following new subpart:
``Subpart C--Recordkeeping by Dealers
``Sec. 5121. Recordkeeping by wholesale dealers.
``Sec. 5122. Recordkeeping by retail dealers.
``Sec. 5123. Preservation and inspection of records, and entry of
premises for inspection.''.
(5)(A) Section 5114 (relating to records) is moved to
subpart C of such part II and inserted after the table of
sections for such subpart.
(B) Section 5114 is amended--
(i) by striking the section heading and inserting the
following new heading:
``SEC. 5121. RECORDKEEPING BY WHOLESALE DEALERS.'',
and
(ii) by redesignating subsection (c) as subsection (d) and
by inserting after subsection (b) the following new
subsection:
``(c) Wholesale Dealers.--For purposes of this part--
``(1) Wholesale dealer in liquors.--The term `wholesale
dealer in liquors' means any dealer (other than a wholesale
dealer in beer) who sells, or offers for sale, distilled
spirits, wines, or beer, to another dealer.
``(2) Wholesale dealer in beer.--The term `wholesale dealer
in beer' means any dealer who sells, or offers for sale,
beer, but not distilled spirits or wines, to another dealer.
``(3) Dealer.--The term `dealer' means any person who
sells, or offers for sale, any distilled spirits, wines, or
beer.
``(4) Presumption in case of sale of 20 wine gallons or
more.--The sale, or offer for sale, of distilled spirits,
wines, or beer, in quantities of 20 wine gallons or more to
the same person at the same time, shall be presumptive
evidence that the person making such sale, or offer for sale,
is engaged in or carrying on the business of a wholesale
dealer in liquors or a wholesale dealer in beer, as the case
may be. Such presumption may be overcome by evidence
satisfactorily showing that such sale, or offer for sale, was
made to a person other than a dealer.''.
(C) Paragraph (3) of section 5121(d), as so redesignated,
is amended by striking ``section 5146'' and inserting
``section 5123''.
(6)(A) Section 5124 (relating to records) is moved to
subpart C of part II of subchapter
[[Page S1051]]
A of chapter 51 and inserted after section 5121.
(B) Section 5124 is amended--
(i) by striking the section heading and inserting the
following new heading:
``SEC. 5122. RECORDKEEPING BY RETAIL DEALERS.'',
(ii) by striking ``section 5146'' in subsection (c) and
inserting ``section 5123'', and
(iii) by redesignating subsection (c) as subsection (d) and
inserting after subsection (b) the following new subsection:
``(c) Retail Dealers.--For purposes of this section--
``(1) Retail dealer in liquors.--The term `retail dealer in
liquors' means any dealer (other than a retail dealer in beer
or a limited retail dealer) who sells, or offers for sale,
distilled spirits, wines, or beer, to any person other than a
dealer.
``(2) Retail dealer in beer.--The term `retail dealer in
beer' means any dealer (other than a limited retail dealer)
who sells, or offers for sale, beer, but not distilled
spirits or wines, to any person other than a dealer.
``(3) Limited retail dealer.--The term `limited retail
dealer' means any fraternal, civic, church, labor,
charitable, benevolent, or ex-servicemen's organization
making sales of distilled spirits, wine or beer on the
occasion of any kind of entertainment, dance, picnic, bazaar,
or festival held by it, or any person making sales of
distilled spirits, wine or beer to the members, guests, or
patrons of bona fide fairs, reunions, picnics, carnivals, or
other similar outings, if such organization or person is not
otherwise engaged in business as a dealer.
``(4) Dealer.--The term `dealer' has the meaning given such
term by section 5121(c)(3).''.
(7) Section 5146 is moved to subpart C of part II of
subchapter A of chapter 51, inserted after section 5122, and
redesignated as section 5123.
(8) Part II of subchapter A of chapter 51 is amended by
inserting after subpart C the following new subpart:
``Subpart D--Other Provisions
``Sec. 5131. Packaging distilled spirits for industrial uses.
``Sec. 5132. Prohibited purchases by dealers.''.
(9) Section 5116 is moved to subpart D of part II of
subchapter A of chapter 51, inserted after the table of
sections, redesignated as section 5131, and amended by
inserting ``(as defined in section 5121(c))'' after
``dealer'' in subsection (a).
(10) Subpart D of part II of subchapter A of chapter 51 is
amended by adding at the end thereof the following new
section:
``SEC. 5132. PROHIBITED PURCHASES BY DEALERS.
``(a) In General.--Except as provided in regulations
prescribed by the Secretary, it shall be unlawful for a
dealer to purchase distilled spirits for resale from any
person other than a wholesale dealer in liquors who is
required to keep the records prescribed by section 5121.
``(b) Limited Retail Dealers.--A limited retail dealer may
lawfully purchase distilled spirits for resale from a retail
dealer in liquors.
``(c) Penalty and Forfeiture.--
``For penalty and forfeiture provisions applicable to violations of
subsection (a), see sections 5687 and 7302.''.
(11) Subsection (b) of section 5002 is amended--
(A) by striking ``section 5112(a)'' and inserting ``section
5121(c)(3)'',
(B) by striking ``section 5112'' and inserting ``section
5121(c)'',
(C) by striking ``section 5122'' and inserting ``section
5122(c)''.
(12) Subparagraph (A) of section 5010(c)(2) is amended by
striking ``section 5134'' and inserting ``section 5114''.
(13) Subsection (d) of section 5052 is amended to read as
follows:
``(d) Brewer.--For purposes of this chapter, the term
`brewer' means any person who brews beer or produces beer for
sale. Such term shall not include any person who produces
only beer exempt from tax under section 5053(e).''.
(14) The text of section 5182 is amended to read as
follows:
``For provisions requiring recordkeeping by wholesale
liquor dealers, see section 5121, and by retail liquor
dealers, see section 5122.''.
(15) Subsection (b) of section 5402 is amended by striking
``section 5092'' and inserting ``section 5052(d)''.
(16) Section 5671 is amended by striking ``or 5091''.
(17)(A) Part V of subchapter J of chapter 51 is hereby
repealed.
(B) The table of parts for such subchapter J is amended by
striking the item relating to part V.
(18)(A) Sections 5142, 5143, and 5145 are moved to
subchapter D of chapter 52, inserted after section 5731,
redesignated as sections 5732, 5733, and 5734, respectively,
and amended by striking ``this part'' each place it appears
and inserting ``this subchapter''.
(B) Section 5732, as redesignated by subparagraph (A), is
amended by striking ``(except the tax imposed by section
5131)'' each place it appears.
(C) Paragraph (2) of section 5733(c), as redesignated by
subparagraph (A), is amended by striking ``liquors'' both
places it appears and inserting ``tobacco products and
cigarette papers and tubes''.
(D) The table of sections for subchapter D of chapter 52 is
amended by adding at the end thereof the following:
``Sec. 5732. Payment of tax.
``Sec. 5733. Provisions relating to liability for occupational taxes.
``Sec. 5734. Application of State laws.''.
(E) Section 5731 is amended by striking subsection (c) and
by redesignating subsection (d) as subsection (c).
(19) Subsection (c) of section 6071 is amended by striking
``section 5142'' and inserting ``section 5732''.
(20) Paragraph (1) of section 7652(g) is amended--
(A) by striking ``subpart F'' and inserting ``subpart B'',
and
(B) by striking ``section 5131(a)'' and inserting ``section
5111''.
(c) Effective Date.--The amendments made by this section
shall take effect on July 1, 2004, but shall not apply to
taxes imposed for periods before such date.
SEC. 5432. SUSPENSION OF LIMITATION ON RATE OF RUM EXCISE TAX
COVER OVER TO PUERTO RICO AND VIRGIN ISLANDS.
(a) In General.--Section 7652(f)(1) (relating to limitation
on cover over of tax on distilled spirits) is amended by
striking ``January 1, 2004'' and inserting ``October 1, 2004,
and $13.50 in the case of distilled spirits brought into the
United States after September 30, 2004, and before January 1,
2006''.
(b) Effective Date.--
(1) In general.--The amendment made by subsection (a) shall
apply to articles containing distilled spirits brought into
the United States after December 31, 2003.
(2) Special rule.--
(A) In general.--After September 30, 2004, the treasury of
Puerto Rico shall make a Conservation Trust Fund transfer
within 30 days from the date of each cover over payment to
such treasury under section 7652(e) of the Internal Revenue
Code of 1986.
(B) Conservation trust fund transfer.--
(i) In general.--For purposes of this paragraph, the term
``Conservation Trust Fund transfer'' means a transfer to the
Puerto Rico Conservation Trust Fund of an amount equal to 50
cents per proof gallon of the taxes imposed under section
5001 or section 7652 of such Code on distilled spirits that
are covered over to the treasury of Puerto Rico under section
7652(e) of such Code.
(ii) Treatment of transfer.--Each Conservation Trust Fund
transfer shall be treated as principal for an endowment, the
income from which to be available for use by the Puerto Rico
Conservation Trust Fund for the purposes for which the Trust
Fund was established.
(iii) Result of nontransfer.--
(I) In general.--Upon notification by the Secretary of the
Interior that a Conservation Trust Fund transfer has not been
made by the treasury of Puerto Rico, the Secretary of the
Treasury shall, except as provided in subclause (II), deduct
and withhold from the next cover over payment to be made to
the treasury of Puerto Rico under section 7652(e) of such
Code an amount equal to the appropriate Conservation Trust
Fund transfer and interest thereon at the underpayment rate
established under section 6621 of such Code as of the due
date of such transfer. The Secretary of the Treasury shall
transfer such amount deducted and withheld, and the interest
thereon, directly to the Puerto Rico Conservation Trust Fund.
(II) Good cause exception.--If the Secretary of the
Interior finds, after consultation with the Governor of
Puerto Rico, that the failure by the treasury of Puerto Rico
to make a required transfer was for good cause, and notifies
the Secretary of the Treasury of the finding of such good
cause before the due date of the next cover over payment
following the notification of nontransfer, then the Secretary
of the Treasury shall not deduct the amount of such
nontransfer from any cover over payment.
(C) Puerto rico conservation trust fund.--For purposes of
this paragraph, the term ``Puerto Rico Conservation Trust
Fund'' means the fund established pursuant to a Memorandum of
Understanding between the United States Department of the
Interior and the Commonwealth of Puerto Rico, dated December
24, 1968.
PART V--SPORT EXCISE TAXES
SEC. 5441. CUSTOM GUNSMITHS.
(a) Small Manufacturers Exempt From Firearms Excise Tax.--
Section 4182 (relating to exemptions) is amended by
redesignating subsection (c) as subsection (d) and by
inserting after subsection (b) the following new subsection:
``(c) Small Manufacturers, Etc.--
``(1) In general.--The tax imposed by section 4181 shall
not apply to any article described in such section if
manufactured, produced, or imported by a person who
manufactures, produces, and imports less than 50 of such
articles during the calendar year.
``(2) Controlled groups.--All persons treated as a single
employer for purposes of subsection (a) or (b) of section 52
shall be treated as one person for purposes of paragraph
(1).''.
(b) Effective Date.--
(1) In general.--The amendments made by this section shall
apply to articles sold by the manufacturer, producer, or
importer on or after the date which is the first day of the
month beginning at least 2 weeks after the date of the
enactment of this Act.
(2) No inference.--Nothing in the amendments made by this
section shall be construed to create any inference with
respect to the proper tax treatment of any sales before the
effective date of such amendments.
[[Page S1052]]
SEC. 5442. MODIFIED TAXATION OF IMPORTED ARCHERY PRODUCTS.
(a) Bows.--Paragraph (1) of section 4161(b) (relating to
bows) is amended to read as follows:
``(1) Bows.--
``(A) In general.--There is hereby imposed on the sale by
the manufacturer, producer, or importer of any bow which has
a peak draw weight of 30 pounds or more, a tax equal to 11
percent of the price for which so sold.
``(B) Archery equipment.--There is hereby imposed on the
sale by the manufacturer, producer, or importer--
``(i) of any part or accessory suitable for inclusion in or
attachment to a bow described in subparagraph (A), and
``(ii) of any quiver or broadhead suitable for use with an
arrow described in paragraph (2),
a tax equal to 11 percent of the price for which so sold.''.
(b) Arrows.--Subsection (b) of section 4161 (relating to
bows and arrows, etc.) is amended by redesignating paragraph
(3) as paragraph (4) and inserting after paragraph (2) the
following:
``(3) Arrows.--
``(A) In general.--There is hereby imposed on the sale by
the manufacturer, producer, or importer of any arrow, a tax
equal to 12 percent of the price for which so sold.
``(B) Exception.--In the case of any arrow of which the
shaft or any other component has been previously taxed under
paragraph (1) or (2)--
``(i) section 6416(b)(3) shall not apply, and
``(ii) the tax imposed by subparagraph (A) shall be an
amount equal to the excess (if any) of--
``(I) the amount of tax imposed by this paragraph
(determined without regard to this subparagraph), over
``(II) the amount of tax paid with respect to the tax
imposed under paragraph (1) or (2) on such shaft or
component.
``(C) Arrow.--For purposes of this paragraph, the term
`arrow' means any shaft described in paragraph (2) to which
additional components are attached.''.
(c) Conforming Amendments.--Section 4161(b)(2) is amended--
(1) by inserting ``(other than broadheads)'' after
``point'', and
(2) by striking ``Arrows.--'' in the heading and inserting
``Arrow components.--''.
(d) Effective Date.--The amendments made by this section
shall apply to articles sold by the manufacturer, producer,
or importer after the date of the enactment of this Act.
SEC. 5443. TREATMENT OF TRIBAL GOVERNMENTS FOR PURPOSES OF
FEDERAL WAGERING EXCISE AND OCCUPATIONAL TAXES.
(a) In General.--Subsection (a) of section 7871 (relating
to Indian tribal governments treated as States for certain
purposes) is amended by striking ``and'' at the end of
paragraph (6), by striking the period at the end of paragraph
(7) and inserting ``; and'', and by adding at the end the
following new paragraph:
``(8) for purposes of chapter 35 (relating to taxes on
wagering).''.
(b) Effective Date.--The amendments made by this section
shall take effect on July 1, 2004, but shall not apply to
taxes imposed for periods before such date.
PART VI--OTHER PROVISIONS
SEC. 5451. INCOME TAX CREDIT FOR DISTILLED SPIRITS
WHOLESALERS AND FOR DISTILLED SPIRITS IN
CONTROL STATE BAILMENT WAREHOUSES FOR COSTS OF
CARRYING FEDERAL EXCISE TAXES ON BOTTLED
DISTILLED SPIRITS.
(a) In General.--Subpart A of part I of subchapter A of
chapter 51 (relating to gallonage and occupational taxes) is
amended by adding at the end the following new section:
``SEC. 5011. INCOME TAX CREDIT FOR AVERAGE COST OF CARRYING
EXCISE TAX.
``(a) In General.--For purposes of section 38, the amount
of the distilled spirits credit for any taxable year is the
amount equal to the product of--
``(1) in the case of--
``(A) any eligible wholesaler--
``(i) the number of cases of bottled distilled spirits--
``(I) which were bottled in the United States, and
``(II) which are purchased by such wholesaler during the
taxable year directly from the bottler of such spirits, or
``(B) any person which is subject to section 5005 and which
is not an eligible wholesaler, the number of cases of bottled
distilled spirits which are stored in a warehouse operated
by, or on behalf of, a State, or agency or political
subdivision thereof, on which title has not passed on an
unconditional sale basis, and
``(2) the average tax-financing cost per case for the most
recent calendar year ending before the beginning of such
taxable year.
``(b) Eligible Wholesaler.--For purposes of this section,
the term `eligible wholesaler' means any person which holds a
permit under the Federal Alcohol Administration Act as a
wholesaler of distilled spirits which is not a State, or
agency or political subdivision thereof.
``(c) Average Tax-Financing Cost.--
``(1) In general.--For purposes of this section, the
average tax-financing cost per case for any calendar year is
the amount of interest which would accrue at the deemed
financing rate during a 60-day period on an amount equal to
the deemed Federal excise tax per case.
``(2) Deemed financing rate.--For purposes of paragraph
(1), the deemed financing rate for any calendar year is the
average of the corporate overpayment rates under paragraph
(1) of section 6621(a) (determined without regard to the last
sentence of such paragraph) for calendar quarters of such
year.
``(3) Deemed federal excise tax per case.--For purposes of
paragraph (1), the deemed Federal excise tax per case is
$25.68.
``(d) Other Definitions and Special Rules.--For purposes of
this section--
``(1) Case.--The term `case' means 12 80-proof 750
milliliter bottles.
``(2) Number of cases in lot.--The number of cases in any
lot of distilled spirits shall be determined by dividing the
number of liters in such lot by 9.''.
(b) Credit Treated as Part of General Business Credit.--
Section 38(b) (relating to current year business credit), as
amended by section 5101 of this Act, is amended by striking
``plus'' at the end of paragraph (15), by striking the period
at the end of paragraph (16) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(17) the distilled spirits credit determined under
section 5011(a).''.
(c) Conforming Amendments.--
(1) Section 39(d), as amended by section 5101 of this Act,
is amended by adding at the end the following new paragraph:
``(12) No carryback of section 5011 credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the credit determined
under section 5011(a) may be carried back to a taxable year
beginning before the date of the enactment of section
5011.''.
(2) The table of sections for subpart A of part I of
subchapter A of chapter 51 is amended by adding at the end
the following new item:
``Sec. 5011. Income tax credit for average cost of carrying excise
tax.''.
(d) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after the date of the
enactment of this Act.
SEC. 5452. CREDIT FOR TAXPAYERS OWNING COMMERCIAL POWER
TAKEOFF VEHICLES.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business-related credits) is amended
by adding at the end the following new section:
``SEC. 45G. COMMERCIAL POWER TAKEOFF VEHICLES CREDIT.
``(a) General Rule.--For purposes of section 38, the amount
of the commercial power takeoff vehicles credit determined
under this section for the taxable year is $250 for each
qualified commercial power takeoff vehicle owned by the
taxpayer as of the close of the calendar year in which or
with which the taxable year of the taxpayer ends.
``(b) Definitions.--For purposes of this section--
``(1) Qualified commercial power takeoff vehicle.--The term
`qualified commercial power takeoff vehicle' means any
highway vehicle described in paragraph (2) which is propelled
by any fuel subject to tax under section 4041 or 4081 if such
vehicle is used in a trade or business or for the production
of income (and is licensed and insured for such use).
``(2) Highway vehicle described.--A highway vehicle is
described in this paragraph if such vehicle is--
``(A) designed to engage in the daily collection of refuse
or recyclables from homes or businesses and is equipped with
a mechanism under which the vehicle's propulsion engine
provides the power to operate a load compactor, or
``(B) designed to deliver ready mixed concrete on a daily
basis and is equipped with a mechanism under which the
vehicle's propulsion engine provides the power to operate a
mixer drum to agitate and mix the product en route to the
delivery site.
``(c) Exception for Vehicles Used by Governments, Etc.--No
credit shall be allowed under this section for any vehicle
owned by any person at the close of a calendar year if such
vehicle is used at any time during such year by--
``(1) the United States or an agency or instrumentality
thereof, a State, a political subdivision of a State, or an
agency or instrumentality of one or more States or political
subdivisions, or
``(2) an organization exempt from tax under section 501(a).
``(d) Termination.--This section shall not apply with
respect to any calendar year after 2006.''.
(b) Credit Treated as Part of General Business Credit.--
Section 38(b) (relating to current year business credit), as
amended by section 5451 of this Act, is amended by striking
``plus'' at the end of paragraph (16), by striking the period
at the end of paragraph (17) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(18) the commercial power takeoff vehicles credit under
section 45G(a).''.
(c) Conforming Amendments.--
(1) Section 39(d), as amended by section 5451 of this Act,
is amended by adding at the end the following new paragraph:
[[Page S1053]]
``(13) No carryback of section 45g credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the credit determined
under section 45G(a) may be carried back to a taxable year
beginning on or before the date of the enactment of section
45G.''.
(2) The table of sections for subpart D of part IV of
subchapter A of chapter 1 is amended by adding at the end the
following new item:
``Sec. 45G. Commercial power takeoff vehicles credit.''.
(d) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after the date of the
enactment of this Act.
SEC. 5453. CREDIT FOR AUXILIARY POWER UNITS INSTALLED ON
DIESEL-POWERED TRUCKS.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business-related credits), as amended
by section 5452 of this Act, is amended by adding at the end
the following new section:
``SEC. 45H. AUXILIARY POWER UNIT CREDIT.
``(a) General Rule.--For purposes of section 38, the amount
of the auxiliary power unit credit determined under this
section for the taxable year is $250 for each qualified
auxiliary power unit--
``(1) purchased by the taxpayer, and
``(2) installed or caused to be installed by the taxpayer
on a qualified heavy-duty highway vehicle during such taxable
year.
``(b) Definitions.--For purposes of this section--
``(1) Qualified auxiliary power unit.--The term `qualified
auxiliary power unit' means any integrated system which--
``(A) provides heat, air conditioning, engine warming, and
electricity to the factory installed components on a
qualified heavy-duty highway vehicle as if the main drive
engine of such vehicle was in operation,
``(B) is employed to reduce long-term idling of the diesel
engine on such a vehicle, and
``(C) is certified by the Environmental Protection Agency
as meeting emission standards in regulations in effect on the
date of the enactment of this section.
``(2) Qualified heavy-duty highway vehicle.--The term
`qualified heavy-duty highway vehicle' means any highway
vehicle weighing more than 12,500 pounds and powered by a
diesel engine.
``(c) Termination.--This section shall not apply with
respect to any installation occurring after December 31,
2006.''.
(b) Credit Treated as Part of General Business Credit.--
Section 38(b) (relating to current year business credit), as
amended by section 5452 of this Act, is amended by striking
``plus'' at the end of paragraph (17), by striking the period
at the end of paragraph (18) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(19) the auxiliary power unit credit under section
45H(a).''.
(c) Conforming Amendments.--
(1) Section 39(d), as amended by section 5452 of this Act,
is amended by adding at the end the following new paragraph:
``(14) No carryback of section 45h credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the credit determined
under section 45H(a) may be carried back to a taxable year
beginning on or before the date of the enactment of section
45H.''.
(2) The table of sections for subpart D of part IV of
subchapter A of chapter 1, as amended by section 5452 of this
Act, is amended by adding at the end the following new item:
``Sec. 45H. Auxiliary power unit credit.''.
(d) Effective Date.--The amendments made by this section
shall apply to auxiliary power units purchased and installed
for taxable years beginning after the date of the enactment
of this Act.
Subtitle F--Miscellaneous Provisions
SEC. 5501. MOTOR FUEL TAX ENFORCEMENT ADVISORY COMMISSION.
(a) Establishment.--There is established a Motor Fuel Tax
Enforcement Advisory Commission (in this section referred to
as the ``Commission'').
(b) Function.--The Commission shall--
(1) review motor fuel revenue collections, historical and
current;
(2) review the progress of investigations;
(3) develop and review legislative proposals with respect
to motor fuel taxes;
(4) monitor the progress of administrative regulation
projects relating to motor fuel taxes;
(5) review the results of Federal and State agency
cooperative efforts regarding motor fuel taxes;
(6) review the results of Federal interagency cooperative
efforts regarding motor fuel taxes; and
(7) evaluate and make recommendations regarding--
(A) the effectiveness of existing Federal enforcement
programs regarding motor fuel taxes,
(B) enforcement personnel allocation, and
(C) proposals for regulatory projects, legislation, and
funding.
(c) Membership.--
(1) Appointment.--The Commission shall be composed of the
following representatives appointed by the Chairmen and the
Ranking Members of the Committee on Finance of the Senate and
the Committee on Ways and Means of the House of
Representatives:
(A) At least 1 representative from each of the following
Federal entities: the Department of Homeland Security, the
Department of Transportation - Office of Inspector General,
the Federal Highway Administration, the Department of
Defense, and the Department of Justice.
(B) At least 1 representative from the Federation of State
Tax Administrators.
(C) At least 1 representative from any State department of
transportation.
(D) 2 representatives from the highway construction
industry.
(E) 5 representatives from industries relating to fuel
distribution -- refiners (2 representatives), distributors (1
representative), pipelines (1 representative), and terminal
operators (2 representatives).
(F) 1 representative from the retail fuel industry.
(G) 2 representatives from the staff of the Committee on
Finance of the Senate and 2 representatives from the staff of
the Committee on Ways and Means of the House of
Representatives.
(2) Terms.--Members shall be appointed for the life of the
Commission.
(3) Vacancies.--A vacancy in the Commission shall be filled
in the manner in which the original appointment was made.
(4) Travel expenses.--Members shall serve without pay but
shall receive travel expenses, including per diem in lieu of
subsistence, in accordance with sections 5702 and 5703 of
title 5, United States Code.
(5) Chairman.--The Chairman of the Commission shall be
elected by the members.
(d) Funding.--Such sums as are necessary shall be available
from the Highway Trust fund for the expenses of the
Commission.
(e) Consultation.--Upon request of the Commission,
representatives of the Department of the Treasury and the
Internal Revenue Service shall be available for consultation
to assist the Commission in carrying out its duties under
this section.
(f) Obtaining Data.--The Commission may secure directly
from any department or agency of the United States,
information (other than information required by any law to be
kept confidential by such department or agency) necessary for
the Commission to carry out its duties under this section.
Upon request of the Commission, the head of that department
or agency shall furnish such nonconfidential information to
the Commission. The Commission shall also gather evidence
through such means as it may deem appropriate, including
through holding hearings and soliciting comments by means of
Federal Register notices.
(g) Termination.--The Commission shall terminate after
September 30, 2009.
SEC. 5502. NATIONAL SURFACE TRANSPORTATION INFRASTRUCTURE
FINANCING COMMISSION.
(a) Establishment.--There is established a National Surface
Transportation Infrastructure Financing Commission (in this
section referred to as the ``Commission''). The Commission
shall hold its first meeting within 90 days of the
appointment of the eighth individual to be named to the
Commission.
(b) Function.--
(1) In general.--The Commission shall--
(A) make a thorough investigation and study of revenues
flowing into the Highway Trust Fund under current law,
including the individual components of the overall flow of
such revenues;
(B) consider whether the amount of such revenues is likely
to increase, decline, or remain unchanged, absent changes in
the law, particularly by taking into account the impact of
possible changes in public vehicular choice, fuel use, or
travel alternatives that could be expected to reduce or
increase revenues into the Highway Trust Fund;
(C) consider alternative approaches to generating revenues
for the Highway Trust Fund, and the level of revenues that
such alternatives would yield;
(D) consider highway and transit needs and whether
additional revenues into the Highway Trust Fund, or other
Federal revenues dedicated to highway and transit
infrastructure, would be required in order to meet such
needs; and
(E) study such other matters closely related to the
subjects described in the preceding subparagraphs as it may
deem appropriate.
(2) Time frame of investigation and study.--The time frame
to be considered by the Commission shall extend through the
year 2015.
(3) Preparation of report.--Based on such investigation and
study, the Commission shall develop a final report, with
recommendations and the bases for those recommendations,
indicating policies that should be adopted, or not adopted,
to achieve various levels of annual revenue for the Highway
Trust Fund and to enable the Highway Trust Fund to receive
revenues sufficient to meet highway and transit needs. Such
recommendations shall address, among other matters as the
Commission may deem appropriate--
(A) what levels of revenue are required by the Federal
Highway Trust Fund in order for it to meet needs to--
(i) maintain, and
(ii) improve the condition and performance of the Nation's
highway and transit systems;
(B) what levels of revenue are required by the Federal
Highway Trust Fund in order to ensure that Federal levels of
investment in highways and transit do not decline in real
terms; and
(C) the extent, if any, to which the Highway Trust Fund
should be augmented by other mechanisms or funds as a Federal
[[Page S1054]]
means of financing highway and transit infrastructure
investments.
(c) Membership.--
(1) Appointment.--The Commission shall be composed of 15
members, appointed as follows:
(A) 7 members appointed by the Secretary of Transportation,
in consultation with the Secretary of the Treasury.
(B) 2 members appointed by the Chairman of the Committee on
Ways and Means of the House of Representatives.
(C) 2 members appointed by the Ranking Minority Member of
the Committee on Ways and Means of the House of
Representatives.
(D) 2 members appointed by the Chairman of the Committee on
Finance of the Senate.
(E) 2 members appointed by the Ranking Minority Member of
the Committee on Finance of the Senate.
(2) Qualifications.--Members appointed pursuant to
paragraph (1) shall be appointed from among individuals
knowledgeable in the fields of public transportation finance
or highway and transit programs, policy, and needs, and may
include representatives of interested parties, such as State
and local governments or other public transportation
authorities or agencies, representatives of the
transportation construction industry (including suppliers of
technology, machinery and materials), transportation labor
(including construction and providers), transportation
providers, the financial community, and users of highway and
transit systems.
(3) Terms.--Members shall be appointed for the life of the
Commission.
(4) Vacancies.--A vacancy in the Commission shall be filled
in the manner in which the original appointment was made.
(5) Travel expenses.--Members shall serve without pay but
shall receive travel expenses, including per diem in lieu of
subsistence, in accordance with sections 5702 and 5703 of
title 5, United States Code.
(6) Chairman.--The Chairman of the Commission shall be
elected by the members.
(d) Staff.--The Commission may appoint and fix the pay of
such personnel as it considers appropriate.
(e) Funding.--Funding for the Commission shall be provided
by the Secretary of the Treasury and by the Secretary of
Transportation, out of funds available to those agencies for
administrative and policy functions.
(f) Staff of Federal Agencies.--Upon request of the
Commission, the head of any department or agency of the
United States may detail any of the personnel of that
department or agency to the Commission to assist in carrying
out its duties under this section.
(g) Obtaining Data.--The Commission may secure directly
from any department or agency of the United States,
information (other than information required by any law to be
kept confidential by such department or agency) necessary for
the Commission to carry out its duties under this section.
Upon request of the Commission, the head of that department
or agency shall furnish such nonconfidential information to
the Commission. The Commission shall also gather evidence
through such means as it may deem appropriate, including
through holding hearings and soliciting comments by means of
Federal Register notices.
(h) Report.--Not later than 2 years after the date of its
first meeting, the Commission shall transmit its final
report, including recommendations, to the Secretary of
Transportation, the Secretary of the Treasury, and the
Committee on Ways and Means of the House of Representatives,
the Committee on Finance of the Senate, the Committee on
Transportation and Infrastructure of the House of
Representatives, the Committee on Environment and Public
Works of the Senate, and the Committee on Banking, Housing,
and Urban Affairs of the Senate.
(i) Termination.--The Commission shall terminate on the
180th day following the date of transmittal of the report
under subsection (h). All records and papers of the
Commission shall thereupon be delivered to the Administrator
of General Services for deposit in the National Archives.
SEC. 5503. TREASURY STUDY OF FUEL TAX COMPLIANCE AND
INTERAGENCY COOPERATION.
(a) In General.--Not later than January 31, 2006, the
Secretary of the Treasury shall submit to the Committee on
Finance of the Senate and the Committee on Ways and Means of
the House of Representatives a report regarding fuel tax
enforcement which shall include the information and analysis
specified in subsections (b) and (c) and any other
information and recommendations the Secretary of the Treasury
may deem appropriate.
(b) Audits.--With respect to audits conducted by the
Internal Revenue Service, the report required under
subsection (a) shall include--
(1) the number and geographic distribution of audits
conducted annually, by fiscal year, between October 1, 2001,
and September 30, 2005;
(2) the total volume involved for each of the taxable fuels
covered by such audits and a comparison to the annual
production of such fuels;
(3) the staff hours and number of personnel devoted to the
audits per year; and
(4) the results of such audits by year, including total tax
collected, total penalties collected, and number of referrals
for criminal prosecution.
(c) Enforcement Activities.--With respect to enforcement
activities, the report required under subsection (a) shall
include--
(1) the number and geographic distribution of criminal
investigations and prosecutions annually, by fiscal year,
between October 1, 2001, and September 30, 2005, and the
results of such investigations and prosecutions;
(2) to the extent such investigations and prosecutions
involved other agencies, State or Federal, a breakdown by
agency of the number of joint investigations involved;
(3) an assessment of the effectiveness of joint action and
cooperation between the Department of the Treasury and other
Federal and State agencies, including a discussion of the
ability and need to share information across agencies for
both civil and criminal Federal tax enforcement and
enforcement of State or Federal laws relating to fuels;
(4) the staff hours and number of personnel devoted to
criminal investigations and prosecutions per year;
(5) the staff hours and number of personnel devoted to
administrative collection of fuel taxes; and
(6) the results of administrative collection efforts
annually, by fiscal year, between October 1, 2001, and
September 30, 2005.
SEC. 5504. EXPANSION OF HIGHWAY TRUST FUND EXPENDITURE
PURPOSES TO INCLUDE FUNDING FOR STUDIES OF
SUPPLEMENTAL OR ALTERNATIVE FINANCING FOR THE
HIGHWAY TRUST FUND.
(a) In General.--From amounts available in the Highway
Trust Fund, there is authorized to be expended for 2
comprehensive studies of supplemental or alternative funding
sources for the Highway Trust Fund--
(1) $1,000,000 to the Western Transportation Institute of
the College of Engineering at Montana State University for
the study and report described in subsection (b), and
(2) $16,500,000 to the Public Policy Center of the
University of Iowa for the study and report described in
subsection (c).
(b) Study of Funding Mechanisms.--Not later than December
31, 2006, the Western Transportation Institute of the College
of Engineering at Montana State University shall report to
the Secretary of the Treasury and the Secretary of
Transportation on a study of highway funding mechanisms of
other industrialized nations, an examination of the viability
of alternative funding proposals, including congestion
pricing, greater reliance on tolls, privatization of
facilities, and bonding for construction of added capacity,
and an examination of increasing the rates of motor fuels
taxes in effect on the date of the enactment of this Act,
including the indexation of such rates.
(c) Study on Field Test of On-Board Computer Assessment of
Highway Use Taxes.--Not later than December 31, 2011, the
Public Policy Center of the University of Iowa shall direct,
analyze, and report to the Secretary of the Treasury and the
Secretary of Transportation on a long-term field test of an
approach to assessing highway use taxes based upon actual
mileage driven by a specific vehicle on specific types of
highways by use of an on-board computer--
(1) which is linked to satellites to calculate highway
mileage traversed,
(2) which computes the appropriate highway use tax for each
of the Federal, State, and local governments as the vehicle
makes use of the highways, and
(3) the data from which is periodically downloaded by the
vehicle owner to a collection center for an assessment of
highway use taxes due in each jurisdiction traversed.The
components of the field test shall include 2 years for
preparation, including selection of vendors and test
participants, and 3-year testing period.
SEC. 5505. TREASURY STUDY OF HIGHWAY FUELS USED BY TRUCKS FOR
NON-TRANSPORTATION PURPOSES.
(a) Study.--The Secretary of the Treasury shall conduct a
study regarding the use of highway motor fuel by trucks that
is not used for the propulsion of the vehicle. As part of
such study--
(1) in the case of vehicles carrying equipment that is
unrelated to the transportation function of the vehicle--
(A) the Secretary of the Treasury, in consultation with the
Secretary of Transportation, and with public notice and
comment, shall determine the average annual amount of tax
paid fuel consumed per vehicle, by type of vehicle, used by
the propulsion engine to provide the power to operate the
equipment attached to the highway vehicle, and
(B) the Secretary of the Treasury shall review the
technical and administrative feasibility of exempting such
nonpropulsive use of highway fuels for the highway motor
fuels excise taxes,
(2) in the case where non-transportation equipment is run
by a separate motor--
(A) the Secretary of the Treasury shall determine the
annual average amount of fuel exempted from tax in the use of
such equipment by equipment type, and
(B) the Secretary of the Treasury shall review issues of
administration and compliance related to the present-law
exemption provided for such fuel use, and
(3) the Secretary of the Treasury shall--
(A) estimate the amount of taxable fuel consumed by trucks
and the emissions of various pollutants due to the long-term
idling of diesel engines, and
(B) determine the cost of reducing such long-term idling
through the use of plug-ins at truck stops, auxiliary power
units, or other technologies.
(b) Report.--Not later than January 1, 2006, the Secretary
of the Treasury shall report the findings of the study
required under
[[Page S1055]]
subsection (a) to the Committee on Finance of the Senate and
the Committee on Ways and Means of the House of
Representatives.
SEC. 5506. DELTA REGIONAL TRANSPORTATION PLAN.
(a) Study.--The Delta Regional Authority shall conduct a
study of the transportation assets and needs in the States of
Alabama, Arkansas, Illinois, Kentucky, Louisiana,
Mississippi, Missouri, and Tennessee which comprise the Delta
region.
(b) Regional Strategic Transportation Plan.--Upon
completion of the study required under subsection (a), the
Delta Regional Authority shall establish a regional strategic
transportation plan to achieve efficient transportation
systems in the Delta region. In developing the regional
strategic transportation plan, the Delta Regional Authority
shall consult with local planning and development districts,
local and regional governments, metropolitan planning
organizations, State transportation entities, and Federal
transportation agencies.
(c) Elements of Study and Plan.--The study and plan under
this section shall include the following transportation modes
and systems: transit, rail, highway, interstate, bridges,
air, airports, waterways and ports.
(d) Authorization of Appropriations.--There is authorized
to be appropriated to the Delta Regional Authority $1,000,000
to carry out the purposes of this section, to remain
available until expended.
SEC. 5507. TREATMENT OF EMPLOYER-PROVIDED TRANSIT AND VAN
POOLING BENEFITS.
(a) In General.--Subparagraph (A) of section 132(f)(2)
(relating to limitation on exclusion) is amended by striking
``$100'' and inserting ``$120''.
(b) Inflation Adjustment Conforming Amendments.--The last
sentence of section 132(f)(6)(A) (relating to inflation
adjustment) is amended--
(1) by striking ``2002'' and inserting ``2005'', and
(2) by striking ``2001'' and inserting ``2004''.
(c) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2004.
SEC. 5508. STUDY OF INCENTIVES FOR PRODUCTION OF BIODIESEL.
(a) Study.--The General Comptroller of the United States
shall conduct a study related to biodiesel fuels and the tax
credit for biodiesel fuels established under this Act. Such
study shall include--
(1) an assessment on whether such credit provides
sufficient assistance to the producers of biodiesel fuel to
establish the fuel as a viable energy alternative in the
current market place,
(2) an assessment on how long such credit or similar
subsidy would have to remain in effect before biodiesel fuel
can compete in the market place without such assistance,
(3) a cost-benefit analysis of such credit, comparing the
cost of the credit in forgone revenue to the benefits of
lower fuel costs for consumers, increased profitability for
the biodiesel industry, increased farm income, reduced
program outlays from the Department of Agriculture, and the
improved environmental conditions through the use of
biodiesel fuel, and
(4) an assessment on whether such credit results in any
unintended consequences for unrelated industries, including
the impact, if any, on the glycerin market.
(b) Report.--Not later than 2 years after the date of the
enactment of this Act, the Comptroller General of the United
States shall report the findings of the study required under
subsection (a) to the Committee on Finance of the Senate and
the Committee on Ways and Means of the House of
Representatives.
SEC. 5509. REDUCTION OF EXPENDITURES FROM THE HIGHWAY TRUST
FUND.
The amount made available under titles I, II, III, and IV
of this Act shall be reduced on a pro rata basis, so that the
total of such reductions equals $214,000,000,000.
Subtitle G--Revenue Offsets
PART I--LIMITATION ON EXPENSING CERTAIN PASSENGER AUTOMOBILES
SEC. 5601. EXPANSION OF LIMITATION ON DEPRECIATION OF CERTAIN
PASSENGER AUTOMOBILES.
(a) In General.--Section 179(b) (relating to limitations)
is amended by adding at the end the following new paragraph:
``(6) Limitation on cost taken into account for certain
passenger vehicles.--
``(A) In general.--The cost of any sport utility vehicle
for any taxable year which may be taken into account under
this section shall not exceed $25,000.
``(B) Sport utility vehicle.--For purposes of subparagraph
(A)--
``(i) In general.--The term `sport utility vehicle' means
any 4-wheeled vehicle which--
``(I) is manufactured primarily for use on public streets,
roads, and highways,
``(II) is not subject to section 280F, and
``(III) is rated at not more than 14,000 pounds gross
vehicle weight.
``(ii) Certain vehicles excluded.--Such term does not
include any vehicle which--
``(I) does not have the primary load carrying device or
container attached,
``(II) has a seating capacity of more than 12 individuals,
``(III) is designed for more than 9 individuals in seating
rearward of the driver's seat,
``(IV) is equipped with an open cargo area, or a covered
box not readily accessible from the passenger compartment, of
at least 72.0 inches in interior length, or
``(V) has an integral enclosure, fully enclosing the driver
compartment and load carrying device, does not have seating
rearward of the driver's seat, and has no body section
protruding more than 30 inches ahead of the leading edge of
the windshield.''.
(c) Effective Date.--The amendments made by this section
shall apply to property placed in service after February 2,
2004.
PART II--PROVISION TO REPLENISH THE GENERAL FUND
SEC. 5611. MODIFICATION TO CORPORATE ESTIMATED TAX
REQUIREMENTS.
The amount of any required installment of corporate
estimated income tax which is otherwise due under section
6655 of the Internal Revenue Code of 1986 after June 30,
2009, and before October 1, 2009, shall be 119 percent of
such amount.
______
SA 2317. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1006, between lines 7 and 8, insert the following:
SEC. 4603. SENSE OF THE SENATE
It is the sense of the Senate that, notwithstanding
amendment to section 24104 of title 49, United States Code,
by section 4601, no amounts in excess of the amounts
appropriated for Amtrak for fiscal year 2004 should be
appropriated for any fiscal year before the enactment of a
law providing for comprehensive reform and restructuring of
Amtrak (as determined by the Secretary of Transportation).''.
______
SA 2318. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1005, line 18, strike ``There'' and insert ``Upon
the enactment of a law providing for comprehensive reform and
restructuring of Amtrak (as determined by the Secretary of
Transportation), there''.
______
SA 2319. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1005, line 21, after ``expenses.'' insert
``Notwithstanding the preceding sentence, no amounts in
excess of the amounts appropriated for Amtrak for fiscal year
2004 are authorized to be appropriated for any fiscal year
until the enactment of a law providing for comprehensive
reform and restructuring of Amtrak (as determined by the
Secretary of Transportation),''.
______
SA 2320. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
In section 105 of title 23, United States Code, as added by
section 1201 of the amendment, strike subsection (c).
______
SA 2321. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
In section 105 of title 23, United States Code, as added by
section 1201 of the amendment, strike subsection (b)(1)(B).
______
SA 2322. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
In section 105 of title 23, United States Code, as added by
section 1201 of the amendment, strike subsection (d).
______
SA 2323. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize
[[Page S1056]]
funds for Federal-aid highways, highway safety programs, and transit
programs, and for other purposes; which was ordered to lie on the
table; as follows:
Redesignate subsection (g) of section 105 of title 23,
United States Code, as it would be amended by section 1104 of
the amendment, as subsection (h) and insert after subsection
(f) the following:
``(g) Further Adjustment.--The Secretary shall reduce any
funds apportioned to a State under this section by an amount
equal to any discretionary allocation directed in an annual
Appropriations Act, or its accompanying explanatory material,
made from a program funded from the Highway Trust Fund (other
than the mass transit account) or any other direct
appropriation from the Highway Trust Fund (other than the
mass transit account) received by such State, or any other
entity in such State, in the prior fiscal year.
______
SA 2324. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1005, beginning with line 15, strike through line 7
on page 1006 and insert the following:
TITLE VI--RAIL TRANSPORTATION
SEC. 601. SHORT TITLE.
This title may be cited as the ``Rail Passenger Service
Restructuring, Reauthorization, and Development Act''.
SEC. 602. TABLE OF CONTENTS; AMENDMENT OF TITLE 49, UNITED
STATES CODE.
(a) Table of Contents.--The table of contents for this Act
is as follows:
Sec. 601. Short title.
Sec. 602. Table of contents; amendment of title 49, United States Code.
Subtitle A--Network Restructuring and Cost-Sharing
Part 1--Restructuring
Sec. 611. Statement of purposes.
See. 612. Passenger rail service restructuring.
Sec. 613. Definitions.
Sec. 614. Operating grants for corridor routes.
Sec. 615. Operating grants for long distance routes
Sec. 616. Long distance route restructuring commission.
Sec. 617. Criteria for restructuring.
Sec. 618. Implementation of restructuring plan.
Part 2--Northeast Corridor
Sec. 621. Redemption of common stock.
Sec. 622. Retirement of preferred stock; transfer of assets.
See. 623. Real estate and asset sales; other.
See. 624. Interstate compact for the Northeast Corridor.
Sec. 625. Shut-down of commuter or freight operations.
Sec. 626. Capital grants for the Northeast Corridor.
Part 3--Related Matters
Sec. 631. Fair and open competition.
Sec. 632. Access to other railroads.
Sec. 633. Limitations on rail passenger transportation liability.
Sec. 634. Train operations insurance pool.
Sec. 635. Collective bargaining arrangements.
Subtitle B--Rail Development
See. 651. Capital assistance for intercity passenger rail service.
Sce. 652. Final regulations on applications by States for development
grants.
Sec. 653. Authority for interstate compacts for corridor development.
Subtitle C--Reforms
Sec. 671. Management of secured debt.
Sec. 672. Employee transition assistance.
Sec. 673. Termination of authority for GSA to provide services to
Amtrak.
Sec. 674. Amtrak reform board of directors.
See. 675. Limitations on availability of grants.
Sec. 676. Repeal of obsolete and executed provisions of law.
Sec. 677. Establishment of financial accounting system for the American
Passenger Railway Corporation by independent auditor.
See. 678. Restructuring of long-term debt and capital leases.
Sec. 679. Authorization of appropriations.
(b) Amendment of Title 49.--Except as otherwise expressly
provided, whenever in this Act an amendment or repeal is
expressed in terms of an amendment to, or a repeal of, a
section or other provision, the reference shall be considered
to be made to a section or other provision of title 49,
United States Code.
Subtitle A--Network Restructuring and Cost-Sharing
Part 1--Restructuring
SEC. 611. STATEMENT OF PURPOSE OF CORPORATE RESTRUCTURING.
Section 24101 is amended to read as follows:
Sec. 24101. Findings, purpose, and goals
``(a) Findings.--
``(1) It is in the public interest of the United States to
encourage and promote the development of various modes of
transportation and transportation infrastructure to
efficiently maximize the mobility of passengers and goods.
``(2) Despite Federal subsidies of nearly $27 billion over
the past 34 years, intercity rail passenger service still
accounts for less than 1 percent of all intercity travel.
``(3) Intercity rail passenger service can be competitive
with other modes of transportation and achieve a significant
share of the travel market in short-distance corridors
connecting metropolitan areas.
``(4) Rail passenger transportation can help alleviate
overcrowding of airways and airports, and can provide needed
intermodal connections to airports, bus terminals, and mass
transit services.
``(5) Short-distance corridor trains account for
approximately 85 percent of Amtrak's ridership but only one-
third of Amtrak's operating losses, excluding depreciation.
``(6) A number of Amtrak's long-distance routes may be more
efficiently operated and attract higher ridership as
connected corridors.
``(7) Service over long-distance routes that cannot be
restructured as connected corridors, do not receive State
financial support, or are not an essential link to the rest
of the intercity passenger rail network, should be
consolidated or discontinued.
``(8) Some States with short-distance corridor services
provide significant financial support for such services,
while other States with short-distance routes and all states
with long-distance routes contribute nothing for such
services. More equitable cost-sharing is needed to justify
Federal investment in intercity rail passenger service.
``(9) The need to invest taxpayer dollars in intercity rail
passenger service demands that fair and open competition be
permitted for the provision of such services to ensure that
service is provided in the most efficient manner, without
jeopardizing the safety of such operations.
``(10) A greater degree of cooperation is necessary among
intercity passenger service operators, freight railroads,
State, regional, and local governments, the private sector,
labor organizations, and suppliers of services and equipment
to achieve the performance sufficient to justify the
expenditure of additional public money on intercity rail
passenger service.
``(11) Transportation services provided by the private
freight railroads are vital to the economy and national
defense and should not be disadvantaged by the operation of
intercity passenger rail service over their rights-of-way.
``(12) The Northeast Corridor is a valuable resource of the
United States used by intercity and commuter rail passenger
transportation and freight transportation and should be
restored to a state of good repair.
``(b) Purpose.--The purpose of this chapter is to assist in
the preservation and development of conventional and high-
speed intercity rail passenger services where such services
can play an important role in facilitating passenger mobility
in the United States.
``(e) Goals.--The goals of this chapter are--
``(1) to move toward a national network of interconnected
short-distance passenger rail corridor services,
``(2) to return the Northeast Corridor to a state of good
repair;
``(3) to establish a framework for the development of new
conventional and high-speed rail services;
``(4) to allow for train services to be operated under
contract to a State or group of States, with the operator of
the service selected by the State or group of States;
``(5) to establish equitable cost-sharing for capital
expenses and operating losses with the States; and
``(6) to encourage greater participation in the provision
of intercity rail passenger services by the private
sector.''.
SEC. 612. PASSENGER RAIL SERVICE RESTRUCTURING.
(a) In General.--Chapter 243 is amended by inserting before
section 24301 the following:
``Sec. 24300. Restructuring mandate
``(a) In General.--Within 6 months after the date of
enactment of the Rail Passenger Service Restructuring,
Reauthorization, and Development Act, the Amtrak Reform Board
shall restructure Amtrak as 2 independent entities, as
follows:
``(1) The national railroad passenger corporation.--One
entity shall be the National Railroad Passenger Corporation,
otherwise known as Amtrak, that shall provide overall
supervision of the restructuring of the intercity passenger
rail program.
``(2) The american passenger railway corporation.--The
other entity shall be a for profit corporation, to be known
as the American Passenger Railway Corporation, that shall be
responsible for conducting the passenger operations,
infrastructure maintenance, and related services, including
operation of reservation centers and ownership and management
of rolling stock, that were conducted by Amtrak before the
restructuring required by this subsection.
``(b) Articles of Incorporation and Other Documentation.--
The Amtrak Reform Board shall--
``(1) file appropriate articles of incorporation under
State law for the American Passenger Railway Corporation; and
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``(2) amend the articles of incorporation and bylaws of the
National Railroad Passenger Corporation to reflect its
changed functions and responsibilities.
``(c) Roles and responsibilities of the American Passenger
Railway Corporation.--
``(1) Railroad activities.--Consistent with the business
corporation law of the State of incorporation of the American
Passenger Railway Corporation, the Corporation shall be
qualified to undertake railroad activities of an operational
or infrastructure nature.
``(2) Rail operations and related functions.--The American
Passenger Railway Corporation--
``(A) shall have the exclusive right, until October 1,
2005, to continue to provide the intercity passenger service
provided by Amtrak on the date of enactment of the Rail
Passenger Service Restructuring, Reauthorization, and
Development Act;
``(B) shall, beginning October 1, 2005, operate intercity
passenger service only on a contractual basis under
negotiated terms an(1 conditions;
``(C) shall operate a national reservations system; and
``(D) subject to fulfillment of its contractual
obligations, shall have the exclusive right, until management
of the mainline of the Northeast Corridor between Boston,
Massachusetts, and Washington, District of Columbia, is
transferred to the interstate compact created under section
624 or to another entity, to continue to provide the train
operations, dispatching, maintenance, and infrastructure
services that are being provided by Amtrak on the date of
enactment of the Rail Passenger Service Restructuring,
Reauthorization, and Development Act, but may provide such
services beginning October 1, 2005, only on a contractual
basis with the National Railroad Passenger Corporation under
negotiated terms and conditions.
``(4) Status of corporation.--
``(A) The American Passenger Railway Corporation--
``(1) is a railroad carrier under section 20102(2) and
chapters 261 and 281 of this title;
``(ii) shall be operated and managed as a for-profit
corporation; and
``(iii) is not a department, agency, or instrumentality of
the United States Government nor a Government corporation (as
defined in section 103 of title 5).
``(B) Chapter 105 of this title does not apply to the
Corporation, except that laws and regulations governing
safety, employee representation for collective bargaining
purposes, the handling of disputes between carriers and
employees, employee retirement, annuity, and unemployment
systems, and other dealings with employees that apply to a
rail carrier providing transportation subject to chapter 105
apply to the Corporation.
``(C) Subsections (c) through (1) of section 24301 of this
title shall apply to the Corporation.
``(5) Chief executive officer.--Subject to further action
by the board of directors of the American Passenger Railway
Corporation, the president of Amtrak on the date of enactment
of the Rail Passenger Service Restructuring, Reauthorization,
and Development Act shall be offered the position of chief
executive officer of the American Passenger Railway
Corporation.''.
Sec. 24300A. American Passenger Railway Corporation board of
directors
`(a) In General.--
``(1) Membership.--The American Passenger Railway
Corporation shall be governed by a board of directors
consisting of 7 members appointed by the President, by and
with the advice and consent of the Senate. No individual who
is an officer or employee of the United States may serve as a
member of the board.
``(2) Term of office.--Each member shall serve for a term
of 5 years. An individual may not serve for more than 2
terms.
``(3) Quorum.--A majority of the board members who have
been lawfully appointed and qualified at any moment shall
constitute a quorum for the conduct of business.
``(b) Bylaws.--The board of directors shall adopt bylaws
governing the corporation consistent with the provisions of
this section arid its articles of incorporation, and may
amend, repeal, and otherwise modify the bylaws from time to
time as necessary or appropriate.
``(c) Transition Board Members.--Individuals who are
serving as members of the Amtrak Reform Board on the day
before the date on which the American Passenger Railway
Corporation is established, with the exception of the
Secretary of Transportation, shall serve as members of the
board of directors of the American Passenger Railway
Corporation until 4 members of that board have been appointed
and qualified.
``Sec. 24300B. National Railroad Passenger Corporation board
after restructuring
``(a) In General.--After the American Passenger Railway
Corporation is established, the Reform Board established
under section 24302(a) shall be dissolved, and Amtrak shall
be governed by a board of directors consisting of--
``(1) the Secretary of Transportation;
``(2) the Federal Railroad Administrator or another officer
of the United States within the Department of Transportation
compensated under the Executive Schedule under title 5,
United States Code, who is designated by the Secretary; and
``(3) the Federal Transit Administrator or another officer
of the United States within the Department of Transportation
compensated under the Executive Schedule under title 5, who
is designated by the Secretary.
``(b) Roles and Responsibilities.--
``(1) Supervision and management.--After the board of
directors described in subsection (a) takes office, the
National Railroad Passenger Corporation shall--
``(A) provide overall supervision of the restructuring of
the intercity passenger rail program;
``(B) provide management of residual responsibilities; and
``(C) retain and manage Amtrak's legal rights, including
it's legal right of access to other railroads, and ownership
of Amtrak's real property, until that property is transferred
to the Secretary of Transportation under section 622.
``(2) Contracts for service.--The National Railroad
Passenger Corporation shall, by contract, permit an operator
to provide intercity passenger rail service over routes
operated by Amtrak on the date prior to the date the
restructuring required by this Act becomes effective, at the
frequencies in effect on that date, on its behalf and to use
its right of access to any segment of rail line owned by
another rail carrier and needed for the operation of that
train. The operator may be the American Passenger Railway
Corporation or another operator designated by the Secretary,
but there shall be no more than 1 intercity passenger rail
operator at a time over any segment of rail line owned by
another rail carrier, except in terminal areas as determined
by the Secretary or as may otherwise be provided by agreement
among the National Railroad Passenger Corporation, the
operators, and the owner of the rail line.
``(3) Use of amtrak name.--
``(A) In general.--Amtrak shall retain all legal rights
pertaining to the name `Amtrak,' and may, at its option,
license or otherwise make the name `Amtrak' commercially
available in connection with intercity passenger rail and
related services.
``(B) Use by american passenger railway corporation.--
Amtrak shall by contract, permit the American Passenger
Railway Corporation to market its services under the Amtrak
name.
``(4) Amtrak personnel.--All Amtrak employees shall become
American Passenger Railway Corporation employees unless
retained by the National Railroad Passenger Corporation. The
American Passenger Railway Corporation shall succeed to the
collective bargaining agreements in effect between Amtrak and
labor organizations that are in effect on the day before the
date on which that Corporation is established. An employee
who elects employment with National Railroad Passenger
Corporation shall become an employee of that Corporation,
with only such rights regarding pay and benefits as that
Corporation shall determine.
``(5) Freight and commuter operations.--The National
Railroad Passenger Corporation shall ensure that the
implementation of the restructuring required by section 24300
gives due consideration to the needs of freight and commuter
operations that, as of the date of enactment of the Rail
Passenger Service Restructuring, Reauthorization, and
Development Act, operate on the Northeast Corridor using
Amtrak rights-of-way.
``(6) Rolling stock.--The National Railroad Passenger
Corporation shall set the terms under which the American
Passenger Railway Corporation must make available to any
replacement operator the legacy equipment associated with any
intercity passenger rail service provided as of the date of
enactment of that Act.''.
(b) Spinning-off of Reservations System.--Not later than 2
years after the date of enactment of the Rail Passenger
Service Restructuring, Reauthorization, and Development Act,
the American Passenger Railway Corporation shall provide to
the Secretary of Transportation, the Senate Committee on
Commerce, Science, and Transportation, and the House of
Representatives Committee on Transportation and
Infrastructure recommendations on the feasibility,
advantages, and disadvantages of spinning off the reservation
system as a private for-profit entity.
(c) Conforming Amendment.--The chapter analysis for chapter
243 is amended by inserting the following after the item
relating to section 24309:
``24300. Restructuring mandate
``24300A. American Passenger Railway Corporation board of directors
``24300B. Amtrak board after restructuring''.
SEC. 613. DEFINITIONS.
Section 24102 is amended--
(1) by striking paragraph (2) and redesignating paragraphs
(3) through (9) as paragraphs (2) through (8), respectively;
(2) by redesignating paragraphs (3) through (8), as
redesignated, as paragraphs (4) through (9), respectively,
and inserting after paragraph (2) the following:
``(3) `corridor train' means--
``(A) a train route operated by Amtrak as of January 1,
2004, with a route length of 750 miles or less; or
``(B) a new conventional or high-speed route eligible for
funding under chapter 244 of this title.'';
(3) by redesignating paragraphs (6) through (9), as
redesignated, as paragraphs (7) through (10), respectively,
and inserting after paragraph (5) the following:
``(6) `long distance train' means a train route operated by
Amtrak as of January 1, 2004, with a route length greater
than 750 miles.''.
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SEC. 614. OPERATING GRANTS FOR CORRIDOR ROUTES.
(a) In General.--Chapter 243 is amended by adding at the
end the following:
``Sec. 24316. Operating grants for corridor routes
``(a) In General.--
``(1) Operating grant authority.--Beginning on October 1,
2005, the Secretary of Transportation may make grants to
States for operating assistance under the authority of this
section, and not under any other provision of law, to
reimburse operators of corridor routes over which intercity
passenger service was provided on the date of enactment of
the Rail Passenger Service Restructuring, Reauthorization,
and Development Act for the operating expenses incurred in
operating those routes or those frequencies to provide
intercity passenger rail transportation.
``(2) Conditions.--A grant under this section shall be
subject to the terms, conditions, requirements, and
provisions the Secretary decides are necessary or appropriate
for the purposes of this section, including limitations on
what operating expenses are eligible for reimbursement.
``(b) Federal Share of Operating Losses.--
``(1) Reimbursable amount.--A grant to a State under this
section for any fiscal year may not exceed an amount equal to
the lower of--
``(A) the applicable percentage of the Federal operating
subsidy for that fiscal year; or
``(B) the percentage of the operating subsidy for a route
not borne by a State during the last fiscal year ending
before the date of enactment of the Rail Passenger Service
Restructuring, Reauthorization, and Development Act.
``(2) Applicable percentage.--For purposes of paragraph
(1), the applicable percentage of the operating subsidy for a
fiscal year is--
``(A) 70 percent for fiscal year 2006;
``(B) 60 percent for fiscal year 2007;
``(C) 50 percent for fiscal year 2008;
``(D) 40 percent for fiscal year 2009; and
``(E) 30 percent for fiscal year 2010.
``(c) Determination of Expenses Eligible for
Reimbursement.--
``(1) Annual determination of subsidy.--On an annual basis,
the Inspector General for the Department of Transportation
shall analyze and advise the Secretary of Transportation as
to the operating subsidy required on corridor routes operated
by the American Passenger Railway Corporation under contract
with a State without competitive bid. The operating loss on
such routes shall--
``(A) reflect the fully allocated costs of operating the
route, including an appropriate share of overhead expenses,
including general and administrative expenses; and
``(B) exclude depreciation and interest expense on long-
term debt.
``(2) Aggregation of northeast corridor losses.--Operating
losses on corridor trains operated exclusively on the
mainline of the Northeast Corridor extending from Washington,
D.C. to Boston, MA may be aggregated for purposes of
determining the operating subsidy required on the routes.
``(3) Determination with competitive bidding.--Expenses
eligible for Federal support pursuant to paragraph (b)(2) for
reimbursement for a corridor route that has been
competitively bid shall consist of the operating subsidy
agreed upon by the State, group of States, or other entity
and the operator.
``(d) Exception to Date Cost-Sharing Required.--For any
State whose legislature has not convened in regular session
after the date of enactment of the Rail Passenger Service
Restructuring, Reauthorization, and Development Act and
before October 1, 2005, the additional cost-sharing
requirements of this section shall become effective on
October 1, 2006.
``(e) Authorization of Appropriations.--There are
authorized to be appropriated to the Secretary to carry out
this section--
``(1) $125,000,000 for fiscal year 2006;
``(2) $100,000,000 for fiscal year 2007;
``(3) $90,000,000 for fiscal year 2008;
``(4) $75,000,000 for fiscal year 2009; and
``(5) $50,000,000 for fiscal year 2010.''.
(b) Conforming Amendment.--The chapter analysis for chapter
243 is amended by adding at the end the following:
``24316. Operating grants for corridor routes''.
SEC. 615. OPERATING GRANTS FOR LONG DISTANCE ROUTES.
(a) In General.--Chapter 243, as amended by section 614, is
amended by adding at the end the following:
``Sec. 24317. Operating grants for long distance routes
``(a) In General.--
``(1) Operating grant authority.--Beginning on October 1,
2005, the Secretary of Transportation may make grants to the
American Passenger Railway Corporation or to a State for
operating assistance under the authority of this section, and
not under any other provision of law, to reimburse operators
of long distance routes over which intercity passenger
service was provided on the date of enactment of the Rail
Passenger Service Restructuring, Reauthorization, and
Development Act, for operating subsidies required in
operating those routes or those frequencies to provide
intercity passenger rail transportation.
``(2) Conditions.--
``(A) A grant under this section shall be subject to the
terms, conditions, requirements, and provisions the Secretary
decides are necessary or appropriate for the purposes of this
section, including limitations on what operating expenses are
eligible for reimbursement.
``(B) The Secretary shall require the American Passenger
Railway Corporation, as a condition of a grant under this
section, to systematically reduce its fiscal year 2003 route
and system-wide overhead expenses by a minimum of 5 percent
annually through fiscal year 2010. A contract between the
National Railroad Passenger Corporation and the American
Passenger Railway Corporation for the operation of a long
distance route or routes must provide for reimbursement of
operating losses to be reduced to reflect such cost
reductions and productivity enhancements.
``(3) Annual determination of subsidy.--On an annual basis,
the Inspector General for the Department of Transportation
shall analyze and advise the Secretary of Transportation as
to the operating subsidy required on long distance routes
operated by the American Passenger Railway Corporation.
``(b) Federal Share of Operating Losses.--Pending
completion of the restructuring of long distance intercity
passenger rail routes required by sections 615 through 617 of
the Rail Passenger Service Restructuring, Reauthorization,
and Development Act, the Federal share for an operating grant
may be 100 percent of the qualifying operating subsidy for
the route.
``(c) Authorization of Appropriations.--There are
authorized to be appropriated to the Secretary of
Transportation to carry out this section--
``(1) $550,000,000 for fiscal year 2006;
``(2) $400,000,000 for fiscal year 2007;
``(3) $350,000,000 for fiscal year 2008;
``(4) $325,000,000 for fiscal year 2009; and
``(5) $300,000,000 for fiscal year 2010.''.
(b) Conforming Amendment.--The chapter analysis for chapter
243, as amended by section 614 of this Act, is amended by
adding at the end the following:
``24317. Operating grants for long distance routes
SEC. 616. LONG DISTANCE ROUTE RESTRUCTURING COMMISSION.
(a) Establishment.--There is established an independent
commission to be known as the Long Distance Route
Restructuring Commission.
(b) Duty.--
(1) In general.--The Commission shall submit a plan to
Congress for restructuring long distance intercity passenger
rail routes on a timely basis by--
(A) retaining routes that provide a unique service that can
be contracted out by the National Railroad Passenger
Corporation on a for-profit basis;
(B) restructuring other routes as linked corridor routes
between major metropolitan areas; and
(C) consolidating or discontinuing service over remaining
routes.
(2) Preservation of national network.--The restructuring
plan submitted by the Commission shall ensure that no
corridor train is completely isolated from the rest of the
intercity passenger rail network.
(3) Exceptions.--
(A) In general.--A route will be excluded from
consideration for restructuring, consolidation, or closure if
a State or group of States commits, by contractual
arrangement with the American Passenger Railway Corporation
or another operator selected through a competitive process,
to provide financial operating support at a level sufficient
to offset at least
(i) 30 percent of the operating subsidy for fiscal year
2007;
(ii) 40 percent of the operating subsidy for fiscal year
2008; and
(iii) 50 percent of the operating subsidy thereafter.
(B) Failure of support.--If a State or group of States
fails to provide the support to which it committed under this
paragraph, then service over the route shall be discontinued.
(4) Consultation required.--In carrying out its duties, the
Commission shall consult with the American Passenger Railway
Corporation, State and local officials, freight railroads,
companies with expertise in intercity passenger
transportation, and other persons with an interest in the
restructuring of the long distance train routes.
(c) Appointment.--
(1) The Commission shall be composed of 7 members appointed
by the President within 6 months after the date of enactment
of this Act.
(2) The Commission members shall elect 1 member to serve as
Chairman.
(d) Termination.--The Commission shall terminate 90 days
after the Commission's recommendations for consolidation and
closure are submitted to Congress.
(e) Vacancies.--A vacancy on the Commission shall be filled
in the same manner as the original appointment.
(f) Detailees.--Upon the request of the Chairman of the
Commission, the head of any Federal department or agency may
detail personnel of that department or agency to the
Commission to assist the Commission in carrying out its
duties.
(g) Compensation; Reimbursement.--Members of the Commission
shall serve without pay, but shall receive travel expenses,
including per diem in lieu of subsistence, in accordance with
section 5702 and 5703 of title 5, United States Code.
(h) Other Authority.--
(1) The Commission may procure by contract, to the extent
funds are available, the
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temporary or intermittent services of experts or consultants
pursuant to section 3109 of title 5, United States Code.
(2) The Commission may lease space and acquire personal
property to the extent funds are available.
(i) Authorization of Appropriations.--There are authorized
to be appropriated for the use of the Commission in carrying
out its responsibilities under this section for each of
fiscal years 2005 and 2006, $4,000,000, such sums to remain
available until expended.
SEC. 617. CRITERIA FOR RESTRUCTURING.
(a) Restructuring as Linked Corridors.--
(1) Prerequisite for restructuring.--A long distance route
or portion thereof may be recommended for restructuring as a
linked corridor if--
(A) the origin-to-destination travel time of each corridor
link in the new route, at conventional train speeds,
including all station stops, will be competitive with other
modes of transportation;
(B) each corridor link in the new route connects at least 2
major metropolitan areas or provides a link between 2 or more
existing corridor trains;
(C) the restructured train can be reasonably expected to
attract at least 10 percent of the combined common carrier
market in the markets served;
(D) the projected cash operating loss of each of the
restructured links does not exceed 11 cents per passenger-
mile on a fully allocated cost basis; and
(E) the Federal operating subsidy will not be more than 50
percent of the operating subsidy for the route for fiscal
year 2003.
(2) Hours of operation.--In addition to the eligibility
criteria in paragraph (1), any long distance routes
recommended for restructuring as linked corridors shall be
designed to operate between the hours of 6:00 a.m. and 11:00
p.m.
(3) Modification of routes.--With the concurrence of the
affected States, existing routes may be modified to improve
ridership and financial performance.
(4) New capital plans.--As part of the restructuring plan
for reconfigured routes, the Commission shall develop a
capital plan, if additional capital is needed to reconfigure
the route as linked corridors.
(b) Contracting-Out of Profitable Long Distance Routes and
Services.--The Commission shall determine which long distance
routes or services on such routes, including auto-ferry
transportation, food service, and sleeping accommodations,
could be contracted to a private operator on a for-profit
basis. In making these determinations, the Commission shall
solicit expressions of interest from the private sector in
operating long distance routes or services, including the
conditions under which private companies may be interested in
operating such services.
(e) Consolidation and Closure.--The Commission shall make
recommendations to Congress for consolidating and closing
long distance train routes or portions of routes that cannot
be restructured under subsection (a) or contracted out under
subsection (b), to reduce the Federal operating subsidy
required by at least 50 percent compared to the operating
subsidy required in fiscal year 2003, taking into
consideration--
(1) the operating loss on a fully allocated cost basis,
including capital costs, of the route or portion thereof;
(2) the extent to which train service is the only available
public transportation to the cities and towns along the route
or portion;
(3) whether an alternate route could significantly reduce
operating losses or increase ridership;
(4) available capacity on the rights-of-way of the host
railroad or railroads; and
(5) interest from the private sector in operating the route
or portion thereof on a subsidized basis.
(d) Cooperation of American Passenger Railway
Corporation.--
(1) The American Passenger Railway Corporation shall
cooperate and comply, subject to the agreement of the
Commission to protect the confidentiality of proprietary
information, with all requests for financial, marketing, and
other information affecting the routes under consideration by
the Commission.
(2) The Secretary of Transportation may withhold all or
part of an operating or capital grant to the Corporation if
the Secretary determines the American Passenger Railway
Corporation is not cooperating with the Commission as
required by this Act.
(e) Report.--The Commission shall submit its
recommendations for consolidation and closure to the Senate
Committee on Commerce, Science, and Transportation and the
House of Representatives Committee on Transportation and
Infrastructure within 18 months after the date of enactment
of this Act. The report shall include a description of--
(1) the analysis performed by the Commission to reach its
conclusions;
(2) options considered in the development of a
restructuring plan;
(3) the impact of the restructuring on employees of the
American Passenger Railway Corporation for any long distance
route restructured under this section; and
(4) the costs and benefits of implementing the plan.
SEC. 618. IMPLEMENTATION OF RESTRUCTURING PLAN.
(a) In General.--Subject to subsection (b), the Secretary
of Transportation shall implement the restructuring plan
submitted by the Long Distance Route Restructuring Commission
in its report to Congress pursuant to section 617 unless a
joint resolution is enacted by the Congress disapproving such
recommendations of the Commission before the earlier of--
(A) the end of the 45-day period beginning on the date the
Commission submits its report to Congress; or
(B) the adjournment of Congress sine die for the session
during which such report is submitted.
(2) For purposes of paragraph (1) of this subsection, the
days on which either House of Congress is not in session
because of an adjournment of more than 3 days to a day
certain shall be excluded in the computation of a period.
Part 2--Northeast Corridor
SEC. 621. REDEMPTION OF COMMON STOCK.
(a) Valuation.--The Secretary of Transportation shall
arrange, at the National Railroad Passenger Corporation's
expense, for a valuation of all Amtrak assets and liabilities
with an estimated value in excess of $1,000,000 as of the
date of enactment of this Act by the Secretary of the
Treasury, or by a contractor selected by the Secretary of the
Treasury. The valuation shall be conducted in accordance with
the Uniform Standards of Professional Appraisal Practice of
the Appraisal Foundation's Appraisal Standards Board and
shall be completed within 1 year after the date of enactment
of this Act.
(b) Redemption.--
(1) Prior to the transfer of assets to the Secretary
directed by section 622 of this Act, and within 3 months
after the completion of the valuation under subsection (a),
the National Railroad Passenger Corporation shall redeem all
common stock in Amtrak issued prior to the date of enactment
of this Act at the fair market value of such stock, based on
the valuation performed under subsection (a).
(2) No provision of this Act, or amendments made by this
Act, provide to the owners of the common stock a priority
over holders of indebtedness or other stock of Amtrak.
(c) Acquisition Through Eminent Domain.--In the event that
the National Railroad Passenger Corporation and the owners of
the Amtrak common stock have not completed the redemption of
such stock within 3 months after the completion of the
valuation under subsection (a), the National Railroad
Passenger Corporation shall exercise its right of eminent
domain under section 24311 of title 49, United States Code,
to acquire that stock. The value assigned to the common stock
under subsection (a) shall be deemed to constitute just
compensation except to the extent that the owners of the
common stock demonstrate that the valuation is less than the
constitutional minimum value of the stock.
(d) Amendment of Section 24311.--Section 24311 (a) (1) is
amended--
(1) by striking ``or'' at the end of subparagraph (A);
(2) by striking ``Amtrak.'' in subparagraph (B) and
inserting ``Amtrak; or''; and
(3) by adding at the end the following:
``(C) necessary to redeem Amtrak's common stock from any,
holder thereof, including a rail carrier.''.
(e) Conversion of Preferred Stock to Common.--
(1) Subsequent to the redemption of the common stock in the
corporation issued prior to the date of enactment of this
Act, the Secretary of Transportation shall convert the one
share of the preferred stock of Amtrak retained under section
622 of this Act for 10 shares of common stock in the National
Railroad Passenger Corporation.
(2) The National Railroad Passenger Corporation may not
issue any other common stock, and may not issue preferred
stock, without the express written consent of the Secretary.
(f) Termination of Section 24907 Note and Mortgage
Authority.--Section 24907 is amended by adding at the end the
following:
``(d) Termination of Authority.--The authority of the
Secretary to obtain a note of indebtedness from, and make a
mortgage agreement with, the American Passenger Railway
Corporation under subsection (a) is terminated as of the date
of the transfer of assets under section 622 of the Rail
Passenger Service Restructuring, Reauthorization, and
Development Act.''.
SEC. 622. RETIREMENT OF PREFERRED STOCK; TRANSFER OF ASSETS.
(a) Transfer.--Not later than 30 days after the redemption
or acquisition of stock under section 621 of this Act, the
National Railroad Passenger Corporation shall, in return for
the consideration specified in subsection (c), transfer to
the Secretary of Transportation title to--
(1) the portions of the Northeast Corridor currently owned
or leased by the Corporation as well as any improvements made
to these assets, including the rail right-of-way, stations,
track, signal equipment, electric traction facilities,
bridges, tunnels, repair facilities, and all other
improvements owned by the Corporation between Boston,
Massachusetts, and Washington, District of Columbia
(including the route through Springfield, Massachusetts, and
the routes to Harrisburg, Pennsylvania, and Albany, New York,
from the Northeast Corridor mainline);
(2) Chicago Union Station and rail-related assets in the
Chicago Metropolitan area; and
(3) all other track and right-of-way, stations, repair
facilities, and other real property owned or leased by the
Corporation.
[[Page S1060]]
(b) Existing Encumbrances.--
(1) Assumption by federal government.--Any outstanding debt
on the mainline of the Northeast Corridor (other than debt
associated with rolling stock) shall become a debt obligation
of the United States as of the date of transfer of title
under subsection (a)(1).
(2) Restructuring.--Except as provided in paragraph (1),
the obligation of the American Passenger Railway Corporation
or its successors or assigns to repay in full any
indebtedness to the United States incurred since January,
1990, is not affected by this Act or an amendment made by
this Act.
(c) Consideration.--In consideration for the assets
transferred to the United States under subsection (a), the
Secretary shall--
(1) deliver to the National Passenger Railroad Corporation
all but one share of the preferred stock of Amtrak field by
the Secretary and forgive Amtrak's legal obligation to pay
any dividends, including accrued but unpaid dividends as of
the date of transfer, evidenced by the preferred stock
certificates; and
(2) release Amtrak from all mortgages and liens held by the
Secretary that were in existence on January 1, 1990.
(d) Agreement.--Prior to accepting title to the assets
transferred under this section, the Secretary shall enter
into a contract with American Passenger Railway Corporation
under which American Passenger Railway Corporation w111
exercise care, custody, maintenance, and operational control
of the assets to be transferred. The term of the contract
shall be for 1 year, which shall be renewed annually without
action on the part of either party unless canceled by either
party with 90 days notice.
(e) Further Transfers.--
(1) The Secretary may, for appropriate consideration,
transfer title to all or part of Chicago Union Station and
rail-related assets in the Chicago metropolitan area acquired
under this section to a regional public transportation agency
that has significant operations in Chicago Union Station on
the date of enactment of this Act.
(2) The Secretary may, for appropriate consideration,
transfer to the underlying States title to real estate
properties owned by the Corporation between Boston,
Massachusetts, and Washington, District of Columbia, that
constitute the route through Springfield, Massachusetts, and
the routes to Harrisburg, Pennsylvania, and Albany, New York,
from the Northeast Corridor mainline.
(3) The Secretary may, for appropriate consideration,
transfer title to all or part of the assets acquired under
subsection (a)(3) to a State, a public agency, a railroad, or
other entity deemed appropriate by the Secretary.
(f) Use of Proceeds.--Notwithstanding section 3302 of title
31, United States Code, any proceeds from the transfer of the
assets described in subsection (e) shall be credited as off-
setting collection to the account that finances debt and
interest payments to the American Passenger Railway
Corporation. Funds available for corridor development under
chapter 244 of title 49, United States Code, shall be
increased by an amount equal to the amounts credited under
the preceding sentence.
SEC. 623. REAL ESTATE AND ASSET SALES; OTHER.
(a) In General.--Within 3 years after the date of enactment
of this Act, the Secretary of Transportation shall transfer
all stations, track, and other fixed facilities outside the
Northeast Corridor mainline to which the Secretary has
assumed title under section 622 of this title, other than
equipment repair facilities, to States, municipalities,
railroads, or other entities for maximum consideration.
(b) Use of Proceeds.--Notwithstanding section 3302 of title
31, United States Code, any proceeds from the transfer of
assets under this section shall be credited as off-setting
collections to the account that finances debt and interest
payments to the American Passenger Railway Corporation. Funds
available for corridor development under chapter 244 of title
49, United States Code, shall be increased by an amount equal
to the amounts credited under the preceding sentence.
SEC. 624. INTERSTATE COMPACT FOR THE NORTHEAST CORRIDOR.
(a) Consent to Compact.--
(1) In general.--The States and the District of Columbia
that constitute the Northeast Corridor, as defined in section
24102 of title 49, United States Code, may enter into a
multistate compact, not in conflict with any other law of the
United States, to be known as the Northeast Corridor Compact,
to manage railroad operations and rail service and conduct
related activities on the Northeast Corridor mainline between
Boston, Massachusetts, and Washington, District of Columbia.
(2) Congressional approval required.--The Northeast
Corridor Compact shall be submitted to Congress for its
consent. It is the sense of the Congress that rapid consent
to the Compact is a priority matter for the Congress.
(b) Compact Commission.--
(1) In general.--There is hereby established a commission
to be known as the Northeast Corridor Compact Commission. The
Commission shall be composed of--
(A) 2 members (or their designees), to be selected by the
Secretary of Transportation;
(B) 2 members (or their designees), to be selected by
agreement of--
(i) the governors of Maryland, Delaware, Pennsylvania, New
Jersey, New York, Connecticut, Rhode Island, and
Massachusetts (hereinafter referred to as the ``participating
States''); and
(ii) the mayor of the District of Colombia; and
(C) 1 member to be selected by the 4 members selected under
subparagraphs (A) and (B).
(2) Administrative provisions.--
(A) Members of the Commission shall be appointed for the
life of the Commission.
(B) A vacancy in the Commission shall be filled in the
manner in which the original appointment was made.
(C) Members shall serve without pay but shall receive
travel expenses, including per diem in lieu of subsistence,
in accordance with sections 5702 and 5703 of title 5, United
States Code.
(D) The Chairman of the Commission shall be elected by the
members.
(E) The Commission may appoint and fix the pay of such
personnel as it considers appropriate.
(F) Upon the request of the Commission, the head of any
department or agency of the United States may detail, on a
reimbursable basis, any of the personnel of that department
or agency to the Commission to assist it in carrying out its
duties under this section.
(G) Upon the request of the Commission, the Administrator
of General Services shall provide to the Commission, on a
reimbursable basis, the administrative support services
necessary for the Commission to carry out its
responsibilities under this section.
(c) Functions.--
(1) The Commission shall prepare for the consideration of
and adoption by participating States, the District of
Columbia, and the Secretary of Transportation an interstate
compact that provides for--
(A) full authority for 99 years to succeed to the
responsibilities of the American Passenger Railway
Corporation as operator of the Northeast Corridor, subject to
the provisions of a lease from the Department of
Transportation, including--
(i) responsibility for Corridor maintenance and
improvement;
(ii) operation of intercity passenger rail service;
(iii) arrangements for operation of freight railroad
operations and commuter operations;
(iv) authority to make use of the Corridor for non-rail
purposes; and
(v) assumption of financial responsibility for Northeast
Corridor functions;
(B) execution of a lease of the Northeast Corridor from the
Department of Transportation, for a period of 99 years,
subject to appropriate provisions protecting the lessor's
interests, including reversion of all lease interests to the
lessor in the event the lessee fails to meet its financial
obligations or otherwise assume financial responsibility for
Northeast Corridor functions; and
(C) participation by the Department of Transportation, as
the non-voting representative of the United States.
(2) The compact terms shall, at a minimum, conform to the
requirements of subsections (e) through (i) of this section.
(d) Final Compact Proposal.--
(1) The Commission shall submit a final compact proposal to
participating States, the District of Columbia, and the
Federal Government not later than 18 months after the date of
enactment of this Act.
(2) The Commission shall terminate on the 180th day
following the date of transmittal of the final compact
proposal under this subsection.
(e) Governance and Funding Requirements for Compact.--
(1) The governance provisions of the compact shall provide
a mechanism to ensure voting representation for the
participating States and the District of Columbia and for
non-voting representation for the Secretary of Transportation
and a freight railroad that conducts operations on the
Northeast Corridor as ex officio members participating in all
Compact affairs.
(2) The provisions of the compact shall establish the
financial obligations of each compact member and shall
provide for its management of rail services in the Northeast
Corridor.
(f) Federal Interest Requirements for Compact.--The
provisions of the Compact shall hold the United States
Government harmless as to the actions of the Compact under
the lease of rights to the Northeast Corridor by the United
States Government.
(g) Compact Borrowing Authority.--
(1) The borrowing authority provisions of the Compact may
authorize it to issue bonds or other debt instruments from
time to time at its discretion for purposes that include
paying any part of the cost of rail service improvements,
construction, and rehabilitation and the acquisition of real
and personal property, including operating equipment, except
that debt issued by the Compact may be secured only by
revenues to the Compact and may not be a debt of a
participating State, the District of Columbia, or the Federal
Government.
(2) The debt authorized by this subsection shall under no
circumstances be backed by the full faith and credit of the
United States, and a grant made under the authority of this
Act or under the authority of part C of subtitle V of title
49, United States Code, shall include an express
acknowledgement by the grantee that the debt does not
constitute an obligation of the United States.
(h) Adoption of Compact; Turnover.--
(1) In general.--The participating States and the District
of Columbia shall adopt a final compact agreement within 5
years after
[[Page S1061]]
the date of enactment of this Act, and the Compact shall
thereafter assume responsibility for the Northeast Corridor
operations on a date that is not later than 6 months after
adoption of the Compact.
(2) Operations.--Upon leasing the Northeast Corridor to the
Compact, the Secretary shall assign to the Compact and the
Compact shall assume the then-current contract for operation
of the Northeast Corridor. Upon the termination of that
contract, the Compact may make such arrangements for
operation of the Northeast Corridor as it sees fit consistent
with its lease and this Act. If the Compact chooses to use a
contractor to operate the Northeast Corridor, the contract
shall be awarded competitively.
(3) Maintenance.--Upon leasing the Northeast Corridor to
the Compact, the Secretary shall assign to the Compact and
the Compact shall assume the then-current contract for
maintenance of the Northeast Corridor. Upon the termination
of that contract, the Compact may make such arrangements for
maintenance of the Northeast Corridor as it sees fit
consistent with its lease and this Act. If the Compact
chooses to use a contractor to maintain the Northeast
Corridor, the contract shall be awarded competitively.
(4) Non-compact alternative.--In the event that the
participating States and the District of Columbia do not
adopt the final compact agreement and make it operational
under the schedule set forth in this section, the Secretary
of Transportation, through a competitive bidding process, may
contract with another public or private entity to manage the
Northeast Corridor, with a goal of maximizing the return to
the Federal government from such operations.
(i) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Transportation to
carry out this section--
(1) $3,000,000 for fiscal year 2005, and
(2) $2,000,000 for fiscal year 2006,
such sums to remain available until expended.
SEC. 625. SHUT-DOWN OF COMMUTER OR FREIGHT OPERATIONS.
(a) In General.--Section 11123 is amended by striking
``National Railroad Passenger Corporation'' each place it
appears and inserting ``American Passenger Railway
Corporation''.
(b) Authorization of Appropriations.--From the funds made
available for the American Passenger Railway Corporation for
fiscal years 2005 through 2010, the Secretary of
Transportation shall in each fiscal year hold in reserve such
sums as may be necessary to carry out directed service orders
issued under section 1123 of title 49, United States Code, to
respond to the shut-down of commuter rail operations or
freight operations due to a shut-down of operations by the
American Passenger Railway Corporation. The Secretary shall
make the reserved funds available through an appropriate
grant instrument during the fourth quarter of each fiscal
year to the extent that no grant orders have been issued by
the Surface Transportation Board during that fiscal year
prior to the date of transfer of the reserved funds or there
is a balance of reserved funds not needed by the Board to pay
for any directed service order in that fiscal year.
(c) Effective Date for Subsection (a).--The amendment made
by subsection (a) shall take effect on the date, determined
by the Secretary of Transportation, on which the
restructuring required by sections 24300, 24300A, and 24300B
of title 49, United States Code, is completed.
SEC. 626. CAPITAL GRANTS FOR NORTHEAST CORRIDOR.
(a) In General.--Chapter 243, as amended by section 615, is
amended by adding at the end the following:
``Sec. 24318. Capital authorizations for the Northeast
Corridor
``(a) In General.--The Secretary of Transportation, in
consultation with State and regional transportation
officials, shall develop and implement a capital program to
restore the rail infrastructure on the mainline Northeast
Corridor between Boston, Massachusetts, and Washington,
District of Columbia, to a state of good repair.
``(b) Authorization of Appropriations for Capital Projects
on the Northeast Corridor.--There are authorized to be
appropriated to the Secretary of Transportation to make
capital grants under this section $200,000,000 for fiscal
year 2005 and $300,000,000 for each of fiscal years 2006
through 2010.
``(c) Achievement of State-of-Good-Repair on Northeast
Corridor.--
``(1) Use of funds.--Sums authorized for the Northeast
Corridor under subsection (b) may be used solely for the
purpose of funding deferred maintenance and safety projects,
including the negotiated Federal share for life-safety
improvements in the New York Penn Station tunnels.
``(2) State of good repair.--The Northeast Corridor shall
be considered to be in a state of good repair upon the
completion of the capital program developed under
subsection (a).''.
(b) Conforming Amendment.--The chapter analysis for chapter
243, as amended by section 615, is amended by adding at the
end thereof the following:
``24318. Capital authorizations for the Northeast Corridor''.
Part 3--Related Matters
SEC. 631. FAIR AND OPEN COMPETITION.
(a) In General.--The Secretary of Transportation shall
consult with States that competitively bid intercity
passenger rail services to ensure that their bidding
processes provide for fair and open competition for all
bidders, including the American Passenger Railway
Corporation.
(b) Use of Federal or State Funds.--The Secretary shall
ensure that the American Passenger Railway Corporation may
not use Federal or State financial support for a passenger
rail route to subsidize a competitive bid to operate
intercity passenger rail service on another route.
SEC. 632. ACCESS TO OTHER RAILROADS.
(a) Terms and Conditions for Access to Other Railroads.--
(1) Existing routes and frequencies.--
(A) In general.--The National Railroad Passenger
Corporation shall be responsible for negotiating the terms
and conditions under which the American Passenger Railway
Corporation, a State, or other entity may access the property
of any freight railroad to provide intercity passenger rail
service over routes operated by Amtrak on the day before the
date, determined by the Secretary of Transportation, on which
the restructuring required by sections 24300, 24300A, and
24300B of title 49, United States Code, is completed at the
frequencies in effect on that clay.
(B) Preservation of railroad benefits.--The access and
liability terms and conditions of the contracts between the
National Railroad Passenger Corporation and railroads
following that restructuring shall be no less favorable to
the host railroads than the access and liability terms and
conditions under contracts in effect on the day before the
date, as so determined by the Secretary, on which the
restructuring is completed.
(C) Incentive payments; penalties.--The Secretary shall
retain a system of incentive payments and performance
penalties in negotiating compensation payments to freight
railroads under subparagraph (A) that encourages on-time
performance.
(3) Conditions for new routes and train frequencies.--
(A) In general.--The terms and conditions for the operation
of a new intercity passenger rail route or frequency added
after the date of enactment of this Act shall be determined
by negotiation and mutual agreement between the host railroad
and the operator or sponsor of the route or frequency to be
added, with no preferential right of access.
(B) Standard of compensation.--The standard of compensation
for the rental change shall be fully allocated costs,
excluding capital investments associated with an added route
or frequency.
(C) Failure of negotiation.--If the parties cannot agree on
the terms and conditions of the rental charge, either party
may seek a prescription of appropriate terms and conditions
under section 24308 of title 49, United States Code.
(b) Fitness Qualifications for passenger rail.--
(1) In general.--No person may operate intercity passenger
rail service over freight railroad property unless that
person demonstrates to the satisfaction of the Secretary of
Transportation that--
``(A) its intercity passenger rail operations will meet all
applicable Federal safety rules and regulations;
``(B) it will operate the service on a sound financial
basis; and
``(C) it has the technical expertise to operate intercity
passenger rail service.''.
(2) Minimum standards.--Within 6 months after the date of
enactment of this Act, the Secretary of Transportation shall
by regulation establish minimum safety and financial
qualifications for operators of intercity passenger rail
service.
SEC. 633. LIMITATIONS ON RAIL PASSENGER TRANSPORTATION
LIABILITY.
Section 28103 is amended by striking ``Amtrak shall
maintain a total'' in subsection (c) and inserting ``each
operator of intercity passenger rail service shall
maintain''.
SEC. 634. TRAIN OPERATIONS INSURANCE POOL.
(a) In general.--Chapter 281 is amended by adding at the
end the following:
``Sec. 28104. Train operations insurance pool
``(a) In General.--The Secretary of Transportation is
authorized to encourage and otherwise assist insurance
companies and other insurers that meet the requirements
prescribed under subsection (b) of this section to form,
associate, or otherwise join together in a pool--
``(1) to provide the insurance coverage required by section
28103; and
``(2) for the purpose of assuming, on such terms and
conditions as may be agreed upon, such financial
responsibility as will enable such companies and other
insurers to assume a reasonable proportion of responsibility
for the adjustment and payment of claims under section 28103.
``(b) Regulations To Establish Insurer Qualification
Requirements.--In order to promote the effective
administration of the intercity rail passenger program, and
to assure that the objectives of this chapter are furthered,
the Secretary is authorized to prescribe requirements for
insurance companies and other insurers participating in an
insurance pool under subsection (a), including minimum
requirements for capital or surplus or assets.
(c) Authority To Collect and Pay Premiums and Other
Costs.--In order to provide adequate insurance coverage at
affordable cost to operators of intercity passenger rail
service at no cost to the United States, the Secretary is
authorized to divide the insurance premiums and all other
costs of forming
[[Page S1062]]
and operating the insurance pool created pursuant to this
section, including the costs of any contractors or
consultants the Secretary may hire, among all the operators
of intercity passenger rail service and collect from each
operator of intercity passenger rail service the insurance
premiums and other costs the Secretary has allocated to it.
Notwithstanding any other provisions of law, the Secretary
may receive funds collected under this section directly from
each operator of intercity passenger rail service, credit the
appropriation charged for the insurance premiums and other
costs of forming and operating the insurance pool, and use
those funds to pay insurance premiums and other costs of
forming and operating the insurance pool, including the costs
of any contractors or consultants the Secretary may hire. The
Secretary may advance such sums as may be necessary to pay
insurance premiums and other costs of forming and operating
the insurance pool from unobligated balances available to the
Federal Railroad Administration for intercity passenger rail
service, to be reimbursed from payments received from
operators of intercity passenger rail service. Where the
Secretary is making a grant of operating funds for a route,
the Secretary may collect the insurance premiums and other
costs the Secretary has allocated to it by withholding those
funds from the grant and crediting them to the appropriation
charged for the insurance premiums and other costs of forming
and operating the insurance pool.
``Sec. 28105. Use of insurance pool, companies, or other
private organizations for certain payments
``(a) Authorization To Enter into Contracts for Certain
Requirements.--In order to provide for maximum efficiency in
the administration of the intercity rail passenger program,
the Secretary of 'Transportation may enter into contracts
with the pool formed or otherwise created under section
28104, or any insurance company or other private
organizations, for the purpose of securing performance by
such pool, company, or organization of any or all of the
following responsibilities:
``(1) Estimating and later determining any amounts of
payments to be made.
``(2) Receiving from the Secretary, disbursing, and
accounting for payments of insurance premiums.
``(3) Making such audits of the records of any insurance
company or other insurer, insurance agent or broker, or
insurance adjustment organization as may be necessary to
assure that proper payments are made.
``(4) Otherwise assisting in such manner as the contract
may provide to further the purposes of this chapter.
``(b) Terms and Conditions of Contract.--Any contract with
the pool or an insurance company or other private
organization under this section may contain such terms and
conditions as the Secretary finds necessary or appropriate
for carrying out responsibilities under subsection (a) of
this section, and may provide for payment of any costs which
the Secretary determines are incidental to carrying out such
responsibilities which are covered by the contract.
``(e) Competitive Bidding.--Any contract entered into under
subsection (a) of this section may be entered into without
regard to section 5 of title 41 or any other provision of law
requiring competitive bidding.
``(d) Findings of Secretary.--No contract may be entered
into under this section unless the Secretary finds that the
pool, company, or organization will perform its obligations
under the contract efficiently and effectively, and will meet
such requirements as to financial responsibility, legal
authority, and other matters as the Secretary finds
pertinent.
``(e) Bond; Liability of Certifying Officers and Disbursing
Officers.--
``(1) Surety bond.--Any contract entered into under
subsection (a) of this section may require the pool, company,
or organization or any of its officers or employees
certifying payments or disbursing funds pursuant to the
contract, or otherwise participating in carrying out the
contract, to give surety bond to the United States in such
amount as the Secretary may deem appropriate.
``(2) Personal liability for certification.--No individual
designated pursuant to a contract under this section to
certify payments shall, in the absence of gross negligence or
intent to defraud the United States, be liable with respect
to any payment certified by that individual under this
section.
``(3) Personal liability for payment.--No officer
disbursing funds shall in the absence of gross negligence or
intent to defraud the United States, be liable with respect
to any payment by that officer under this section if it was
based upon a voucher signed by an individual designated to
certify such payments.
``(f) Term of Contract; Renewals; Termination.--Any
contract entered into under this section shall be for a term
of 1 year, and may be made automatically renewable from term
to term in the absence of notice by either party of an
intention to terminate at the end of the current term; except
that the Secretary may terminate any such contract at any
time (after reasonable notice to the pool, company, or
organization involved) if the Secretary finds that the pool,
company, or organization has failed substantially to carry
out the contract, or is carrying out the contract in a manner
inconsistent with the efficient and effective administration
of the intercity rail passenger program.
``Sec. 28106. Reinsurance coverage
``(a) Availability for Excess Losses.--The Secretary of
Transportation is authorized to take such action as may be
necessary in order to make available, to the pool formed or
otherwise created under section 28104, reinsurance for losses
which are in excess of losses assumed by such pool in
accordance with the excess loss agreement entered into under
subsection (c) of this section.
``(b) Availability Pursuant to Contract, Agreement, or
Other Arrangement; Payment of Premium, Fee, or Other
Charge.--Reinsurance shall be made available pursuant to
contract, agreement, or any other arrangement, in
consideration of such payment of a premium, fee, or other
charge as the Secretary finds necessary to cover anticipated
losses and other costs of providing such reinsurance.
``(c) Excess Loss Agreement; Negotiation.--The Secretary is
authorized to negotiate an excess loss agreement, from time
to time, under which the amount of insurance retained by the
pool, after ceding reinsurance, shall be adequate to further
the purposes of this chapter, consistent with the objective
of maintaining appropriate financial participation and risk
sharing to the maximum extent practicable on the part of
participating insurance companies and other insurers.
``(d) Submission of Excess Losses on Portfolio Basis.--All
reinsurance claims for losses in excess of losses assumed by
the pool shall be submitted on a portfolio basis by such pool
in accordance with terms and conditions established by the
Secretary.''.
(b) Conforming Amendments.--
(1) Chapter 281 is amended by striking ``LAW ENFORCEMENT''
in the chapter heading and inserting ``LAW ENFORCEMENT;
LIABILITY; INSURANCE''.
(2) The part analysis of subtitle V is amended by striking
the item relating to chapter 281 and inserting, the
following:
``281. Law enforcement; liability; insurance...............28101''.....
(3) The table of contents of the title is amended by
striking the item relating to chapter 281 and inserting the
following:
``281. Law enforcement; liability; insurance...............28101''.....
(4) The chapter analysis for chapter 281 is amended by
adding at the end the following:
``28104. Train operations insurance pool
``28105. Use of insurance pool, companies, or other private
organizations for certain payments
``28106. Reinsurance coverage''.
SEC. 635. COLLECTIVE BARGAINING ARRANGEMENTS.
(a) Status as Employer or Carrier.--
(1) In general.--Any entity providing intercity passenger
railroad transportation (within the meaning of section 20102
of title 49, United States Code) that begins operations after
the date of enactment of this Act shall be considered an
employer for purposes of the Railroad Retirement Act of 1974
(45 U.S.C. 231 et seq.) and considered a carrier for purposes
of the Railway Labor Act (45 U.S.C. 151 et seq.).
(2) Collective bargaining agreement.--Any entity providing
intercity passenger railroad transportation (within the
meaning of section 20102 of title 49, United States Code)
that begins operations after the date of enactment of this
Act and replaces intercity rail passenger service that was
provided by another entity as of the date of enactment of
this Act, shall enter into an agreement with the
authorized bargaining agent or agents for employees of the
predecessor provider that--
(A) gives each employee of the predecessor provider
priority in hiring according to the employee's seniority on
the predecessor provider for each position with the replacing
entity that is in the employee's craft or class and is
available within three years after the termination of the
service being replaced;
(B) establishes a procedure for notifying such an employee
of such positions;
(C) establishes a procedure for such an employee to apply
for such positions; and
(D) establishes rates of pay, rules, and working
conditions.
(3) Replacement of existing rail passenger service.--
(A) Negotiations.--An entity providing replacement
intercity rail passenger service under paragraph (2) shall
give written notice of its plan to replace existing rail
passenger service to the authorized collective bargaining
agent or agents for the employees of the predecessor provider
at least 90 days prior to the date it plans to commence
service. Within 5 days after the date of receipt of such
written notice, negotiations between the replacing entity and
the collective bargaining agent or agents for the employees
of the predecessor provider shall commence for the purpose of
reaching agreement with respect to all matters set forth in
subparagraphs (A) through (D) of paragraph (2). The
negotiations shall continue for 30 days or until an agreement
is reached, whichever is sooner. If at the end of 30 days the
parties have not entered into an agreement with respect to
all such matters, the unresolved issues shall be submitted
for arbitration in accordance with the procedure set forth in
subparagraph (B).
(B) Arbitration.--If an agreement has not been entered into
with respect to all matters set forth in subparagraphs (A)
through (D) of
[[Page S1063]]
paragraph (2) as provided in subparagraph (A) of this
paragraph, the parties shall select an arbitrator. If the
parties are unable to agree upon the selection of such
arbitrator within 5 days, either or both parties shall notify
the National Mediation Board, which shall provide a list of 7
arbitrators with experience in arbitrating rail labor
protection disputes. Within 5 days after such notification,
the parties shall alternately strike names from the list
until only one name remains, and that person shall serve as
the neutral arbitrator. Within 45 days after selection of the
arbitrator, the arbitrator shall conduct a hearing on the
dispute and shall render a decision with respect to the
unresolved issues set forth in subparagraphs (A) through (D)
of paragraph (2). This decision shall be final, binding, and
conclusive upon the parties. The salary and expenses of the
arbitrator shall be borne equally by the parties, but all
other expenses shall be paid by the party incurring them.
(C) Service commencement.--An entity providing replacement
intercity rail passenger service under paragraph (2) shall
commence service only after an agreement is entered into with
respect to the matters set forth in subparagraphs (A) through
(D) of paragraph (2) or the decision of the arbitrator has
been rendered.
(b) Regulations.--Not later than 6 months after the date of
the enactment of this Act, the Secretary of Transportation
shall issue regulations for carrying out this section.
Subtitle B--Rail Development
SEC. 651. CAPITAL ASSISTANCE FOR INTERCITY PASSENGER RAIL
SERVICE.
(a) In General.--Part C of subtitle V is amended by
inserting after chapter 243 the following:
``CHAPTER 244--INTERCITY PASSENGER RAIL SERVICE CORRIDOR CAPITAL
ASSISTANCE
``Sec.
``24401. Definitions
``24402. Capital investment grants to support intercity passenger rail
service
``24403. Project management oversight
``24404. Operating expenses
``24405. Local share and maintenance of effort
``24406. Grants for maintenance and modernization
``Sec. 24401. Definitions
``In this chapter:
``(1) Applicant.--The term `applicant' means a State, a
group of States, including an Interstate Compact formed under
section 410 of the Amtrak Reform and Accountability Act of
1997 (49 U.S.C. 24101 note), or a public corporation, board,
commission, or agency established by one or more
States designated as the lead agency of a State for
providing intercity passenger rail service.
``(2) Capital project.--The term `capital project' means a
project for--
``(A) acquiring or constructing equipment or a facility for
use in intercity passenger rail service, expenses incidental
to the acquisition or construction (including designing,
inspecting, supervising, engineering, location surveying,
mapping, environmental studies, and acquiring rights-of-way),
alternatives analysis related to the development of such
train services, capacity improvements on the property over
which the service will be conducted, passenger rail-related
intelligent transportation systems, highway-rail grade
crossing improvements or closures on routes used for
intercity passenger rail service, relocation assistance,
acquiring replacement housing sites, and acquiring,
constructing, relocating, and rehabilitating replacement
housing;
``(B) rehabilitating or remanufacturing rail rolling stock
and associated facilities used primarily in intercity
passenger rail service;
``(C) leasing equipment or a facility for use in intercity
passenger rail service, subject to regulations (to be
prescribed by the Secretary of Transportation) limiting such
leasing arrangements to arrangements that are more cost-
effective than purchase or construction;
``(D) modernizing existing intercity passenger rail service
facilities and information systems;
``(E) the introduction of new technology, through
innovative and improved products, other than magnetic
levitation; or
``(F) defraying, with respect to new service established
under section 24402, the cost of rental charges to freight
railroads.
``(3) Intercity corridor passenger rail service.--The term
`intercity corridor passenger rail service' means the
transportation of passengers between major metropolitan areas
by rail, including high-speed rail (as defined in section
26105(2) of this title), in corridors of 300 miles or less in
length with trip times of 4 hours or less, and multiple
frequencies daily.
``(4) Net project cost.--The term `net project cost' means
that portion of the cost of a project than cannot be financed
from revenues reasonably expected to be generated by the
project.
``Sec. 24402. Capital investment grants to support new
intercity passenger rail service
``(a) General Authority.--
``(1) Grants.--The Secretary of Transportation may make
grants under this section to an applicant to assist in
financing capital investments for new high-speed intercity
passenger rail service, the establishment of new,
conventional services, or the expansion of existing high-
speed or conventional service by adding additional
frequencies.
``(2) Terms and conditions.--The Secretary shall require
that a grant under this section be subject to the terms,
conditions, requirements, and pro visions the Secretary
decides are necessary or appropriate for the purposes of this
section, including requirements for the disposition of net
increases in value of real property resulting from the
project assisted under this section.
``(3) Application with chapter 53.--A grant under this
section may not be made for a project or program of projects
that qualifies for financial assistance under chapter 53 of
this title.
``(b) Project as Part of Approved Program.--
``(1) In general.--The Secretary may not approve a grant
for a project under this section unless the Secretary finds
that the project is part of an approved corridor plan and
program developed under section 135 of title 23 and that the
applicant or recipient has or will have the legal, financial,
and technical capacity to carry out the project (including
safety and security aspects of the project), satisfactory
continuing control over the use of the equipment or
facilities, and the capability and willingness to maintain
the equipment or facilities.
``(2) Eligibility information.--An applicant shall provide
sufficient information upon which the Secretary can make the
findings required by this subsection.
``(3) Proposed operator justification.--If an applicant has
not selected the proposed operator of its service
competitively, the applicant shall provide written
justification to the Secretary showing why the proposed
operator is the best, taking into account price and other
factors, and that use of the proposed operator will not
increase the capital cost of the project.
``(4) Rail agreement.--The Secretary of Transportation may
not approve a grant under this section unless the applicant
demonstrates that the railroad or railroads over which the
intercity passenger rail service will operate concur with the
applicant's operating plans and infrastructure improvement
requirements.
``(c) Criteria for Grants for Intercity Corridor Passenger
Rail Projects.--
``(1) In general.--The Secretary may approve a grant under
this section for a capital project only if the Secretary
determines that the proposed project is--
``(A) based on the results of an alternatives analysis and
preliminary engineering;
``(B) justified based on a comprehensive review of its
mobility improvements, environmental benefits, cost
effectiveness, and operating efficiencies; and
``(C) supported by an acceptable degree of State and local
financial commitment, including evidence of stable and
dependable financing sources to construct, maintain, and
operate the system or extension.
``(2) Alternatives analysis and preliminary engineering.--
In evaluating a project under paragraph (1)(A), the Secretary
shall analyze and consider the results of the alternatives
analysis and preliminary engineering for the project.
``(3) Project justification.--In evaluating a project under
paragraph (1)(B), the Secretary shall--
``(A) consider the direct and indirect costs of relevant
alternatives;
``(B) consider the ability of the service to compete with
other modes of transportation;
``(C) consider the extent to which the project fills an
unmet transportation need;
``(D) consider the ability of the service to fund its
operating expenses from fare revenues;
``(E) consider population density in the corridor;
``(F) consider the technical capability of the grant
recipient to construct the project;
``(G) consider factors such as congestion relief, improved
mobility, air pollution, noise pollution, energy consumption,
and all associated ancillary and mitigating cost increases
necessary to carry out each alternative analyzed;
``(H) consider the level of private sector financial
participation and risk sharing in the project;
``(I) adjust the project justification to reflect
differences in local land, construction, and operating costs;
and
``(J) consider other factors that the Secretary determines
appropriate to carry out this chapter.
``(4) Local financial commitment.--
``(A) Evaluation of project.--In evaluating a project under
paragraph (1)(C), the Secretary shall require that--
``(i) the proposed project plan provides for the
availability of contingency amounts that the Secretary
determines to be reasonable to cover unanticipated cost
increases;
``(ii) each proposed State or local source of capital and
operating financing is stable, reliable, and available within
the proposed project timetable; and
``(iii) State or local resources are available to operate
the proposed service.
``(B) Considerations.--In assessing the stability,
reliability, and availability of proposed sources of local
financing under subparagraph (A), the Secretary shall
consider--
``(i) existing grant commitments;
``(ii) the degree to which financing sources are dedicated
to the purposes proposed;
``(iii) any debt obligation that exists or is proposed by
the applicant for the proposed project or other intercity
passenger rail service purpose; and
``(iv) the extent to which the project has a local
financial commitment that exceeds the required non-Federal
share of the cost of the project.
``(5) Regulations.--Not later than 120 days after the date
of enactment of the Rail Passenger Service Restructuring,
Reauthorization, and Development Act, the Secretary
[[Page S1064]]
shall issue regulations on the manner in which the Secretary
will evaluate and rate the projects based on the results of
alternatives analysis, project justification, and the degree
of local financial commitment, as required under this
subsection.
``(6) Project evaluation and rating.--A proposed project
may advance from alternatives analysis to preliminary
engineering, and may advance from preliminary engineering to
final design and construction, only if the Secretary finds
that the project meets the requirements of this section
and there is a reasonable likelihood that the project will
continue to meet such requirements. In making such
findings, the Secretary shall evaluate and rate the
project as `highly recommended', `recommended', or `not
recommended', based on the results of alternatives
analysis, the project justification criteria, and the
degree of local financial commitment, as required under
this subsection. In rating the projects, the Secretary
shall provide, in addition to the overall project rating,
individual ratings for each of the criteria established
under the regulations issued under paragraph (5).
``(7) Pull funding grant agreement.--A project financed
under this subsection shall be carried out through a full
funding grant agreement. The Secretary shall enter into a
full funding grant agreement based on the evaluations and
ratings required under this subsection. The Secretary shall
not enter into a full funding grant agreement for a project
unless that project is authorized for final design and
construction.
``(d) Letters of Intent, Full Funding Grant Agreements, and
Early Systems Work Agreements.--
``(1) Letter of intent.--
``(A) The Secretary may issue a letter of intent to an
applicant announcing an intention to obligate, for a project
under this section, an amount from future available budget
authority specified in law that is not more than the amount
stipulated as the financial participation of the Secretary in
the project.
``(B) At least 60 days before issuing a letter under
subparagraph (A) of this paragraph or entering into a full
funding grant agreement, the Secretary shall notify in
writing the Senate Committee on Commerce, Science, and
Transportation and the House of Representatives Committee on
Transportation and Infrastructure, and the House of
Representatives and Senate Committees on Appropriations of
the proposed letter or agreement. The Secretary shall include
with the notification a copy of the proposed letter or
agreement as well as the evaluations and ratings for the
project.
``(C) The issuance of a letter is deemed not to be an
obligation under sections 1108(c) and (d), 1501, and 1502(a)
of title 31, or an administrative commitment.
``(D) An obligation or administrative commitment may be
made only when amounts are appropriated.
``(2) Full funding agreement.--
``(A) The Secretary may make a full funding grant agreement
with an applicant. The agreement shall--
``(i) establish the terms of participation by the United
States Government in a project under this section;
``(ii) establish the maximum amount of Government financial
assistance for the project, which, with respect to a high-
speed rail project, shall be sufficient to complete at least
an operable segment;
``(iii) cover the period of time for completing the
project, including a period extending beyond the period of an
authorization; and
``(iv) make timely and efficient management of the project
easier according to the law of the United States.
``(B) An agreement under this paragraph obligates an amount
of available budget authority specified in law and may
include a commitment, contingent on amounts to be specified
in law in advance for commitments under this paragraph, to
obligate an additional amount from future available budget
authority specified in law. The agreement shall state that
the contingent commitment is not an obligation of the
Government and is subject to the availability of
appropriations made by Federal law and to Federal laws in
force on or enacted after the date of the contingent
commitment. Interest and other financing costs of efficiently
carrying out a part of the project within a reasonable time
are a cost of carrying out the project under a full funding
grant agreement, except that eligible costs may not be more
than the cost of the most favorable financing terms
reasonably available for the project at the time of
borrowing. The applicant shall certify, in a way satisfactory
to the Secretary, that the applicant has shown reasonable
diligence in seeking the most favorable financing terms.
``(3) Early systems work agreement.--
``(A) The Secretary may make an early systems work
agreement with an applicant if a record of decision under the
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.) has been issued on the project and the Secretary finds
there is reason to believe--
``(i) a full funding grant agreement for the project will
be made; and
``(ii) the terms of the work agreement will promote
ultimate completion of the project more rapidly and at less
cost.
``(B) A work agreement under this paragraph obligates an
amount of available budget authority specified in law and
shall provide for reimbursement of preliminary costs of
carrying out the project, including land acquisition, timely
procurement of system elements for which specifications are
decided, and other activities the Secretary decides are
appropriate to make efficient, long-term project management
easier. A work agreement shall cover the period of time the
Secretary considers appropriate. The period may extend beyond
the period of current authorization. Interest and other
financing costs of efficiently carrying out the work
agreement within a reasonable time are a cost of carrying out
the agreement, except that eligible costs may not be more
than the cost of the most favorable financing terms
reasonably available for the project at the time of
borrowing. The applicant shall certify, in a way satisfactory
to the Secretary, that the applicant has shown reasonable
diligence in seeking the most favorable financing terms. If
an applicant does not carry out the project for reasons
within the control of the applicant, the applicant shall
repay all Government payments made under the work agreement
plus reasonable interest and penalty charges the Secretary
establishes in the agreement.
``(4) Limit on total obligations and commitments.--The
total estimated amount of future obligations of the
Government and contingent commitments to incur obligations
covered by all outstanding letters of intent, full funding
grant agreements, and early systems work agreements under
this section, when combined with obligations under section
5309 of this title, may be not more than the amount
authorized under section 5338(b) of this title, less an
amount the Secretary reasonably estimates is necessary for
grants under this section not covered by a letter. The total
amount covered by new letters and contingent commitments
included in full funding grant agreements and early systems
work agreements may be not more than a limitation specified
in law.
``(e) Federal Share of Net Project Cost.--
``(1) In general.--
``(A) Based on engineering studies, studies of economic
feasibility, and information on the expected use of equipment
or facilities, the Secretary shall estimate the net project
cost.
``(B) A grant for the project may be for up to 50 percent
of the net project cost. The remainder shall be provided in
cash from non-Federal sources.
``(f) Undertaking Projects in Advance.--
``(1) In general.--The Secretary may pay the Federal share
of the net capital project cost to an applicant that carries
out any part of a project described in this section according
to all applicable procedures and requirements if--
``(A) the applicant applies for the payment,
``(B) the Secretary approves the payment; and
``(C) before carrying out a part of the project, the
Secretary approves the plans and specifications for the part
in the same way as other projects under this section.
``(2) Interest costs.--The cost of carrying out part of a
project includes the amount of interest earned and payable on
bonds issued by the applicant to the extent proceeds of the
bonds are expended in carrying out the part. The amount of
interest includable as cost under this paragraph may not be
more than the most favorable interest terms reasonably
available for the project at the time of borrowing. The
applicant shall certify, in a manner satisfactory to the
Secretary, that the applicant has shown reasonable diligence
in seeking the most favorable financial terms.
``(3) Use of cost indices.--The Secretary shall consider
changes in capital project cost indices when determining the
estimated cost under paragraph (2) of this subsection.
``(g) Funding.--
``(1) Authorization of appropriations.--There are
authorized to be appropriated to the Secretary of
Transportation for purposes of this section--
``(A) $525,000,000 for fiscal year 2006,
``(B) $550,000,000 for fiscal year 2007,
``(C) $675,000,000 for fiscal year 2008,
``(D) $750,000,000 for fiscal year 2009, and
``(E) $800,000,000 for fiscal year 2010, such sums to
remain available until expended.
``Sec. 24403. Project management oversight
``(a) Project Management Plan Requirements.--To receive
Federal financial assistance for a major capital project
under this chapter, an applicant shall prepare and carry out
a project management plan approved by the Secretary of
Transportation. The plan shall provide for--
``(1) adequate recipient staff organization with well-
defined reporting relationships, statements of functional
responsibilities, job descriptions, and job qualifications;
``(2) a budget covering the project management
organization, appropriate consultants, property acquisition,
utility relocation, systems demonstration staff, audits, and
miscellaneous payments the recipient may be prepared to
justify;
``(3) a construction schedule for the project;
``(4) a document control procedure and recordkeeping
system;
``(5) a change order procedure that includes a documented,
systematic approach to handling the construction change
orders;
``(6) organizational structures, management skills, and
staffing levels required throughout the construction phase;
``(7) quality control and quality assurance functions,
procedures, and responsibilities for construction, system
installation, and integration of system components;
[[Page S1065]]
``(8) material testing policies and procedures;
``(9) internal plan implementation and reporting
requirements,
``(10) criteria and procedures to be used for testing the
operational system or its major components;
``(11) periodic updates of the plan, especially related to
project budget and project schedule, financing, and ridership
estimates; and
``(12) the recipient's commitment to submit a project
budget and project schedule to the Secretary each month.
``(b) Plan Approval.--
``(1) 60-day decision.--The Secretary shall approve or
disapprove a plan not later than 60 days after it is
submitted. If the approval process cannot be completed within
60 days, the Secretary shall notify the recipient, explain
the reasons for the delay, and estimate the additional time
that will be required.
``(2) Explanation of disapproval.--If the Secretary
disapproves a plan, the Secretary shall inform the applicant
of the reasons for disapproval of the plan.
``(c) Secretarial Oversight.--
``(1) In general.--The Secretary may use no more than 0.5
percent of amounts made available in a fiscal year for
capital projects under this chapter to enter into contracts
to oversee the construction of such projects.
``(2) Use of funds.--The Secretary may use amounts
available under paragraph (1) of this subsection to make
contracts for safety, procurement, management, and financial
compliance reviews and audits of a recipient of amounts under
paragraph (1).
``(3) Federal share.--The Federal Government shall pay the
entire cost of carrying out a contract under this subsection.
``(d) Access to Sites and Records.--Each recipient of
assistance under this chapter shall provide the Secretary and
a contractor the Secretary chooses under subsection (b) of
this section with access to the construction sites and
records of the recipient when reasonably necessary.
``(e) Regulations.--The Secretary shall prescribe
regulations necessary to carry out this section. The
regulations shall include--
``(1) a definition of `major capital project' for this
section;
``(2) a requirement that oversight begin during the
preliminary engineering stage of a project, unless the
Secretary finds it more appropriate to begin oversight during
another stage of a project, to maximize the transportation
benefits and cost savings associated with project management
oversight; and
``(3) a formula based on infrastructure ownership,
boardings, and passenger-miles traveled in the prior fiscal
year by which the funds authorized for modernization of
existing services will be allocated among the States; and
``(4) a requirement that, if a State does not apply for its
share of formula grant funds under paragraph (3) of this
subsection in a timely manner, those funds will be made
available to other States.
``(f) Financial Plan.--A recipient of financial assistance
for a project under this section with an estimated total cost
of $100,000,000, or more shall submit to the Secretary an
annual financial plan for the project. The plan shall be
based on detailed annual estimates of the cost to complete
the remaining elements of the project and on reasonable
assumptions, as determined by the Secretary, of future
increases in the cost to complete the project.
``Sec. 24404. Operating expenses
``The Secretary of Transportation may not make grants under
this chapter for operating expenses.
``Sec. 24405. Local share and maintenance of effort
``(a) In General.--Notwithstanding any other provision of
law, a recipient of assistance under this title may use, as
part of the local matching funds for a capital project, the
proceeds from the issuance of revenue bonds.
``(b) Maintenance of Effort.--The Secretary of
Transportation shall approve the use of proceeds from the
issuance of revenue bonds for the non-Federal share of the
net project cost only if the aggregate amount of financial
support for intercity passenger rail service from the State
is not less than the average annual amount provided by the
State during the preceding 3 years.
``Sec. 24406. Grants for maintenance and modernization
``(a) In General.--The Secretary of Transportation may make
capital grants for maintenance and modernization of intercity
passenger rail services to--
``(1) the American Passenger Railway Corporation for
services it operates under contract with the Secretary of
Transportation; or
``(2) to States for intercity passenger rail services
operated under a contract with a State or group of States.
``(b) Use of Funds.--Grants under this section may be
used--
``(1) to purchase, lease, rehabilitate, or remanufacture
rolling stock and associated facilities used primarily in
intercity passenger rail service;
``(2) to modernize existing intercity passenger rail
service facilities and information systems; or
``(3) to defray the cost of rental charges to freight
railroads for the addition of train frequencies.
``(c) Federal Share.--The Federal share for a capital grant
under this section may be 100 percent, except that the
Federal share for a grant made under subsection (b)(3) may
not exceed 50 percent.
``(d) Allocation Formula.--Funds made available by this
section shall be allocated equitably among the States based
on a formula to be determined by the Secretary.
``(e) Sleeping and Dining Cars.--Pending the restructuring
of long distance routes under sections 615 through 617 of the
Rail Passenger Service Restructuring, Reauthorization, and
Development Act, grants may be made to the American Passenger
Railway Corporation for sleeping and dining cars only to the
extent necessary to maintain the equipment in good working
order and not for the purpose of refurbishing, rebuilding, or
renewing such equipment to extend the equipment's useful
life.
``(f) Long Distance Restructuring Plan.--Unless the
restructuring plan submitted by the Long Distance Route
Restructuring Commission under section 617 of the Rail
Passenger Service Restructuring, Reauthorization, and
Development Act is disapproved by Congress, from the sums
authorized for capital projects outside of the Northeast
Corridor, the Secretary may reserve up to $20,000,000 in each
of fiscal years 2007 through 2010 to assist in the
restructuring of long distance routes as linked corridors,
and the Federal share of such assistance shall be 100
percent.
``(g) Authorization of Appropriations.--There are
authorized to be appropriated to the Secretary of
Transportation $200,000,000 for each of fiscal years 2005
through 2010 to carry out this section.''.
SEC. 652. FINAL REGULATIONS ON APPLICATIONS BY STATES FOR
DEVELOPMENT GRANTS.
Not later than 1 year after the date of enactment of this
Act, the Secretary of Transportation shall issue final
regulations setting forth procedures for application and
minimum requirements for the award of grants under chapter
244 of title 49, United States Code.
SEC. 653. AUTHORITY FOR INTERSTATE COMPACTS FOR CORRIDOR
DEVELOPMENT.
(a) Consent to Compacts.--
(1) 2 or more States with an interest in a specific form,
route, or corridor of intercity passenger rail service
(including high speed rail service) may enter into interstate
compacts to implement the service, including--
(A) retaining an existing service or commencing a new
service;
(B) assembling rights-of-way; and
(C) performing capital improvements, including--
(i) the construction and rehabilitation of maintenance
facilities;
(ii) the purchase of rolling stock; and
(iii) operational improvements, including communications,
signals, and other systems.
(2) A compact entered into under the authority of this
section shall be submitted to Congress for its consent. It is
the sense of Congress that rapid consent to the Compact is a
priority for the Congress.
(b) Financing.--
(1) An interstate compact established by States under
subsection (a) may provide that, in order to carry out the
compact, the States may--
(A) accept contributions from a unit of State or local
government or a person;
(B) use any Federal or State funds made available for
intercity passenger rail service (except funds made available
for Amtrak);
(C) on such terms and conditions as the States consider
advisable--
(i) borrow money on a short-term basis and issue notes for
the borrowing; and
(ii) issue bonds; and
(D) obtain financing by other means permitted under Federal
or State law.
(2) Bonds and other indebtedness incurred under the
authority of this subsection shall under no circumstances be
backed by the full faith and credit of the United States.
Subtitle C--Amtrak Reforms
SEC. 671. MANAGEMENT OF SECURED DEBT.
Except as approved by the Secretary of Transportation to
refinance existing secured debt, Amtrak (until the American
Passenger Railway Corporation is established) and the
American Passenger Railway Corporation thereafter, may not
enter into any obligation secured by assets of the
Corporation after the date of enactment of this Act. This
section does not prohibit unsecured lines of credit used for
working capital purposes.
SEC. 672. EMPLOYEE ASSISTANCE.
(a) Transition Financial Incentives.--
(1) In general.--To reduce operating expenses in
preparation for competition from other rail carriers, the
American Passenger Railway Corporation may institute a
program under which it may, at its discretion, provide
financial incentives to employees who voluntarily terminate
their employment with the Corporation and relinquish any
legal rights to receive termination-related payments under
any contractual agreement with the Corporation.
(2) Conditions for financial incentives.--As a condition
for receiving financial assistance grants under this section,
the American Passenger Railway Corporation shall certify to
the Secretary of Transportation that--
(A) the financial assistance results in a net reduction in
the total number of employees equal to the number receiving
financial incentives;
(B) the financial assistance results in a net reduction in
total employment expenses equivalent to the total employment
expenses
[[Page S1066]]
associated with the employees receiving financial incentives;
and
(C) the total number of employees eligible for termination-
related payments will not be increased without the express
written consent of the Secretary.
(3) Amount of financial incentives.--The financial
incentives authorized under this section may not exceed 1
year's base pay.
(4) Authorization of appropriations.--There are authorized
to be appropriated to the Secretary of Transportation
$25,000,000 for each of fiscal years 2005, 2006, and 2007 to
make grants to the American Passenger Railway Corporation to
fund financial incentive payments to employees under this
subsection.
(b) Labor Protection for Employees of the American
Passenger Railway Corporation.--
(1) In general.--The American Passenger Railway
Corporation, or other operator of intercity passenger rail
transportation service, shall be responsible for obligations
imposed by law or collective bargaining agreement for
compensation and benefits payable to employees terminated in
connection with the restructuring of passenger rail service
under this title and the amendments made by this title. The
responsibility of the Corporation and such other operator
under the preceding sentence, and the obligations for which
it is responsible under that sentence, may not be transferred
to any other entity in connection with such restructuring by
contract or otherwise.
(2) Authorization of appropriations.--There are authorized
to be appropriated to the Secretary of Transportation for the
use of the American Passenger Railway Corporation in meeting
its responsibility under paragraph (1) $75,000,000 for each
of fiscal years 2007 through 2010.
SEC. 673. TERMINATION OF AUTHORITY FOR GSA TO PROVIDE
SERVICES TO AMTRAK.
Section 1110 of division A of H.R. 5666 (114 Stat. 2763A-
202), as enacted by section 1(a)(4) of the Consolidated
Appropriations Act, 2001, is repealed.
SEC. 674. AMTRAK REFORM BOARD OF DIRECTORS.
Section 24302 is amended by adding at the end the
following:
``(d) Asset Transition Committee.--
``(1) In general.--The Reform Board shall form an asset
transition committee comprised of the Secretary or the
Secretary's designee, and 2 other members, or 1 other member
if 2 other members are not lawfully appointed.
``(2) Powers and duties.--In addition to other powers and
duties assigned by the board, the Asset Transition Committee
has the duty to ensure that the public interest is served in
board decisions and Amtrak management actions that change the
use of or status of--
``(A) the contractual right of access of Amtrak to rail
lines of other railroads;
``(B) Amtrak's secured debt;
``(C) Northeast Corridor real property and assets; and
``(D) rolling stock.
``(3) Approval required.--The board may not take an action
with regard to the assets or secured debt specified in
paragraph (2), or permit Amtrak management action with regard
to those assets, that is not approved by the asset transition
committee.''.
SEC. 675. LIMITATIONS ON AVAILABILITY OF GRANTS.
(a) In General.--Chapter 243, as amended by section 627 of
this Act is amended by inserting after section 24318 the
following:
``Sec. 24319. Limitations on availability of grants
``Grants under this title to the American Passenger Railway
Corporation are subject to the following conditions:
``(1) The Secretary of Transportation may approve funding
to cover operating losses or operating expenses (including
advance purchase orders) only after receiving and approving a
grant request for each specific train route to which the
grant relates.
``(2) Each such grant request shall be accompanied by a
detailed financial analysis, revenue projection, and capital
expenditure program justifying the Federal support to the
Secretary's satisfaction.
``(3) Not later than December 31st prior to each fiscal
year in which grants are made to the American Passenger
Railway Corporation, the Corporation shall transmit to the
Secretary of Transportation, the Committee on Commerce,
Science, and Transportation of the Senate, the Committee on
Transportation and Infrastructure of the House of
Representatives, and the House of Representatives and Senate
Committees on Appropriations a business plan for operating
and capital improvements to be funded in the fiscal year
under section 24104(a) of this title.
``(4) The business plan shall include--
``(A) targets, as applicable, for ridership, revenues, and
capital and operating expenses;
``(B) a separate accounting for such targets--
``(i) on the Northeast Corridor;
``(ii) each intercity train route;
``(iii) as a group for long distance trains and corridor
services; and
``(iv) commercial activities, including contract operations
and mail and express; and
``(C) a description of the work to be funded, along with
cost estimates and an estimated timetable for completion of
the projects covered by the business plan.
``(5) Each month of each fiscal year in which grants are
made to the American Passenger Railway Corporation, the
Corporation shall submit to the Secretary of Transportation,
the Committee on Commerce, Science, and Transportation of the
Senate, the Committee on Transportation and Infrastructure of
the House of Representatives, and the House of
Representatives and Senate Committees on Appropriations a
supplemental report in electronic format regarding the
business plan, which shall describe the work completed to
date, any changes to the business plan, and the reasons for
such changes.
``(6) None of the funds authorized by this subtitle or the
Rail Passenger Service Restructuring, Reauthorization, and
Development Act may be disbursed to the American Passenger
Railway Corporation for operating expenses, including
advance purchase orders and capital projects not approved
by the Secretary nor in the American Passenger Railway
Corporation's business plan.
``(7) The American Passenger Railway Corporation shall
display the business plan and all subsequent supplemental
plans on its website within a reasonable time after they are
submitted to the Secretary and the Congress under this
section.
``(8) The Secretary may not make any grant to the American
Passenger Railway Corporation until Amtrak agrees to continue
abiding by the provisions of paragraphs (1), (2), (5), (9),
and (11) of the summary of conditions on the direct loan
agreement of June 28, 2002, until the loan is repaid.
``(9) No grant authorized by this title shall be made to
the American Passenger Railway Corporation unless, within 6
months after the date of enactment of the Rail Passenger
Service Restructuring, Reauthorization, and Development Act,
the Corporation prepares a capital spending plan that
addresses capital needs, consistent with the funding levels
authorized to bring the Northeast Corridor capital assets to
a state of good repair, as defined by the Secretary, and
transmits that plan to the Secretary.
``(10) With respect to any route on which intercity
passenger rail service is provided on the day before the date
on which the restructuring required by sections 24300,
24300A, and 24300B is completed (as determined by the
Secretary), the American Passenger Railway Corporation shall
make available to any replacement operator the legacy
equipment that is associated with the service on the route.
(11) The American Passenger Railway Corporation shall
provide interline reservations services to any other provider
of intercity passenger rail transportation on the same basis
and at the same rates as those services are provided to the
operating entities that provide passenger rail service within
Amtrak as of the date of enactment of the Rail Passenger
Service Restructuring, Reauthorization, and Development
Act''.
(b) Interim Application of Section 24319.--Until the
restructuring required by sections 24300, 24300A, and 24300B
of title 49, United States Code, is completed (as determined
by the Secretary of Transportation), section 24319 of title
49, United States Code, as added by subsection (a), shall be
applied by substituting ``Amtrak'' for ``American Passenger
Railway Corporation'' or ``the Corporation'' each place it
appears.
(c) Conforming Amendment.--The chapter analysis for chapter
243 is amended by inserting after the item relating to
section 24318 the following:
``24319. Limitations on availability of grants''.
SEC. 676. REPEAL OF OBSOLETE AND EXECUTED PROVISIONS OF LAW.
(a) In General.--The following sections are repealed:
(1) Section 24701.
(2) Section 24706.
(3) Section 24901.
(4) Section 24902.
(5) Section 24904.
(6) Section 24906.
(7) Section 24909.
(b) Amendment of Section 24305.--Section 24305 is amended--
(1) by striking paragraph (2) of subsection (a) and
redesignating paragraph (3) as paragraph (2); and
(2) by inserting ``With regard to items acquired with funds
provided by the Federal Government,'' before ``Amtrak'' in
subsection (f)(2).
(c) Conforming Amendments.--The chapter analyses for
chapters 243, 247, and 249 are amended, as appropriate, by
striking the items relating to sections 24307, 24701, 24706,
24901, 24902, 24904, 24906, 24908, and 24909.
SEC. 677. ESTABLISHMENT OF FINANCIAL ACCOUNTING SYSTEM FOR
THE AMERICAN PASSENGER RAILWAY CORPORATION BY
INDEPENDENT AUDITOR.
(a) In General.--The Inspector General of the Department of
Transportation shall employ an independent financial
consultant--
(1) to assess Amtrak's financial accounting and reporting
system and practices as of the date of enactment of this Act,
(2) to design and assist the American Passenger Railway
Corporation in implementing a modern financial accounting and
reporting system, on the basis of the assessment, that will
produce accurate and timely financial information in
sufficient detail--
(A) to enable the American Passenger Railway Corporation to
assign revenues and expenses appropriately to each of its
lines of business and to each major activity within each
line of business activity, including train operations,
equipment maintenance, ticketing, and reservations;
(B) to aggregate expenses and revenues related to
infrastructure and distinguish them from expenses and
revenues related to rail operations; and
[[Page S1067]]
(C) to provide ticketing and reservation information on a
real-time basis.
(b) Verification of System; Report.--The Inspector General
of the Department of Transportation shall review the
accounting system designed and implemented under subsection
(a) to ensure that it accomplishes the purposes for which it
is intended. The Inspector General shall report his findings
and conclusions, together with any recommendations, to the
Senate Committee on Commerce, Science, and Transportation and
the House of Representatives Committee on Transportation and
Infrastructure.
(C) Separate Financial Statements for Northeast Corridor
Infrastructure.--Beginning with fiscal year 2006, the
American Passenger Railway Corporation shall issue separate
financial statements for activities related to the
infrastructure of the Northeast Corridor.
(d) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Transportation
$2,500,000 for fiscal year 2005 to carry out subsection (a),
such sums to remain available until expended.
SEC. 678. RESTRUCTURING OF LONG-TERM DEBT AND CAPITAL LEASES.
(a) In General.--The Secretary of the Treasury, in
consultation with the Secretary of Transportation and Amtrak,
shall restructure Amtrak's indebtedness as of the date of
enactment of this Act.
(b) Debt Redemption.--The Secretary of Transportation, in
consultation with the Secretary of the Treasury, shall enter
into negotiations with the holders of Amtrak debt, including
leases, that is outstanding on the date of enactment of this
Act for the purpose of redeeming or restructuring that debt.
The Secretary, in consultation with the Secretary of the
Treasury, shall secure agreements for repayment on such terms
as the Secretary deems favorable to the interests of the
Government. Payments for such redemption may be made after
October 1, 2005, in either a single payment or a series of
payments, but in no case shall the repayment period extend
beyond September 30, 2009.
(c) Criteria.--In redeeming or restructuring Amtrak's
indebtedness, the Secretaries and Amtrak--
(1) shall ensure that the restructuring imposes the least
practicable burden on taxpayers; and
(2) take into consideration repayment costs, the term of
any loan or loans, and market conditions.
(d) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary such sums as may be
necessary for fiscal years 2005 through 2009 to restructure
or redeem Amtrak's secured debt.
(e) Amtrak Principal and Interest Payments.--
(1) Principal on debt service.--Unless the Secretary of
Transportation and the Secretary of the Treasury restructure
or redeem the debt, there are authorized to be appropriated
to the Secretary of Transportation for the use of Amtrak
(before the date, determined by the Secretary of
Transportation, on which the restructuring required by
sections 24300, 24300A, and 24300B of title 49, United States
Code, is completed) and the American Passenger Railway
Corporation (after that date) for retirement of principal on
loans for capital equipment, or capital leases, not more than
the following amounts:
(A) For fiscal year 2005, $110,000,000.
(B) For fiscal year 2006, $115,000,000.
(C) For fiscal year 2007, $205,000,000.
(D) For fiscal year 2008, $165,000,000.
(E) For fiscal year 2009, $155,000,000.
(F) For fiscal year 2010, $150,000,000.
(2) Interest on debt.--Unless the Secretary of
Transportation and the Secretary of the Treasury restructure
or redeem the debt, there are authorized to be appropriated
to the Secretary of Transportation for the use of Amtrak
(before the date, determined by the Secretary of
Transportation, on which the restructuring required by
sections 24300, 24300A, and 24300B of title 49, United States
Code, is completed) and the American Passenger Railway
Corporation (after that date) for the payment of interest on
loans for capital equipment, or capital leases, the following
amounts:
(A) For fiscal year 2005, $155,000,000.
(B) For fiscal year 2006, $150,000,000.
(C) For fiscal year 2007, $140,000,000.
(D) For fiscal year 2008, $130,000,000.
(E) For fiscal year 2009, $125,000,000.
(F) For fiscal year 2010, $115,000,000.
(3) Reductions in Authorization Levels.--Whenever action
taken by the Secretary of the Treasury under subsection (c)
results in reductions in amounts of principle and interest
that Amtrak must service on existing debt, Amtrak shall
submit to the Senate Committee on Commerce, Science and
Transportation, the House of Representatives Committee on
Transportation and Infrastructure, the Senate Committee on
Appropriations, and House of Representatives Committee on
Appropriations revised requests for amounts authorized by
paragraphs (1) and (2) that reflect the such reductions.
(g) Legal Effect of Payments Under This Section.--The
payment of principal and interest secured debt with the
proceeds of grants under subsection (f) shall not--
(1) modify the extent or nature of any indebtedness of the
National Railroad Passenger Corporation to the United States
in existence of the date of enactment of this Act;
(2) change the private nature of Amtrak's or its
successors' liabilities; or
(3) imply any Federal guarantee or commitment to amortize
Amtrak's outstanding indebtedness.
SEC. 679. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to the Secretary of
Transportation for the benefit of Amtrak for fiscal year 2005
$750,000,000 for operating expenses.
______
SA 2325. Mr. BINGAMAN submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 476, line 18, strike the period and the closing
quotation marks and insert the following:
``Sec. 512. Transportation Analysis Simulation System
``(a) Continuation of TRANSIMS Development.--
``(1) The Secretary shall continue the development and
deployment of the advanced transportation model known as the
`Transportation Analysis Simulation System' (referred to in
this section as `TRANSIMS' '' developed by the Los Alamos
National Laboratory.
``(2) Requirements and considerations.--In carrying out
paragraph (1), the Secretary shall--
``(A) further improve TRANSIMS to reduce the cost and
complexity of using the model;
``(B) continue development of TRANSIMS for applications to
transportation planning, regulatory compliance, and response
to natural disasters and other transportation disruptions;
and
``(C) assist State departments of transportation and
metropolitan planning organizations, especially smaller
metropolitan planning organizations, in the implementation of
TRANSIMS by providing training and technical assistance;
``(b) Eligible Activities.--The Secretary shall use funds
made available to carry out this section to--
``(1) further develop TRANSIMS for additional applications,
including congestion analyses, major investment studies,
economic impact analyses, alternative analyses, freight
movement studies, emergency evacuation studies, port studies,
and airport access studies;
``(2) provide training and technical assistance with
respect to the implementation and application of TRANSIMS to
States, local governments, and metropolitan planning
organizations with responsibility for travel modeling;
``(3) develop methods to simulate the national
transportation infrastructure as a single, integrated system
of the movement of people and goods; and
``(4) provide funding to state transportation departments
and metropolitan planning organizations for implementation of
TRANSIMS.
``(c) Allocation of Funds.--Of the funds made available to
carry out this section for each fiscal year, not less than 15
percent of the funds shall be allocated to activities in
subsection (b)(3).
``(d) Funding.--Of the amounts made available under section
2001(a) of the Safe, Accountable, Flexible and Efficient
Transportation Act of 2003 for each of fiscal years 2004
through 2009, the Secretary shall use $6,000,000 to carry out
this section.
``(e) Availability of Funds.--Funds made available under
this section shall be available to the Secretary through the
Transportation Planning, Research, and Development Account of
the Office of the Secretary of Transportation.''.
______
SA 2326. Mr. BINGAMAN (for himself and Mr. Domenici) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. AUTHORIZATION OF CONTRACT AUTHORITY FOR STATES
WITH INDIAN RESERVATIONS.
Section 1214(d) of the Transportation Equity Act for the
21st Century (23 U.S.C. 202 note; 112 Stat. 206) is amended--
(1) in paragraph (1), by inserting ``(except Arizona)''
after ``each State''; and
(2) in paragraph (5)(A), by striking ``$1,500,000 for each
of fiscal years 1998 through 2003'' and inserting
``$1,800,000 for each of fiscal years 2004 through 2009''.
______
SA 2327. Mr. BOND proposed an amendment to amendment SA 2311 proposed
by Mrs. Clinton (for herself, Mr. Bingaman, Mr. Byrd, Mr. Dodd, Mr.
Sarbanes, Mr. Corzine, Mr. Lieberman, Mr. Rockefeller, Mr. Harkin, and
Ms. Stabenow) to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
In lieu of the language proposed to be inserted, insert the
following:
[[Page S1068]]
SEC. 1409. RENTED OR LEASED MOTOR VEHICLES.
(a) In General.--Subchapter I of chapter 301 of title 49,
United States Code, is amended by adding at the end the
following:
``Sec. 30106. Rented or leased motor vehicle safety and
responsibility
``(a) In General.--Provided that there is no negligence or
criminal wrongdoing on the part of the owner of a motor
vehicle, no such owner engaged in the trade or business of
renting or leasing motor vehicles may be held liable under
State law for harm caused by a person to himself or herself,
another person, or to property, which results or arises from
that person's use, operation, or possession of a rented or
leased motor vehicle, by reason of being the owner of such
motor vehicle.
``(b) Construction.--Subsection (a) shall not apply if such
owner does not maintain the required limits of financial
responsibility for such vehicle, as required by State law in
the State in which the vehicle is registered.
``(c) Applicability and Effective Date.--Notwithstanding
any other provision of law, this section shall apply with
respect to any action commenced on or after the date of
enactment of this section without regard to whether the harm
that is the subject of the action or the conduct that caused
the harm occurred before such date of enactment.
``(d) Definitions.--In this section:
``(1) Motor vehicle.--The term `motor vehicle' shall have
the meaning given the term under section 13102(14) of this
title.
``(2) Owner.--The term `owner' means a person who is--
``(A) a record or beneficial owner, lessor, or lessee of a
motor vehicle;
``(B) entitled to the use and possession of a motor vehicle
subject to a security interest in another person; or
``(C) a lessor, lessee, or bailee of a motor vehicle, in
the trade or business of renting or leasing motor vehicles,
having the use or possession of such motor vehicle, under a
lease, bailment, or otherwise.
``(3) Person.--The term `person' means any individual,
corporation, company, limited liability company, trust,
association, firm, partnership, society, joint stock company,
or any other entity.
``(4) State.--The term `State' means each of the several
States, the District of Columbia, the Commonwealth of Puerto
Rico, the Virgin Islands, Guam, American Samoa, the Northern
Mariana Islands, any other territory or possession of the
United States, or any political subdivision of any such
State, commonwealth, territory, or possession.''.
(b) Clerical Amendment.--The table of sections at the
beginning of chapter 301 of title 49, United States Code, is
amended by inserting after the item relating to section 30105
the following:
``30106. Rented or leased motor vehicle safety and responsibility.''.
______
SA 2328. Mr. DeWINE submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 792, between lines 15 and 16, insert the following:
Part 3--Miscellaneous Provisions
SEC. 4171. DRIVER LICENSING AND EDUCATION.
(a) National Office of Driver Licensing and Education.--
Section 105 of title 49, United States Code, is amended by
adding at the end the following new subsection:
``(f)(1) There is a National Office of Driver Licensing and
Education in the National Highway Traffic Safety
Administration.
``(2) The head of the National Office of Driver Licensing
and Education is the Director.
``(3) The functions of the National Office of Driver
Licensing and Education are as follows:
``(A) To provide States with services for coordinating the
motor vehicle driver training and licensing programs of the
States.
``(B) To develop and make available to the States a
recommended comprehensive model for motor vehicle driver
education and graduated licensing that incorporates the best
practices in driver education and graduated licensing,
including best practices with respect to--
``(i) vehicle handling and crash avoidance;
``(ii) driver behavior and risk reduction;
``(iii) roadway features and associated safety
implications;
``(iv) roadway interactions involving all types of vehicles
and road users, such as car-truck and pedestrian-car
interactions;
``(v) parent education; and
``(vi) other issues identified by the Director.
``(C) To carry out such research (pursuant to cooperative
agreements or otherwise) and undertake such other activities
as the Director determines appropriate to develop and, on an
ongoing basis, improve the recommended comprehensive model.
``(D) To provide States with technical assistance for the
implementation and deployment of the motor vehicle driver
education and licensing comprehensive model recommended under
subparagraph (B).
``(E) To develop and recommend to the States methods for
harmonizing the presentation of motor vehicle driver
education and licensing with the requirements of multistage
graduated licensing systems, including systems described in
section 410(c)(4) of title 23, and to demonstrate and
evaluate the effectiveness of those methods in selected
States.
``(F) To assist States with the development and
implementation of programs to certify driver education
instructors, including the development and implementation of
proposed uniform certification standards.
``(G) To provide States with financial assistance under
section 412 of title 23 for--
``(i) the implementation of the motor vehicle driver
education and licensing comprehensive model recommended under
subparagraph (B);
``(ii) the establishment or improved administration of
multistage graduated licensing systems; and
``(iii) the support of other improvements in motor vehicle
driver education and licensing programs.
``(H) To evaluate the effectiveness of the comprehensive
model recommended under subparagraph (B).
``(I) To examine different options for delivering driver
education in the States.
``(J) To perform such other functions relating to motor
vehicle driver education or licensing as the Secretary may
require.
``(4) Not later than 42 months after the date of the
enactment of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004, the Director shall submit
to Congress a report on the progress made by the National
Office of Driver Licensing and Education with respect to the
functions under paragraph (3).''.
(b) Grant Program for Improvement of Driver Education and
Licensing.--
(1) Authority.--
(A) In general.--Chapter 4 of title 23, United States Code,
is amended by adding at the end the following new section:
``SEC. 412. DRIVER EDUCATION AND LICENSING.
``(a) Authority.--
``(1) In general.--The Secretary shall carry out a program
to provide States, by grant, with financial assistance to
support the improvement of motor vehicle driver education
programs and the establishment and improved administration of
graduated licensing systems, including systems described in
section 410(c)(4) of this title.
``(2) Administrative office.--The Secretary shall
administer the program under this section through the
Director of the National Office of Driver Licensing and
Education.
``(b) Eligibility Requirements.--
``(1) Regulations.--The Secretary shall prescribe in
regulations the eligibility requirements, application and
approval procedures and standards, and authorized uses of
grant proceeds for the grant program under this section. The
regulations shall, at a minimum, authorize use of grant
proceeds for the following activities:
``(A) Quality assurance testing, including follow-up
testing to monitor the effectiveness of--
``(i) driver licensing and education programs;
``(ii) instructor certification testing; and
``(iii) other statistical research designed to evaluate the
performance of driver education and licensing programs.
``(B) Improvement of motor vehicle driver education
curricula.
``(C) Training of instructors for motor vehicle driver
education programs.
``(D) Testing and evaluation of motor vehicle driver
performance.
``(E) Public education and outreach regarding motor vehicle
driver education and licensing.
``(F) Improvements with respect to State graduated
licensing programs, as well as related enforcement
activities.
``(2) Consultation requirement.--In prescribing the
regulations, the Secretary shall consult with the following:
``(A) The Administrator of the National Highway Traffic
Safety Administration.
``(B) The heads of such other departments and agencies of
the United States as the Secretary considers appropriate on
the basis of relevant interests or expertise.
``(C) Appropriate officials of the governments of States
and political subdivisions of States.
``(D) Other relevant experts.
``(c) Maximum Amount of Grant.--The maximum amount of a
grant of financial assistance for a program, project, or
activity under this section may not exceed 75 percent of the
total cost of such program, project, or activity.''.
(B) Clerical amendment.--The table of sections at the
beginning of such chapter is amended by adding at the end the
following new item:
``412. Driver education and licensing.''.
(2) Time for promulgation of regulations.--The Secretary of
Transportation shall promulgate the regulations under section
412(b) of title 23, United States Code (as added by paragraph
(1)), not later than October 1, 2005.
(3) Authorization of appropriations.--Of the amounts
available to carry out section 403 of title 23, United States
Code, for each of the fiscal years 2005 through 2010,
$5,000,000 may be made available for each such fiscal year to
carry out section 412 of title 23, United States Code (as
added by paragraph (1)).
[[Page S1069]]
(c) Grant Program for Public Awareness of Organ Donation
Through Driver Licensing Programs.--
(1) Authority.--
(A) In general.--Chapter 4 of title 23, United States Code
(as amended by subsection (b)), is further amended by adding
at the end the following new section:
``SEC. 413. ORGAN DONATION THROUGH DRIVER LICENSING.
``(a) Authority.--
``(1) In general.--The Secretary shall carry out a program
to provide eligible recipients, by grant, with financial
assistance to carry out campaigns to increase public
awareness of, and training on, authority and procedures under
State law to provide for the donation of organs through a
declaration recorded on a motor vehicle driver license.
``(2) Administrative office.--The Secretary shall
administer the program under this section through the
Director of the National Office of Driver Licensing and
Education.
``(b) Eligibility Requirements.--
``(1) Regulations.--The Secretary shall prescribe in
regulations the eligibility requirements, application and
approval procedures and standards, and authorized uses of
grant proceeds for the grant program under this section.
``(2) Consultation requirement.--In prescribing the
regulations, the Secretary shall consult with the following:
``(A) The Administrator of the National Highway Traffic
Safety Administration.
``(B) The heads of such other departments and agencies of
the United States as the Secretary considers appropriate on
the basis of relevant interests or expertise.
``(C) Appropriate officials of the governments of States
and political subdivisions of States.
``(D) Representatives of private sector organizations
recognized for relevant expertise.''.
(B) Clerical amendment.--The table of sections at the
beginning of such chapter is amended by adding at the end the
following new item:
``413. Organ donation through driver licensing.''.
(2) Time for promulgation of regulations.--The Secretary of
Transportation shall promulgate the regulations under section
413(b) of title 23, United States Code (as added by paragraph
(1)), not later than October 1, 2005.
(3) Authorization of expenditures.--Of the amounts
available under Section 412(c)(3), as amended, no more than
$1,000,000 may be utilized for this program annually.
(d) Study of National Driver Education Standards.--
(1) Requirement for study.--The Secretary of Transportation
shall carry out a study to determine whether the
establishment and imposition of nationwide minimum standards
of motor vehicle driver education would improve national
highway traffic safety or the performance and legal
compliance of novice drivers.
(2) Time for completion of study.--The Secretary shall
complete the study not later than 2 years after the date of
the enactment of this Act.
(3) Report.--The Secretary shall publish a report on the
results of the study under this section not later than 2
years after the study is completed.
SEC. 4172. AMENDMENT OF AUTOMOBILE INFORMATION DISCLOSURE
ACT.
(a) Safety Labeling Requirement.--Section 3 of the
Automobile Information Disclosure Act (15 U.S.C. 1232) is
amended by adding at the end the following:
``(g) if one or more safety ratings for such automobile
have been assigned and formally published or released by the
National Highway Traffic Safety Administration under the New
Car Assessment Program, information about safety ratings
that--
``(1) includes a graphic depiction of the number of stars
that corresponds to each such assigned safety rating
displayed in a clearly differentiated fashion from stars
indicating the unattained safety rating;
``(2) refers to frontal impact crash tests, side impact
crash tests, and rollover resistance tests (whether or not
such automobile has been assigned a safety rating for such
tests), including statements that--
``(A) frontal impact crash test ratings are based on risk
of head and chest injury;
``(B) side impact crash test ratings are based on risk of
chest injury; and
``(C) rollover resistance ratings are based on risk of
rollover in the event of a single automobile crash;
``(3) is presented in a legible, visible, and prominent
fashion and covers at least--
``(A) 8 percent of the total area of the label; or
``(B) an area with a minimum length of 4 \1/2\ inches and a
minimum height of 3 \1/2\ inches; and
``(4) contains a heading titled `Government Safety
Information' and a disclaimer including the following text:
`Star ratings for frontal impact crash tests can only be
compared to other vehicles in the same weight class and those
plus or minus 250 pounds. Side impact and rollover ratings
can be compared across all vehicle weights and classes. For
more information on safety and testing, please visit <a href='http://
www.nhtsa.dot.gov'>http://
www.nhtsa.dot.gov</a>'; and
``(h) if an automobile has not been tested by the National
Highway Traffic Safety Administration under the New Car
Assessment Program, or safety ratings for such automobile
have not been assigned in one or more rating categories, a
statement to that effect.''.
(b) Regulations.--Not later than January 1, 2005, the
Secretary of Transportation shall prescribe regulations to
implement the labeling requirements added pursuant to
subsection (a).
(c) Conforming and Technical Amendments.--Section 3 of such
Act is further amended--
(1) in subsection (e), by striking ``and'' after the
semicolon; and
(2) in subsection (f)--
(A) by adding ``and'' at the end of paragraph (3); and
(B) by striking the period at the end and inserting a
semicolon.
(d) Effective Date.--The amendments made by subsection (a)
and subsection (c) shall take effect on a production year
basis not earlier than one year after the regulations are
prescribed, and no later than Sept. 1, 2006.
SEC. 4173. CHILD SAFETY.
(a) Incorporation of Child Dummies in Safety Tests.--
(1) Rulemaking required.--Not later than 2 years after the
date of the enactment of this Act, the Administrator of the
National Highway Traffic Safety Administration shall conduct
a rulemaking to increase utilization of child dummies,
including Hybrid-III child dummies, in motor vehicle safety
tests, including crash tests, conducted by the
Administration.
(2) Criteria.--In conducting the rulemaking under
subsection (a), the Administrator shall select motor vehicle
safety tests in which the inclusion of child dummies will
lead to--
(A) increased understanding of crash dynamics with respect
to children; and
(B) measurably improved child safety.
(3) Report.--Not later than one year after the date of the
enactment of this Act, the Secretary of Transportation shall
publish a report regarding the implementation of this
section.
(b) Child Safety in Rollover Crashes.--
(1) Consumer information program.--Not later than 2 years
after the date of the enactment of this Act, the Secretary of
Transportation shall implement a consumer information program
relating to child safety in rollover crashes. The Secretary
shall make information related to the program available to
the public following completion of the program.
(2) Child dummy development.--
(A) In general.--The Administrator of the National Highway
Traffic Safety Administration shall initiate the development
of a biofidelic child crash test dummy capable of measuring
injury forces in a simulated rollover crash.
(B) Reports.--The Secretary shall submit to Congress a
report on progress related to such development--
(i) not later than 1 year after the date of the enactment
of this Act; and
(ii) not later than 3 years after the date of the enactment
of this Act.
(c) Report on Enhanced Vehicle Safety Technologies.--Not
later than 2 years after the date of the enactment of this
Act, the Secretary of Transportation shall submit to Congress
a report that describes, evaluates, and determines the
relative effectiveness of--
(1) currently available and emerging technologies,
including auto-reverse functions and child-safe window
switches, that are designed to prevent and reduce the number
of injuries and deaths to children left unattended inside
parked motor vehicles, including injuries and deaths that
result from hyperthermia or are related to power windows or
power sunroofs; and
(2) currently available and emerging technologies that are
designed to improve the performance of safety belts with
respect to the safety of occupants aged between 4 and 8 years
old.
(d) Completion of Rulemaking Regarding Power Windows.--Not
later than 180 days after the date of the enactment of this
Act, the Secretary of Transportation shall--
(1) complete the rulemaking initiated by the National
Highway Traffic Safety Administration that is ongoing on the
date of the enactment of this Act and relates to a
requirement that window switches be designed to reduce the
accidental closing by children of power windows; and
(2) issue performance-based regulations to take effect not
later than September 1, 2006, requiring that window switches
or related technologies be designed to prevent the accidental
closing by children of power windows.
(e) Database on Injuries and Deaths in Nontraffic, Noncrash
Events.--
(1) In general.--The Secretary of Transportation shall
establish a new database of, and collect data regarding,
injuries and deaths in nontraffic, noncrash events involving
motor vehicles. The database shall include information
regarding--
(A) the number, types, and proximate causes of injuries and
deaths resulting from such events;
(B) the characteristics of motor vehicles involved in such
events;
(C) the characteristics of the motor vehicle operators and
victims involved in such events; and
(D) the presence or absence in motor vehicles involved in
such events of advanced technologies designed to prevent such
injuries and deaths.
(2) Rulemaking.--The Secretary shall conduct a rulemaking
regarding how to structure and compile the database.
[[Page S1070]]
(3) Availability.--The Secretary shall make the database
available to the public.
SEC. 4174. SAFE INTERSECTIONS.
(a) In General.--Chapter 2 of title 18, United States Code,
is amended by adding at the end the following:
``Sec. 39. Traffic signal preemption transmitters
``(a) Offenses.--
``(1) Sale.--A person who provides for sale to unauthorized
users a traffic signal preemption transmitter in or affecting
interstate or foreign commerce shall be fined not more than
$10,000, imprisoned not more than 1 year, or both.
``(2) Possession.--A person who is an unauthorized user in
possession of a traffic signal preemption transmitter in or
affecting interstate or foreign commerce shall be fined not
more than $10,000, imprisoned not more than 6 months, or
both.
``(b) Definitions.--In this section, the following
definitions apply:
``(1) Traffic signal preemption transmitter.--The term
`traffic signal preemption transmitter' means any device or
mechanism that can change a traffic signal's phase.
``(2) Unauthorized user.--The term `unauthorized user'
means a user of a traffic signal preemption transmitter who
is not a government approved user.''.
(b) Chapter Analysis.--The chapter analysis for chapter 2
of title 18, United States Code, is amended by adding at the
end the following:
``39. Traffic signal preemption transmitters.''.
SEC. 4175. STUDY ON INCREASED SPEED LIMITS.
(a) Study.--
(1) In general.--Not later than 2 years after the date of
enactment of this Act, the Secretary shall conduct a study to
examine the effects of increased speed limits enacted by
States after 1995.
(2) Requirements.--The study shall collect empirical data
regarding--
(A) increases or decreases in driving speeds on Interstate
highways since 1995;
(B) correlations between changes in driving speeds and
accident, injury, and fatality rates;
(C) correlations between posted speed limits and observed
driving speeds;
(D) the overall impact on motor vehicle safety resulting
from the repeal of the national maximum speed limit in 1995;
and
(E) such other matters as the Secretary determines to be
appropriate.
(b) Report.--Not later than 1 year after the date of
completion of the study under subsection (a), the Secretary
shall submit to Congress a report that describes the results
of the study.
______
SA 2329. Mrs. BOXER submitted an amendment intended to be proposed by
her to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 338, after line 13, insert the following:
``(iii) $50,000,000 to the State of California to be used
for the seismic retrofit and homeland security protection of
the Golden Gate Bridge, San Francisco, California.
______
SA 2330. Mrs. BOXER submitted an amendment intended to be proposed by
her to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the end, add the following:
TITLE VII--BORDER SECURITY PROVISIONS
SEC. 7101. SECURE AND FAST ENTRY AT THE BORDER.
(a) Short Title.--This section may be cited as the ``Secure
and Fast Entry at the Border Act of 2004'' or the ``SAFE
Border Act of 2004'' .
(b) Portpass Program.--
(1) Findings.--Congress finds the following:
(A) Port Passenger Accelerated Service System (PortPASS) is
a group of pre-inspection technology programs used at ports
of entry to facilitate the speedy passage of low-risk
travelers.
(B) Ports of entry constitute vital links in our Nation's
economic and social life.
(C) Southern and northern land border inspections combined
comprise over 80 percent of the total number of inspections
performed at all ports of entry.
(D) PortPASS programs strengthen our borders without
impeding legitimate traffic needed for our Nation's economic
health.
(E) Secure Electronic Network for Travelers Rapid
Inspection (SENTRI), a PortPASS program, incorporates an
extensive screening process to move pre-screened, low-risk
travelers quickly and safely through the inspection process
while preserving border security. There are currently over
45,000 SENTRI participants.
(F) PortPASS programs must expand their existing
infrastructure to meet border management issues. The success
and effectiveness of the programs demonstrate they are
deserving of increased resource allocation to meet growth and
security challenges.
(2) Amendment to immigration and nationality act.--Section
286(q)(1)(A) of the Immigration and Nationality Act (8 U.S.C.
1356(q)(1)(A)) is amended adding at the end the following:
``(iv) The Port Passenger Accelerated Service System
(PortPASS) is authorized as a permanent land border
inspection project under this subparagraph.''.
(3) Sentri participation approvals.--
(A) Extension of validity of sentri approvals for
participation.--Notwithstanding any other provision of law,
and beginning not later than 30 days after the date of
enactment of this Act, approval shall be issued for
participation in the Secure Electronic Network for Travelers
Rapid Inspection (SENTRI), carried out by the Bureau of
Citizenship and Immigration Services within the Department of
Homeland Security, for non-commercial vehicle border
crossers. Such approval shall be valid for not less than 2
years.
(B) Preclusion of certain persons.--Any person convicted of
a felony or under active criminal investigation shall be
prohibited from participating in the Secure Electronic
Network for Travelers Rapid Inspection (SENTRI) program.
(4) Sense of congress.--It is the sense of the Congress
that--
(A) the Department of Homeland Security must ensure the
permanence of the Port Passenger Accelerated Service System
(PortPASS) in the transition of PortPASS from the Department
of Justice to the Department of Homeland Security;
(B) all land PortPASS programs should utilize interoperable
technology to offer program enrollees increased access at all
participating dedicated commuter lanes;
(C) the Secretary of Homeland Security should--
(i) appoint dedicated staff with appropriate training and
instruction to the Secure Electronic Network for Travelers
Rapid Inspection (SENTRI) program;
(ii) increase staffing under the SENTRI program for actual
inspections and necessary administrative tasks; and
(iii) allocate greater resources to the program to
facilitate and expedite the processing of applications for
SENTRI; and
(D) the Secretary of Homeland Security should create a pre-
inspection low-risk traveler dedicated commuter lane for
pedestrian land border crossers.
______
SA 2331. Mrs. BOXER submitted an amendment intended to be proposed by
her to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Beginning on page 460, strike line 18 and all that follows
through page 462, line 24, and insert the following:
``(2) Identification of centers.--The university
transportation centers established under this section shall--
``(A) comply with applicable requirements under subsection
(c); and
``(B) be located at the institutions of higher learning
specified in paragraph (3).
``(3) Identification of groups.--For the purpose of making
grants under this subsection, the following grants are
identified:
``(A) Group a.--Group A shall consist of the 10 regional
centers selected under subsection (b).
``(B) Group b.--Group B shall consist of the following:
``(i) [_________].
``(ii) [_________].
``(iii) [_________].
``(iv) [_________].
``(v) [_________].
``(vi) [_________].
``(vii) [_________].
``(viii) [_________]
``(ix) [_________].
``(x) [_________].
``(xi) [_________].
``(C) Group c.--Group C shall consist of the following:
``(i) [_________].
``(ii) [_________].
``(iii) [_________].
``(iv) [_________].
``(v) [_________].
``(vi) [_________].
``(vii) [_________].
``(viii) [_________].
``(ix) [_________].
``(x) [_________].
``(xi) [_________].
``(D) Group d.--Group D shall consist of the following:
``(i) [_________].
``(ii) [_________].
``(iii) [_________].
``(iv) [_________].
``(v) [_________].
``(vi) [_________].
``(vii) [_________].
``(viii) [_________].
______
SA 2332. Mr. HARKIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 145, strike lines 13 through 23 and insert the
following:
(a) In General.--Not later than 1 year after the date of
enactment of this Act, the Secretary shall promulgate
regulations--
[[Page S1071]]
(1) to decrease the probability of worker injury;
(2) to maintain the free flow of vehicular traffic by
requiring workers whose duties place the workers on, or in
close proximity to, a Federal-aid highway (as defined in
section 101 of title 23, United States Code) to wear high-
visibility clothing; and
(3) to require such other worker-safety measures for
workers described in paragraph (2) as the Secretary
determines appropriate.
(b) Vegetation Control.--To lower operating expenses and
improve safety during road construction, rehabilitation, and
maintenance, the Secretary shall strongly encourage State
departments of transportation and local transportation
authorities to use devices that have been approved by the
Federal Highway Administration to control vegetation near
structures in the rights-of-way of highways.
______
SA 2333. Mr. HARKIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. PRIORITY FOR PEDESTRIAN AND BICYCLE FACILITY
ENHANCEMENT PROJECTS.
Section 133(e)(5) of title 23, United States Code, is
amended by adding at the end the following:
``(D) Priority for pedestrian and bicycle facility
enhancement projects.--The Secretary shall encourage States
to give priority to pedestrian and bicycle facility
enhancement projects that include a coordinated physical
activity or healthy lifestyles program.''.
______
SA 2334. Mrs. CLINTON submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 893, between lines 23 and 24, insert the following:
``(C) Responsibility of states.--
``(i) In general.--Each State shall be responsible for
ensuring that subrecipients of Federal funds with the State
under this section have emission reduction strategies for
fleets of vehicles that are--
``(I) used in construction projects located in
nonattainment and maintenance areas; and
``(II) funded under this title.
``(ii) Requirements for strategies.--The emission reduction
strategies referred to in clause (i) shall be consistent with
guidance developed by the Administrator of the Environmental
Protection Agency, in consultation with the Secretary,
including guidance on--
``(I) contract preferences;
``(II) requirements for the use of anti-idling equipment;
``(III) diesel retrofits; and
``(IV) such other matters as the Administrator of the
Environmental Protection Agency, in consultation with the
Secretary, determine to be appropriate.
``(iii) Use of cmaq funds.--A State may use funds made
available for the congestion mitigation and air quality
program to ensure the deployment of the emission reduction
strategies described in clause (i).
______
SA 2335. Mrs. DOLE submitted an amendment intended to be proposed by
her to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
SECTION 1. TAX TREATMENT OF STATE ACQUISITION OF RAILROAD
REAL ESTATE INVESTMENT TRUST.
(a) In General.--If a State acquires all of the outstanding
stock of a real estate investment trust which is a non-
operating class III railroad and substantially all of the
activities of which consist of the ownership, leasing, and
operation by such trust of facilities, equipment, and other
property used by the trust or other persons in railroad
transportation, then, for purposes of section 115 of the
Internal Revenue Code of 1986--
(1) such activities shall be treated as the exercise of an
essential governmental function, and
(2) income derived from such activities shall be treated as
accruing to the State.
(b) Gain or Loss Not Recognized on Conversion.--
Notwithstanding section 337(d) of the Internal Revenue Code
of 1986, no gain or less shall be recognized under section
336 or 337 of such Code because of the change of status of
the real estate investment trust to a tax-exempt entity by
reason of the application of subsection (a).
(c) Tax-Exempt Financing.--Any obligation issued by the
entity described in subsection (a) shall be treated as an
obligation of the State for purposes of applying section 103
and part IV of subchapter B of chapter 1 of the Internal
Revenue Code of 1986.
(d) Definitions.--For purposes of this section--
(1) Real estate investment trust.--The term ``real estate
investment trust'' has the meaning given such term by section
856(a) of the Internal Revenue Code of 1986.
(2) Non-operating class iii railroad.--The term ``non-
operating class III railroad'' has the meaning given such
term by part A of subtitle IV of title 49, United States Code
(49 U.S.C. 10101 et seq.) and the regulations thereunder.
(3) State.--The term ``State'' includes--
(A) the District of Columbia and any possession of the
United States, and
(B) any authority, agency, or public corporation of a
State.
(e) Applicability.--This section shall apply on and after
the date of any acquisition described in subsection (a).
______
SA 2336. Mr. COLEMAN (for himself and Mr. Dayton) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end, add the following new title:
TITLE V--MISCELLANEOUS PROVISIONS
SEC. 5001. REIMBURSEMENT OF CERTAIN TRANSPORTATION COSTS
INCURRED BY MEMBERS OF THE UNITED STATES ARMED
FORCES ON REST AND RECUPERATION LEAVE.
The Secretary of Defense shall reimburse a member of the
United States Armed Forces (out of funds available for the
Armed Forces for operation and maintenance for the relevant
fiscal year) for transportation expenses incurred by such
member for one round trip by such member between two
locations within the United States in connection with leave
taken under the Central Command Rest and Recuperation Leave
Program during the period beginning on September 25, 2003,
and ending on December 18, 2003.
______
SA 2337. Mr. COLEMAN (for himself and Mr. Dayton) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end, add the following new title:
TITLE V--MISCELLANEOUS PROVISIONS
SEC. 5001. REIMBURSEMENT OF CERTAIN TRANSPORTATION COSTS
INCURRED BY MEMBERS OF THE UNITED STATES ARMED
FORCES ON REST AND RECUPERATION LEAVE.
The Secretary of Defense shall reimburse a member of the
United States Armed Forces (out of funds available for the
Armed Forces for operation and maintenance for the relevant
fiscal year) for transportation expenses incurred by such
member for one round trip by such member between two
locations within the United States in connection with leave
taken under the Central Command Rest and Recuperation Leave
Program during the period beginning on September 25, 2003,
and ending on December 18, 2003.
______
SA 2338. Mr. HATCH submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place, add the following:
SEC. 201. ALTERNATIVE MOTOR VEHICLE CREDIT.
(a) In General.--Subpart B of part IV of subchapter A of
chapter 1 (relating to foreign tax credit, etc.) is amended
by adding at the end the following new section:
``SEC. 30B. ALTERNATIVE MOTOR VEHICLE CREDIT.
``(a) Allowance of Credit.--There shall be allowed as a
credit against the tax imposed by this chapter for the
taxable year an amount equal to the sum of--
``(1) the new qualified fuel cell motor vehicle credit
determined under subsection (b),
``(2) the new qualified hybrid motor vehicle credit
determined under subsection (c), and
``(3) the new qualified alternative fuel motor vehicle
credit determined under subsection (d).
``(b) New Qualified Fuel Cell Motor Vehicle Credit.--
``(1) In general.--For purposes of subsection (a), the new
qualified fuel cell motor vehicle credit determined under
this subsection with respect to a new qualified fuel cell
motor vehicle placed in service by the taxpayer during the
taxable year is--
``(A) $4,000, if such vehicle has a gross vehicle weight
rating of not more than 8,500 pounds,
``(B) $10,000, if such vehicle has a gross vehicle weight
rating of more than 8,500 pounds but not more than 14,000
pounds,
``(C) $20,000, if such vehicle has a gross vehicle weight
rating of more than 14,000 pounds but not more than 26,000
pounds, and
``(D) $40,000, if such vehicle has a gross vehicle weight
rating of more than 26,000 pounds.
[[Page S1072]]
``(2) Increase for fuel efficiency.--
``(A) In general.--The amount determined under paragraph
(1)(A) with respect to a new qualified fuel cell motor
vehicle which is a passenger automobile or light truck shall
be increased by--
``(i) $1,000, if such vehicle achieves at least 150 percent
but less than 175 percent of the 2002 model year city fuel
economy,
``(ii) $1,500, if such vehicle achieves at least 175
percent but less than 200 percent of the 2002 model year city
fuel economy,
``(iii) $2,000, if such vehicle achieves at least 200
percent but less than 225 percent of the 2002 model year city
fuel economy,
``(iv) $2,500, if such vehicle achieves at least 225
percent but less than 250 percent of the 2002 model year city
fuel economy,
``(v) $3,000, if such vehicle achieves at least 250 percent
but less than 275 percent of the 2002 model year city fuel
economy,
``(vi) $3,500, if such vehicle achieves at least 275
percent but less than 300 percent of the 2002 model year city
fuel economy, and
``(vii) $4,000, if such vehicle achieves at least 300
percent of the 2002 model year city fuel economy.
``(B) 2002 model year city fuel economy.--For purposes of
subparagraph (A), the 2002 model year city fuel economy with
respect to a vehicle shall be determined in accordance with
the following tables:
``(i) In the case of a passenger automobile:
``If vehicle inertia weight clThe 2002 model year city fuel economy is:
1,500 or 1,750 lbs............................................45.2 mpg
2,000 lbs.....................................................39.6 mpg
2,250 lbs.....................................................35.2 mpg
2,500 lbs.....................................................31.7 mpg
2,750 lbs.....................................................28.8 mpg
3,000 lbs.....................................................26.4 mpg
3,500 lbs.....................................................22.6 mpg
4,000 lbs.....................................................19.8 mpg
4,500 lbs.....................................................17.6 mpg
5,000 lbs.....................................................15.9 mpg
5,500 lbs.....................................................14.4 mpg
6,000 lbs.....................................................13.2 mpg
6,500 lbs.....................................................12.2 mpg
7,000 to 8,500 lbs............................................11.3 mpg.
``(ii) In the case of a light truck:
The 2002 model year city
``If vehicle inertia weight class is: fuel economy is:
1,500 or 1,750 lbs............................................39.4 mpg
2,000 lbs.....................................................35.2 mpg
2,250 lbs.....................................................31.8 mpg
2,500 lbs.....................................................29.0 mpg
2,750 lbs.....................................................26.8 mpg
3,000 lbs.....................................................24.9 mpg
3,500 lbs.....................................................21.8 mpg
4,000 lbs.....................................................19.4 mpg
4,500 lbs.....................................................17.6 mpg
5,000 lbs.....................................................16.1 mpg
5,500 lbs.....................................................14.8 mpg
6,000 lbs.....................................................13.7 mpg
6,500 lbs.....................................................12.8 mpg
7,000 to 8,500 lbs............................................12.1 mpg.
``(C) Vehicle inertia weight class.--For purposes of
subparagraph (B), the term `vehicle inertia weight class' has
the same meaning as when defined in regulations prescribed by
the Administrator of the Environmental Protection Agency for
purposes of the administration of title II of the Clean Air
Act (42 U.S.C. 7521 et seq.).
``(3) New qualified fuel cell motor vehicle.--For purposes
of this subsection, the term `new qualified fuel cell motor
vehicle' means a motor vehicle--
``(A) which is propelled by power derived from one or more
cells which convert chemical energy directly into electricity
by combining oxygen with hydrogen fuel which is stored on
board the vehicle in any form and may or may not require
reformation prior to use,
``(B) which, in the case of a passenger automobile or light
truck--
``(i) for 2002 and later model vehicles, has received a
certificate of conformity under the Clean Air Act and meets
or exceeds the equivalent qualifying California low emission
vehicle standard under section 243(e)(2) of the Clean Air Act
for that make and model year, and
``(ii) for 2004 and later model vehicles, has received a
certificate that such vehicle meets or exceeds the Bin 5 Tier
II emission level established in regulations prescribed by
the Administrator of the Environmental Protection Agency
under section 202(i) of the Clean Air Act for that make and
model year vehicle,
``(C) the original use of which commences with the
taxpayer,
``(D) which is acquired for use or lease by the taxpayer
and not for resale, and
``(E) which is made by a manufacturer.
``(c) New Qualified Hybrid Motor Vehicle Credit.--
``(1) In general.--For purposes of subsection (a), the new
qualified hybrid motor vehicle credit determined under this
subsection with respect to a new qualified hybrid motor
vehicle placed in service by the taxpayer during the taxable
year is the credit amount determined under paragraph (2).
``(2) Credit amount.--
``(A) In general.--The credit amount determined under this
paragraph shall be determined in accordance with the
following tables:
``(i) In the case of a new qualified hybrid motor vehicle
which is a passenger automobile or light truck and which
provides the following percentage of the maximum available
power:
``If percentage of the maximum available power is:The credit amount is:
At least 4 percent but less than 10 percent.................$250 ....
At least 10 percent but less than 20 percent................$500 ....
At least 20 percent but less than 30 percent................$750 ....
At least 30 percent.......................................$1,000.....
``(ii) In the case of a new qualified hybrid motor vehicle
which is a heavy duty hybrid motor vehicle and which provides
the following percentage of the maximum available power:
``(I) If such vehicle has a gross vehicle weight rating of
not more than 14,000 pounds:
``If percentage of the maximum available power is:The credit amount is:
At least 20 percent but less than 30 percent..............$1,000 ....
At least 30 percent but less than 40 percent..............$1,750 ....
At least 40 percent but less than 50 percent..............$2,000 ....
At least 50 percent but less than 60 percent..............$2,250 ....
At least 60 percent.......................................$2,500.....
``(II) If such vehicle has a gross vehicle weight rating of
more than 14,000 but not more than 26,000 pounds:
``If percentage of the maximum available power is:The credit amount is:
At least 20 percent but less than 30 percent..............$4,000 ....
At least 30 percent but less than 40 percent..............$4,500 ....
At least 40 percent but less than 50 percent..............$5,000 ....
At least 50 percent but less than 60 percent..............$5,500 ....
At least 60 percent.......................................$6,000.....
``(III) If such vehicle has a gross vehicle weight rating
of more than 26,000 pounds:
``If percentage of the maximum available power is:The credit amount is:
At least 20 percent but less than 30 percent..............$6,000 ....
At least 30 percent but less than 40 percent..............$7,000 ....
At least 40 percent but less than 50 percent..............$8,000 ....
At least 50 percent but less than 60 percent..............$9,000 ....
At least 60 percent......................................$10,000.....
``(B) Increase for fuel efficiency.--
``(i) Amount.--The amount determined under subparagraph
(A)(i) with respect to a new qualified hybrid motor vehicle
which is a passenger automobile or light truck shall be
increased by--
``(I) $500, if such vehicle achieves at least 125 percent
but less than 150 percent of the 2002 model year city fuel
economy,
``(II) $1,000, if such vehicle achieves at least 150
percent but less than 175 percent of the 2002 model year city
fuel economy,
``(III) $1,500, if such vehicle achieves at least 175
percent but less than 200 percent of the 2002 model year city
fuel economy,
``(IV) $2,000, if such vehicle achieves at least 200
percent but less than 225 percent of the 2002 model year city
fuel economy,
``(V) $2,500, if such vehicle achieves at least 225 percent
but less than 250 percent of the 2002 model year city fuel
economy, and
``(VI) $3,000, if such vehicle achieves at least 250
percent of the 2002 model year city fuel economy.
``(ii) 2002 model year city fuel economy.--For purposes of
clause (i), the 2002 model year city fuel economy with
respect to a vehicle shall be determined using the tables
provided in subsection (b)(2)(B) with respect to such
vehicle.
``(C) Increase for accelerated emissions performance.--The
amount determined under subparagraph (A)(ii) with respect to
an applicable heavy duty hybrid motor vehicle shall be
increased by the increased credit amount determined in
accordance with the following tables:
``(i) In the case of a vehicle which has a gross vehicle
weight rating of not more than 14,000 pounds:
``If the model year is: The increased credit amount is:
2003......................................................$3,000 ....
2004......................................................$2,500 ....
2005......................................................$2,000 ....
2006......................................................$1,500.....
``(ii) In the case of a vehicle which has a gross vehicle
weight rating of more than 14,000 pounds but not more than
26,000 pounds:
``If the model year is: The increased credit amount is:
2003......................................................$7,750 ....
2004......................................................$6,500 ....
2005......................................................$5,250 ....
2006......................................................$4,000.....
``(iii) In the case of a vehicle which has a gross vehicle
weight rating of more than 26,000 pounds:
The increased credit amount is:
2003.....................................................$12,000 ....
[[Page S1073]]
2004.....................................................$10,000 ....
2005......................................................$8,000 ....
2006......................................................$6,000.....
``(D) Definitions.--
``(i) Applicable heavy duty hybrid motor vehicle.--For
purposes of subparagraph (C), the term `applicable heavy duty
hybrid motor vehicle' means a heavy duty hybrid motor vehicle
which is powered by an internal combustion or heat engine
which is certified as meeting the emission standards set in
the regulations prescribed by the Administrator of the
Environmental Protection Agency for 2007 and later model year
diesel heavy duty engines, or for 2008 and later model year
ottocycle heavy duty engines, as applicable.
``(ii) Heavy duty hybrid motor vehicle.--For purposes of
this paragraph, the term `heavy duty hybrid motor vehicle'
means a new qualified hybrid motor vehicle which has a gross
vehicle weight rating of more than 10,000 pounds and draws
propulsion energy from both of the following onboard sources
of stored energy:
``(I) An internal combustion or heat engine using
consumable fuel which, for 2002 and later model vehicles, has
received a certificate of conformity under the Clean Air Act
and meets or exceeds a level of not greater than 3.0 grams
per brake horsepower-hour of oxides of nitrogen and 0.01 per
brake horsepower-hour of particulate matter.
``(II) A rechargeable energy storage system.
``(iii) Maximum available power.--
``(I) Passenger automobile or light truck.--For purposes of
subparagraph (A)(i), the term `maximum available power' means
the maximum power available from the rechargeable energy
storage system, during a standard 10 second pulse power or
equivalent test, divided by such maximum power and the SAE
net power of the heat engine.
``(II) Heavy duty hybrid motor vehicle.--For purposes of
subparagraph (A)(ii), the term `maximum available power'
means the maximum power available from the rechargeable
energy storage system, during a standard 10 second pulse
power or equivalent test, divided by the vehicle's total
traction power. The term `total traction power' means the sum
of the peak power from the rechargeable energy storage system
and the heat engine peak power of the vehicle, except that if
such storage system is the sole means by which the vehicle
can be driven, the total traction power is the peak power of
such storage system.
``(3) New qualified hybrid motor vehicle.--For purposes of
this subsection, the term `new qualified hybrid motor
vehicle' means a motor vehicle--
``(A) which draws propulsion energy from onboard sources of
stored energy which are both--
``(i) an internal combustion or heat engine using
combustible fuel, and
``(ii) a rechargeable energy storage system,
``(B) which, in the case of a passenger automobile or light
truck--
``(i) for 2002 and later model vehicles, has received a
certificate of conformity under the Clean Air Act and meets
or exceeds the equivalent qualifying California low emission
vehicle standard under section 243(e)(2) of the Clean Air Act
for that make and model year, and
``(ii) for 2004 and later model vehicles, has received a
certificate that such vehicle meets or exceeds the Bin 5 Tier
II emission level established in regulations prescribed by
the Administrator of the Environmental Protection Agency
under section 202(i) of the Clean Air Act for that make and
model year vehicle,
``(C) the original use of which commences with the
taxpayer,
``(D) which is acquired for use or lease by the taxpayer
and not for resale, and
``(E) which is made by a manufacturer.
``(d) New Qualified Alternative Fuel Motor Vehicle
Credit.--
``(1) Allowance of credit.--Except as provided in paragraph
(5), the new qualified alternative fuel motor vehicle credit
determined under this subsection is an amount equal to the
applicable percentage of the incremental cost of any new
qualified alternative fuel motor vehicle placed in service by
the taxpayer during the taxable year.
``(2) Applicable percentage.--For purposes of paragraph
(1), the applicable percentage with respect to any new
qualified alternative fuel motor vehicle is--
``(A) 40 percent, plus
``(B) 30 percent, if such vehicle--
``(i) has received a certificate of conformity under the
Clean Air Act and meets or exceeds the most stringent
standard available for certification under the Clean Air Act
for that make and model year vehicle (other than a zero
emission standard), or
``(ii) has received an order certifying the vehicle as
meeting the same requirements as vehicles which may be sold
or leased in California and meets or exceeds the most
stringent standard available for certification under the
State laws of California (enacted in accordance with a waiver
granted under section 209(b) of the Clean Air Act) for that
make and model year vehicle (other than a zero emission
standard).
``(3) Incremental cost.--For purposes of this subsection,
the incremental cost of any new qualified alternative fuel
motor vehicle is equal to the amount of the excess of the
manufacturer's suggested retail price for such vehicle over
such price for a gasoline or diesel fuel motor vehicle of the
same model, to the extent such amount does not exceed--
``(A) $5,000, if such vehicle has a gross vehicle weight
rating of not more than 8,500 pounds,
``(B) $10,000, if such vehicle has a gross vehicle weight
rating of more than 8,500 pounds but not more than 14,000
pounds,
``(C) $25,000, if such vehicle has a gross vehicle weight
rating of more than 14,000 pounds but not more than 26,000
pounds, and
``(D) $40,000, if such vehicle has a gross vehicle weight
rating of more than 26,000 pounds.
``(4)New qualified alternative fuel motor vehicle.--For
purposes of this subsection--
``(A) In general.--The term `new qualified alternative fuel
motor vehicle' means any motor vehicle--
``(i) which is only capable of operating on an alternative
fuel,
``(ii) the original use of which commences with the
taxpayer,
``(iii) which is acquired by the taxpayer for use or lease,
but not for resale, and
``(iv) which is made by a manufacturer.
``(B) Alternative fuel.--The term `alternative fuel' means
compressed natural gas, liquefied natural gas, liquefied
petroleum gas, hydrogen, and any liquid at least 85 percent
of the volume of which consists of methanol.
``(5) Credit for mixed-fuel vehicles.--
``(A) In general.--In the case of a mixed-fuel vehicle
placed in service by the taxpayer during the taxable year,
the credit determined under this subsection is an amount
equal to--
``(i) in the case of a 75/25 mixed-fuel vehicle, 70 percent
of the credit which would have been allowed under this
subsection if such vehicle was a qualified alternative fuel
motor vehicle, and
``(ii) in the case of a 90/10 mixed-fuel vehicle, 90
percent of the credit which would have been allowed under
this subsection if such vehicle was a qualified alternative
fuel motor vehicle.
``(B) Mixed-fuel vehicle.--For purposes of this subsection,
the term `mixed-fuel vehicle' means any motor vehicle
described in subparagraph (C) or (D) of paragraph (3),
which--
``(i) is certified by the manufacturer as being able to
perform efficiently in normal operation on a combination of
an alternative fuel and a petroleum-based fuel,
``(ii) either--
``(I) has received a certificate of conformity under the
Clean Air Act, or
``(II) has received an order certifying the vehicle as
meeting the same requirements as vehicles which may be sold
or leased in California and meets or exceeds the low emission
vehicle standard under section 88.105-94 of title 40, Code of
Federal Regulations, for that make and model year vehicle,
``(iii) the original use of which commences with the
taxpayer,
``(iv) which is acquired by the taxpayer for use or lease,
but not for resale, and
``(v) which is made by a manufacturer.
``(C) 75/25 mixed-fuel vehicle.--For purposes of this
subsection, the term `75/25 mixed-fuel vehicle' means a
mixed-fuel vehicle which operates using at least 75 percent
alternative fuel and not more than 25 percent petroleum-based
fuel.
``(D) 90/10 mixed-fuel vehicle.--For purposes of this
subsection, the term `90/10 mixed-fuel vehicle' means a
mixed-fuel vehicle which operates using at least 90 percent
alternative fuel and not more than 10 percent petroleum-based
fuel.
``(e) Application With Other Credits.--The credit allowed
under subsection (a) for any taxable year shall not exceed
the excess (if any) of--
``(1) the regular tax for the taxable year reduced by the
sum of the credits allowable under subpart A and sections 27,
29, and 30, over
``(2) the tentative minimum tax for the taxable year.
``(f) Other Definitions and Special Rules.--For purposes of
this section--
``(1) Consumable fuel.--The term `consumable fuel' means
any solid, liquid, or gaseous matter which releases energy
when consumed by an auxiliary power unit.
``(2) Motor vehicle.--The term `motor vehicle' has the
meaning given such term by section 30(c)(2).
``(3) City fuel economy.--The city fuel economy with
respect to any vehicle shall be measured in a manner which is
substantially similar to the manner city fuel economy is
measured in accordance with procedures under part 600 of
subchapter Q of chapter I of title 40, Code of Federal
Regulations, as in effect on the date of the enactment of
this section.
``(4) Other terms.--The terms `automobile', `passenger
automobile', `light truck', and `manufacturer' have the
meanings given such terms in regulations prescribed by the
Administrator of the Environmental Protection Agency for
purposes of the administration of title II of the Clean Air
Act (42 U.S.C. 7521 et seq.).
``(5) Reduction in basis.--For purposes of this subtitle,
the basis of any property for which a credit is allowable
under subsection (a) shall be reduced by the amount of such
credit so allowed (determined without regard to subsection
(e)).
``(6) No double benefit.--The amount of any deduction or
other credit allowable under this chapter--
``(A) for any incremental cost taken into account in
computing the amount of the
[[Page S1074]]
credit determined under subsection (d) shall be reduced by
the amount of such credit attributable to such cost, and
``(B) with respect to a vehicle described under subsection
(b) or (c), shall be reduced by the amount of credit allowed
under subsection (a) for such vehicle for the taxable year.
``(7) Property used by tax-exempt entities.--In the case of
a credit amount which is allowable with respect to a motor
vehicle which is acquired by an entity exempt from tax under
this chapter, the person which sells or leases such vehicle
to the entity shall be treated as the taxpayer with respect
to the vehicle for purposes of this section and the credit
shall be allowed to such person, but only if the person
clearly discloses to the entity at the time of any sale or
lease the specific amount of any credit otherwise allowable
to the entity under this section.
``(8) Recapture.--The Secretary shall, by regulations,
provide for recapturing the benefit of any credit allowable
under subsection (a) with respect to any property which
ceases to be property eligible for such credit (including
recapture in the case of a lease period of less than the
economic life of a vehicle).
``(9) Property used outside united states, etc., not
qualified.--No credit shall be allowed under subsection (a)
with respect to any property referred to in section 50(b) or
with respect to the portion of the cost of any property taken
into account under section 179.
``(10) Election to not take credit.--No credit shall be
allowed under subsection (a) for any vehicle if the taxpayer
elects to not have this section apply to such vehicle.
``(11) Carryback and carryforward allowed.--
``(A) In general.--If the credit amount allowable under
subsection (a) for a taxable year exceeds the amount of the
limitation under subsection (e) for such taxable year (in
this paragraph referred to as the `unused credit year'), such
excess shall be allowed as a credit carryback for each of the
3 taxable years beginning after the date of the enactment of
this paragraph, which precede the unused credit year and a
credit carryforward for each of the 20 taxable years which
succeed the unused credit year.
``(B) Rules.--Rules similar to the rules of section 39
shall apply with respect to the credit carryback and credit
carryforward under subparagraph (A).
``(12) Interaction with air quality and motor vehicle
safety standards.--Unless otherwise provided in this section,
a motor vehicle shall not be considered eligible for a credit
under this section unless such vehicle is in compliance
with--
``(A) the applicable provisions of the Clean Air Act for
the applicable make and model year of the vehicle (or
applicable air quality provisions of State law in the case of
a State which has adopted such provision under a waiver under
section 209(b) of the Clean Air Act), and
``(B) the motor vehicle safety provisions of sections 30101
through 30169 of title 49, United States Code.
``(g) Regulations.--
``(1) In general.--Except as provided in paragraph (2), the
Secretary shall promulgate such regulations as necessary to
carry out the provisions of this section.
``(2) Coordination in prescription of certain
regulations.--The Secretary of the Treasury, in coordination
with the Secretary of Transportation and the Administrator of
the Environmental Protection Agency, shall prescribe such
regulations as necessary to determine whether a motor vehicle
meets the requirements to be eligible for a credit under this
section.
``(h) Termination.--This section shall not apply to any
property purchased after--
``(1) in the case of a new qualified fuel cell motor
vehicle (as described in subsection (b)), December 31, 2011,
and
``(2) in the case of any other property, December 31,
2006.''.
(b) Conforming Amendments.--
(1) Section 1016(a) is amended by striking ``and'' at the
end of paragraph (27), by striking the period at the end of
paragraph (28) and inserting ``, and'', and by adding at the
end the following new paragraph:
``(29) to the extent provided in section 30B(f)(5).''.
(2) Section 55(c)(2) is amended by inserting ``30B(e),''
after ``30(b)(3)''.
(3) Section 6501(m) is amended by inserting ``30B(f)(10),''
after ``30(d)(4),''.
(4) The table of sections for subpart B of part IV of
subchapter A of chapter 1 is amended by inserting after the
item relating to section 30A the following new item:
``Sec. 30B. Alternative motor vehicle credit.''.
(c) Effective Date.--The amendments made by this section
shall apply to property placed in service after the date of
the enactment of this Act, in taxable years ending after such
date.
SEC. 202. MODIFICATION OF CREDIT FOR QUALIFIED ELECTRIC
VEHICLES.
(a) Amount of Credit.--
(1) In general.--Section 30(a) (relating to allowance of
credit) is amended by striking ``10 percent of''.
(2) Limitation of credit according to type of vehicle.--
Section 30(b) (relating to limitations) is amended--
(A) by striking paragraphs (1) and (2) and inserting the
following new paragraph:
``(1) Limitation according to type of vehicle.--The amount
of the credit allowed under subsection (a) for any vehicle
shall not exceed the greatest of the following amounts
applicable to such vehicle:
``(A) In the case of a vehicle which conforms to the Motor
Vehicle Safety Standard 500 prescribed by the Secretary of
Transportation, as in effect on the date of the enactment of
the Energy Tax Incentives Act of 2003, the lesser of--
``(i) 10 percent of the manufacturer's suggested retail
price of the vehicle, or
``(ii) $1,500.
``(B) In the case of a vehicle not described in
subparagraph (A) with a gross vehicle weight rating not
exceeding 8,500 pounds--
``(i) $3,500, or
``(ii) $6,000, if such vehicle is--
``(I) capable of a driving range of at least 100 miles on a
single charge of the vehicle's rechargeable batteries as
measured pursuant to the urban dynamometer schedules under
appendix I to part 86 of title 40, Code of Federal
Regulations, or
``(II) capable of a payload capacity of at least 1,000
pounds.
``(C) In the case of a vehicle with a gross vehicle weight
rating exceeding 8,500 but not exceeding 14,000 pounds,
$10,000.
``(D) In the case of a vehicle with a gross vehicle weight
rating exceeding 14,000 but not exceeding 26,000 pounds,
$20,000.
``(E) In the case of a vehicle with a gross vehicle weight
rating exceeding 26,000 pounds, $40,000.'', and
(B) by redesignating paragraph (3) as paragraph (2).
(3) Conforming amendments.--
(A) Section 53(d)(1)(B)(iii) is amended by striking
``section 30(b)(3)(B)'' and inserting ``section
30(b)(2)(B)''.
(3) Section 55(c)(2), as amended by this Act, is amended by
striking ``30(b)(3)'' and inserting ``30(b)(2)''.
(b) Qualified Battery Electric Vehicle.--
(1) In general.--Section 30(c)(1)(A) (defining qualified
electric vehicle) is amended to read as follows:
``(A) which is--
``(i) operated solely by use of a battery or battery pack,
or
``(ii) powered primarily through the use of an electric
battery or battery pack using a flywheel or capacitor which
stores energy produced by an electric motor through
regenerative braking to assist in vehicle operation,''.
(2) Leased vehicles.--Section 30(c)(1)(C) is amended by
inserting ``or lease'' after ``use''.
(3) Conforming amendments.--
(A) Subsections (a), (b)(2), and (c) of section 30 are each
amended by inserting ``battery'' after ``qualified'' each
place it appears.
(B) The heading of subsection (c) of section 30 is amended
by inserting ``Battery'' after ``Qualified''.
(C) The heading of section 30 is amended by inserting
``battery'' after ``qualified''.
(D) The item relating to section 30 in the table of
sections for subpart B of part IV of subchapter A of chapter
1 is amended by inserting ``battery'' after ``qualified''.
(E) Section 179A(c)(3) is amended by inserting ``battery''
before ``electric''.
(F) The heading of paragraph (3) of section 179A(c) is
amended by inserting ``battery'' before ``electric''.
(c) Additional Special Rules.--Section 30(d) (relating to
special rules) is amended by adding at the end the following
new paragraphs:
``(5) No double benefit.--The amount of any deduction or
other credit allowable under this chapter for any cost taken
into account in computing the amount of the credit determined
under subsection (a) shall be reduced by the amount of such
credit attributable to such cost.
``(6) Property used by tax-exempt entities.--In the case of
a credit amount which is allowable with respect to a vehicle
which is acquired by an entity exempt from tax under this
chapter, the person which sells or leases such vehicle to the
entity shall be treated as the taxpayer with respect to the
vehicle for purposes of this section and the credit shall be
allowed to such person, but only if the person clearly
discloses to the entity at the time of any sale or lease the
specific amount of any credit otherwise allowable to the
entity under this section.
``(7) Carryback and carryforward allowed.--
``(A) In general.--If the credit amount allowable under
subsection (a) for a taxable year exceeds the amount of the
limitation under subsection (b)(2) for such taxable year (in
this paragraph referred to as the `unused credit year'), such
excess shall be allowed as a credit carryback for each of the
3 taxable years beginning after the date of the enactment of
this paragraph, which precede the unused credit year and a
credit carryforward for each of the 20 taxable years which
succeed the unused credit year.
``(B) Rules.--Rules similar to the rules of section 39
shall apply with respect to the credit carryback and credit
carryforward under subparagraph (A).''.
(d) Effective Date.--The amendments made by this section
shall apply to property placed in service after the date of
the enactment of this Act, in taxable years ending after such
date.
SEC. 203. CREDIT FOR INSTALLATION OF ALTERNATIVE FUELING
STATIONS.
(a) In General.--Subpart B of part IV of subchapter A of
chapter 1 (relating to foreign tax credit, etc.), as amended
by this Act, is amended by adding at the end the following
new section:
[[Page S1075]]
``SEC. 30C. CLEAN-FUEL VEHICLE REFUELING PROPERTY CREDIT.
``(a) Credit Allowed.--There shall be allowed as a credit
against the tax imposed by this chapter for the taxable year
an amount equal to 50 percent of the amount paid or incurred
by the taxpayer during the taxable year for the installation
of qualified clean-fuel vehicle refueling property.
``(b) Limitation.--The credit allowed under subsection
(a)--
``(1) with respect to any retail clean-fuel vehicle
refueling property, shall not exceed $30,000, and
``(2) with respect to any residential clean-fuel vehicle
refueling property, shall not exceed $1,000.
``(c) Year Credit Allowed.--The credit allowed under
subsection (a) shall be allowed in the taxable year in which
the qualified clean-fuel vehicle refueling property is placed
in service by the taxpayer.
``(d) Definitions.--For purposes of this section--
``(1) Qualified clean-fuel vehicle refueling property.--The
term `qualified clean-fuel vehicle refueling property' has
the same meaning given such term by section 179A(d).
``(2) Residential clean-fuel vehicle refueling property.--
The term `residential clean-fuel vehicle refueling property'
means qualified clean-fuel vehicle refueling property which
is installed on property which is used as the principal
residence (within the meaning of section 121) of the
taxpayer.
``(3) Retail clean-fuel vehicle refueling property.--The
term `retail clean-fuel vehicle refueling property' means
qualified clean-fuel vehicle refueling property which is
installed on property (other than property described in
paragraph (2)) used in a trade or business of the taxpayer.
``(e) Application With Other Credits.--The credit allowed
under subsection (a) for any taxable year shall not exceed
the excess (if any) of--
``(1) the regular tax for the taxable year reduced by the
sum of the credits allowable under subpart A and sections 27,
29, 30, and 30B, over
``(2) the tentative minimum tax for the taxable year.
``(f) Basis Reduction.--For purposes of this title, the
basis of any property shall be reduced by the portion of the
cost of such property taken into account under subsection
(a).
``(g) No Double Benefit.--No deduction shall be allowed
under section 179A with respect to any property with respect
to which a credit is allowed under subsection (a).
``(h) Refueling Property Installed for Tax-Exempt
Entities.--In the case of qualified clean-fuel vehicle
refueling property installed on property owned or used by an
entity exempt from tax under this chapter, the person which
installs such refueling property for the entity shall be
treated as the taxpayer with respect to the refueling
property for purposes of this section (and such refueling
property shall be treated as retail clean-fuel vehicle
refueling property) and the credit shall be allowed to such
person, but only if the person clearly discloses to the
entity in any installation contract the specific amount of
the credit allowable under this section.
``(i) Carryforward Allowed.--
``(1) In general.--If the credit amount allowable under
subsection (a) for a taxable year exceeds the amount of the
limitation under subsection (e) for such taxable year
(referred to as the `unused credit year' in this subsection),
such excess shall be allowed as a credit carryforward for
each of the 20 taxable years following the unused credit
year.
``(2) Rules.--Rules similar to the rules of section 39
shall apply with respect to the credit carryforward under
paragraph (1).
``(j) Special Rules.--Rules similar to the rules of
paragraphs (4) and (5) of section 179A(e) shall apply.
``(k) Regulations.--The Secretary shall prescribe such
regulations as necessary to carry out the provisions of this
section.
``(l) Termination.--This section shall not apply to any
property placed in service--
``(1) in the case of property relating to hydrogen, after
December 31, 2011, and
``(2) in the case of any other property, after December 31,
2007.''.
(b) Modifications to Extension of Deduction for Certain
Refueling Property.--
(1) In general.--Subsection (f) of section 179A is amended
to read as follows:
``(f) Termination.--This section shall not apply to any
property placed in service--
``(1) in the case of property relating to hydrogen, after
December 31, 2011, and
``(2) in the case of any other property, after December 31,
2007.''.
(2) Extension of phaseout.--Section 179A(b)(1)(B), as
amended by section 606(a) of the Job Creation and Worker
Assistance Act of 2002, is amended--
(A) by striking ``calendar year 2004'' in clause (i) and
inserting ``calendar years 2004 and 2005 (calendar years 2004
through 2009 in the case of property relating to hydrogen)
'',
(B) by striking ``2005'' in clause (ii) and inserting
``2006 (calendar year 2010 in the case of property relating
to hydrogen)'', and
(C) by striking ``2006'' in clause (iii) and inserting
``2007 (calendar year 2011 in the case of property relating
to hydrogen)''.
(c) Incentive for Production of Hydrogen at Qualified
Clean-Fuel Vehicle Refueling Property.--Section 179A(d)
(defining qualified clean-fuel vehicle refueling property) is
amended by adding at the end the following new flush
sentence:
``In the case of clean-burning fuel which is hydrogen
produced from another clean-burning fuel, paragraph (3)(A)
shall be applied by substituting `production, storage, or
dispensing' for `storage or dispensing' both places it
appears.''.
(d) Conforming Amendments.--(1) Section 1016(a), as amended
by this Act, is amended by striking ``and'' at the end of
paragraph (28), by striking the period at the end of
paragraph (29) and inserting ``, and'', and by adding at the
end the following new paragraph:
``(30) to the extent provided in section 30C(f).''.
(2) Section 55(c)(2), as amended by this Act, is amended by
inserting ``30C(e),'' after ``30B(e)''.
(3) The table of sections for subpart B of part IV of
subchapter A of chapter 1, as amended by this Act, is amended
by inserting after the item relating to section 30B the
following new item:
``Sec. 30C. Clean-fuel vehicle refueling property credit.''.
(e) Effective Date.--The amendments made by this section
shall apply to property placed in service after the date of
the enactment of this Act, in taxable years ending after such
date.
SEC. 204. CREDIT FOR RETAIL SALE OF ALTERNATIVE FUELS AS
MOTOR VEHICLE FUEL.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business related credits) is amended
by inserting after section 40 the following new section:
``SEC. 40A. CREDIT FOR RETAIL SALE OF ALTERNATIVE FUELS AS
MOTOR VEHICLE FUEL.
``(a) General Rule.--For purposes of section 38, the
alternative fuel retail sales credit for any taxable year is
the applicable amount for each gasoline gallon equivalent of
alternative fuel sold at retail by the taxpayer during such
year as a fuel to propel any qualified motor vehicle.
``(b) Definitions.--For purposes of this section--
``(1) Applicable amount.--The term `applicable amount'
means the amount determined in accordance with the following
table:
``In the case of any taxable year ending in--The applicable amount is--
2003........................................................30 cents
2004........................................................40 cents
2005 and 2006...............................................50 cents.
``(2) Alternative fuel.--The term `alternative fuel' means
compressed natural gas, liquefied natural gas, liquefied
petroleum gas, hydrogen, and any liquid at least 85 percent
of the volume of which consists of methanol or ethanol.
``(3) Gasoline gallon equivalent.--The term `gasoline
gallon equivalent' means, with respect to any alternative
fuel, the amount (determined by the Secretary) of such fuel
having a Btu content of 114,000.
``(4) Qualified motor vehicle.--The term `qualified motor
vehicle' means any motor vehicle (as defined in section
30(c)(2)) which meets any applicable Federal or State
emissions standards with respect to each fuel by which such
vehicle is designed to be propelled.
``(5) Sold at retail.--
``(A) In general.--The term `sold at retail' means the
sale, for a purpose other than resale, after manufacture,
production, or importation.
``(B) Use treated as sale.--If any person uses alternative
fuel (including any use after importation) as a fuel to
propel any qualified alternative fuel motor vehicle (as
defined in section 30B(d)(4)) before such fuel is sold at
retail, then such use shall be treated in the same manner as
if such fuel were sold at retail as a fuel to propel such a
vehicle by such person.
``(c) No Double Benefit.--The amount of any deduction or
other credit allowable under this chapter for any fuel taken
into account in computing the amount of the credit determined
under subsection (a) shall be reduced by the amount of such
credit attributable to such fuel.
``(d) Pass-Thru in the Case of Estates and Trusts.--Under
regulations prescribed by the Secretary, rules similar to the
rules of subsection (d) of section 52 shall apply.
``(e) Termination.--This section shall not apply to any
fuel sold at retail after December 31, 2006.''.
(b) Credit Treated as Business Credit.--Section 38(b)
(relating to current year business credit) is amended by
striking ``plus'' at the end of paragraph (14), by striking
the period at the end of paragraph (15) and inserting ``,
plus'', and by adding at the end the following new paragraph:
``(16) the alternative fuel retail sales credit determined
under section 40A(a).''.
(c) Transitional Rule.--Section 39(d) (relating to
transitional rules) is amended by adding at the end the
following new paragraph:
``(11) No carryback of section 40a credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the alternative fuel
retail sales credit determined under section 40A(a) may be
carried back to a taxable year ending on or before the date
of the enactment of such section.''.
[[Page S1076]]
(d) Clerical Amendment.--The table of sections for subpart
D of part IV of subchapter A of chapter 1 is amended by
inserting after the item relating to section 40 the following
new item:
``Sec. 40A. Credit for retail sale of alternative fuels as motor
vehicle fuel.''.
(e) Effective Date.--The amendments made by this section
shall apply to fuel sold at retail after the date of the
enactment of this Act, in taxable years ending after such
date.
______
SA 2339. Mr. KYL submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Strike section 5442.
______
SA 2342. Mr. TALENT (for himself, Mr. Wyden, Mr. Corzine, and Mr.
Coleman) submitted an amendment intended to be proposed by him to the
bill S. 1072, to authorize funds for Federal-aid highways, highway
safety programs, and transit programs, and for other purposes; which
was ordered to lie on the table; as follows:
On page 1298, after line 24, add the following:
Subtitle H--Build America Bonds
SEC. 5671. SHORT TITLE; ETC.
(a) Short Title.--This subtitle may be cited as the ``Build
America Bonds Act of 2004''.
(b) References to Internal Revenue Code of 1986.--Except as
otherwise expressly provided, whenever in this subtitle an
amendment or repeal is expressed in terms of an amendment to,
or repeal of, a section or other provision, the reference
shall be considered to be made to a section or other
provision of the Internal Revenue Code of 1986.
SEC. 5672. FINDINGS AND PURPOSE.
(a) Findings.--Congress finds the following:
(1) Our Nation's highways, public transportation systems,
and rail systems drive our economy, enabling all industries
to achieve growth and productivity that makes America strong
and prosperous.
(2) The establishment, maintenance, and improvement of the
national transportation network is a national priority, for
economic, environmental, energy, security, and other reasons.
(3) The ability to move people and goods is critical to
maintaining State, metropolitan, rural, and local economies.
(4) The construction of infrastructure requires the skills
of numerous occupations, including those in the contracting,
engineering, planning and design, materials supply,
manufacturing, distribution, and safety industries.
(5) Investing in transportation infrastructure creates
long-term capital assets for the Nation that will help the
United States address its enormous infrastructure needs and
improve its economic productivity.
(6) Investment in transportation infrastructure creates
jobs and spurs economic activity to put people back to work
and stimulate the economy.
(7) Every billion dollars in transportation investment has
the potential to create up to 47,500 jobs.
(8) Every dollar invested in the Nation's transportation
infrastructure yields at least $5.70 in economic benefits
because of reduced delays, improved safety, and reduced
vehicle operating costs.
(9) The proposed increases to the Transportation Equity Act
for the 21st Century (TEA-21) will not be sufficient to
compensate for the Nation's transportation infrastructure
deficit.
(b) Purpose.--The purpose of this subtitle is to provide
financing for long-term infrastructure capital investments
that are not currently being met by existing transportation
and infrastructure investment programs, including mega-
projects, projects of national significance and high priority
projects, multi-State transportation corridors, intermodal
transportation facilities, replacement and reconstruction of
deficient and obsolete bridges, interstate highways, public
transportation systems, and rail systems.
SEC. 5673. CREDIT TO HOLDERS OF BUILD AMERICA BONDS.
(a) In General.--Part IV of subchapter A of chapter 1
(relating to credits against tax) is amended by adding at the
end the following new subpart:
``Subpart H--Nonrefundable Credit for Holders of Build America Bonds
``Sec. 54. Credit to holders of Build America bonds.
``SEC. 54. CREDIT TO HOLDERS OF BUILD AMERICA BONDS.
``(a) Allowance of Credit.--In the case of a taxpayer who
holds a Build America bond on a credit allowance date of such
bond which occurs during the taxable year, there shall be
allowed as a credit against the tax imposed by this chapter
for such taxable year an amount equal to the sum of the
credits determined under subsection (b) with respect to
credit allowance dates during such year on which the taxpayer
holds such bond.
``(b) Amount of Credit.--
``(1) In general.--The amount of the credit determined
under this subsection with respect to any credit allowance
date for a Build America bond is 25 percent of the annual
credit determined with respect to such bond.
``(2) Annual credit.--The annual credit determined with
respect to any Build America bond is the product of--
``(A) the applicable credit rate, multiplied by
``(B) the outstanding face amount of the bond.
``(3) Applicable credit rate.--For purposes of paragraph
(2), the applicable credit rate with respect to an issue is
the rate equal to an average market yield (as of the day
before the date of sale of the issue) on outstanding long-
term corporate debt obligations (determined in such manner as
the Secretary prescribes).
``(4) Credit allowance date.--For purposes of this section,
the term `credit allowance date' means--
``(A) March 15,
``(B) June 15,
``(C) September 15, and
``(D) December 15.
Such term includes the last day on which the bond is
outstanding.
``(5) Special rule for issuance and redemption.--In the
case of a bond which is issued during the 3-month period
ending on a credit allowance date, the amount of the credit
determined under this subsection with respect to such credit
allowance date shall be a ratable portion of the credit
otherwise determined based on the portion of the 3-month
period during which the bond is outstanding. A similar rule
shall apply when the bond is redeemed.
``(c) Limitation Based on Amount of Tax.--
``(1) In general.--The credit allowed under subsection (a)
for any taxable year shall not exceed the excess of--
``(A) the sum of the regular tax liability (as defined in
section 26(b)) plus the tax imposed by section 55, over
``(B) the sum of the credits allowable under this part
(other than this subpart and subpart C).
``(2) Carryover of unused credit.--If the credit allowable
under subsection (a) exceeds the limitation imposed by
paragraph (1) for such taxable year, such excess shall be
carried to the succeeding taxable year and added to the
credit allowable under subsection (a) for such taxable year.
``(d) Credit Included in Gross Income.--Gross income
includes the amount of the credit allowed to the taxpayer
under this section (determined without regard to subsection
(c)) and the amount so included shall be treated as interest
income.
``(e) Build America Bond.--For purposes of this part, the
term `Build America bond' means any bond issued as part of an
issue if--
``(1) the net spendable proceeds from the sale of such
issue are to be used--
``(A) for expenditures incurred after the date of the
enactment of this section for any qualified project, or
``(B) for deposit in the Build America Trust Account for
repayment of Build America bonds at maturity,
``(2) the bond is issued by the Transportation Finance
Corporation, is in registered form, and meets the Build
America bond limitation requirements under subsection (g),
``(3) the Transportation Finance Corporation certifies that
it meets the State contribution requirement of subsection (k)
with respect to such project, as in effect on the date of
issuance,
``(4) the Transportation Finance Corporation certifies that
the State in which an approved qualified project is located
meets the requirement described in subsection (l),
``(5) except for bonds issued in accordance with subsection
(g)(6), the term of each bond which is part of such issue
does not exceed 30 years,
``(6) the payment of principal with respect to such bond is
the obligation of the Transportation Finance Corporation, and
``(7) with respect to bonds described in paragraph (1)(A),
the issue meets the requirements of subsection (h) (relating
to arbitrage).
``(f) Qualified Project.--For purposes of this section--
``(1) In general.--The term `qualified project' means any--
``(A) qualified highway project,
``(B) qualified public transportation project, and
``(C) congestion relief project,
proposed by 1 or more States and approved by the
Transportation Finance Corporation.
``(2) Qualified highway project.--The term `qualified
highway project' means a project for highway facilities or
other facilities which are eligible for assistance under
title 23, United States Code.
``(3) Qualified public transportation project.--The term
`qualified public transportation project' means a project for
public transportation facilities or other facilities which
are eligible for assistance under chapter 53 of title 49,
United States Code.
``(4) Congestion relief project.--The term `congestion
relief project' means an intermodal freight transfer
facility, freight rail facility, freight movement corridor,
intercity passenger rail or facility, intercity bus vehicle
or facility, border crossing facility, or other public or
private facility approved as a congestion relief project by
the Secretary of Transportation. In making such
[[Page S1077]]
approvals, the Secretary of Transportation shall--
``(A) consider the economic, environmental, mobility, and
national security improvements to be realized through the
project, and
``(B) give preference to projects with national or regional
significance, including any projects sponsored by a coalition
of States or a combination of States and private sector
entities, in terms of generating economic benefits,
supporting international commerce, or otherwise enhancing the
national transportation system.
``(g) Limitation on Amount of Bonds Designated; Allocation
of Bond Proceeds.--
``(1) National limitation.--There is a Build America bond
limitation for each calendar year. Such limitation is--
``(A) with respect to bonds described in subsection
(e)(1)(A),
``(i) $11,000,000,000 for 2004,
``(ii) $16,000,000,000 for 2005,
``(iii) $16,000,000,000 for 2006,
``(iv) $6,000,000,000 for 2007,
``(v) $3,500,000,000 for 2008,
``(vi) $3,500,000,000 for 2009, and
``(vii) except as provided in paragraph (5), zero
thereafter, plus
``(B) with respect to bonds described in subsection
(e)(1)(B), such amount each calendar year as determined
necessary by the Transportation Finance Corporation to
provide funds in the Build America Trust Account for the
repayment of Build America bonds at maturity.
``(2) Congestion relief projects.--From Build America bonds
issued under the annual limitation in paragraph (1)(A),
$1,000,000,000 of net spendable proceeds shall be reserved
for each of the calendar years 2004, 2005, 2006, 2007, 2008,
and 2009 for allocation to congestion relief projects.
``(3) Allocation of bonds for highway and public
transportation purposes.--Except with respect to qualified
projects described in subsection (j)(3), and subject to
paragraphs (2) and (4)--
``(A) Qualified highway projects.--From Build America bonds
issued under the annual limitation in paragraph (1)(A), the
Transportation Finance Corporation shall allocate 80 percent
of the net spendable proceeds to the States for qualified
highway projects in the following manner:
``(i) 50 percent of such allocation shall be in accordance
with the formulas for apportioning funds under sections
104(b) and 144 of title 23, United States Code.
``(ii) 50 percent of such allocation shall be for projects,
including projects of national significance and high priority
projects, designated by law.
``(B) Qualified public transportation projects.--From Build
America bonds issued under the annual limitation in paragraph
(1)(A), the Transportation Finance Corporation shall allocate
20 percent of the net spendable proceeds to the States for
qualified public transportation projects in the following
manner:
``(i) 50 percent of such allocation shall be in accordance
with the distribution of public transportation formula grants
under sections 5307, 5308, 5310, 5311, and 5327 of title 49,
United States Code.
``(ii) 50 percent of such allocation shall be for projects,
including projects of national significance and high priority
projects, designated by law.
``(4) Minimum allocations to states.--In making allocations
for each calendar year under paragraph (3), the
Transportation Finance Corporation shall ensure that the
amount allocated for qualified projects located in each State
for such calendar year is not less than 1 percent of the
total amount allocated for such year.
``(5) Carryover of unused issuance limitation.--If for any
calendar year the limitation amount imposed by paragraph (1)
exceeds the amount of Build America bonds issued during such
year, such excess shall be carried forward to one or more
succeeding calendar years as an addition to the limitation
imposed by paragraph (1) and until used by issuance of Build
America bonds.
``(6) Issuance of small denomination bonds.--From the Build
America bond limitation for each year, the Transportation
Finance Corporation shall issue a limited quantity of Build
America bonds in small denominations suitable for purchase as
gifts by individual investors wishing to show their support
for investing in America's infrastructure.
``(h) Special Rules Relating to Arbitrage.--
``(1) In general.--Subject to paragraph (2), an issue shall
be treated as meeting the requirements of this subsection if
as of the date of issuance, the Transportation Finance
Corporation reasonably expects--
``(A) to spend at least 85 percent of the net spendable
proceeds from the sale of the issue for 1 or more qualified
projects within the 5-year period beginning on such date,
``(B) to incur a binding commitment with a third party to
spend at least 10 percent of the net spendable proceeds from
the sale of the issue, or to commence construction, with
respect to such projects within the 12-month period beginning
on such date, and
``(C) to proceed with due diligence to complete such
projects and to spend the net spendable proceeds from the
sale of the issue.
``(2) Spent proceeds.--Net spendable proceeds are
considered spent by the Transportation Finance Corporation
when a sponsor of a qualified project obtains a reimbursement
from the Transportation Finance Corporation for eligible
project costs.
``(3) Rules regarding continuing compliance after 5-year
determination.--If at least 85 percent of the net spendable
proceeds from the sale of the issue is not expended for 1 or
more qualified projects within the 5-year period beginning on
the date of issuance, but the requirements of paragraph (1)
are otherwise met, an issue shall be treated as continuing to
meet the requirements of this subsection if the
Transportation Finance Corporation uses all unspent net
spendable proceeds from the sale of the issue to redeem bonds
of the issue within 90 days after the end of such 5-year
period.
``(4) Reallocation.--In the event the recipient of an
allocation under subsection (g) fails to demonstrate to the
satisfaction of the Transportation Finance Corporation that
its actions will allow the Transportation Finance Corporation
to meet the requirements under this subsection, the
Transportation Finance Corporation may redistribute the
allocation meant for such recipient to other recipients.
``(i) Recapture of Portion of Credit Where Cessation of
Compliance.--
``(1) In general.--If any bond which when issued purported
to be a Build America bond ceases to be such a qualified
bond, the Transportation Finance Corporation shall pay to the
United States (at the time required by the Secretary) an
amount equal to the sum of--
``(A) the aggregate of the credits allowable under this
section with respect to such bond (determined without regard
to subsection (c)) for taxable years ending during the
calendar year in which such cessation occurs and the 2
preceding calendar years, and
``(B) interest at the underpayment rate under section 6621
on the amount determined under subparagraph (A) for each
calendar year for the period beginning on the first day of
such calendar year.
``(2) Failure to pay.--If the Transportation Finance
Corporation fails to timely pay the amount required by
paragraph (1) with respect to such bond, the tax imposed by
this chapter on each holder of any such bond which is part of
such issue shall be increased (for the taxable year of the
holder in which such cessation occurs) by the aggregate
decrease in the credits allowed under this section to such
holder for taxable years beginning in such 3 calendar years
which would have resulted solely from denying any credit
under this section with respect to such issue for such
taxable years.
``(3) Special rules.--
``(A) Tax benefit rule.--The tax for the taxable year shall
be increased under paragraph (2) only with respect to credits
allowed by reason of this section which were used to reduce
tax liability. In the case of credits not so used to reduce
tax liability, the carryforwards and carrybacks under section
39 shall be appropriately adjusted.
``(B) No credits against tax.--Any increase in tax under
paragraph (2) shall not be treated as a tax imposed by this
chapter for purposes of determining--
``(i) the amount of any credit allowable under this part,
or
``(ii) the amount of the tax imposed by section 55.
``(j) Build America Trust Account.--
``(1) In general.--The following amounts shall be held in a
Build America Trust Account by the Transportation Finance
Corporation:
``(A) The proceeds from the sale of all bonds issued under
this section.
``(B) The amount of any matching contributions with respect
to such bonds.
``(C) The investment earnings on proceeds from the sale of
such bonds.
``(D) Any earnings on any amounts described in subparagraph
(A), (B), or (C).
``(2) Use of funds.--Amounts in the Build America Trust
Account may be used only to pay costs of qualified projects,
redeem Build America bonds, and fund the operations of the
Transportation Finance Corporation, except that amounts
withdrawn from the Build America Trust Account to pay costs
of qualified projects may not exceed the aggregate proceeds
from the sale of Build America bonds described in subsection
(e)(1)(A).
``(3) Use of remaining funds in build america trust
account.--Upon the redemption of all Build America bonds
issued under this section, any remaining amounts in the Build
America Trust Account shall be available to the
Transportation Finance Corporation to pay the costs of any
qualified project.
``(4) Costs of qualified projects.--For purposes of this
section, the costs of qualified projects which may be funded
by amounts in the Build America Trust Account may only relate
to capital investments in depreciable assets and may not
include any costs relating to operations, maintenance, or
rolling stock.
``(5) Applicability of federal law.--The requirements of
any Federal law, including titles 23, 40, and 49 of the
United States Code, which would otherwise apply to projects
to which the United States is a party or to funds made
available under such law and projects assisted with those
funds shall apply to--
``(A) funds made available under the Build America Trust
Account for similar qualified projects, including
contributions required under subsection (k), and
``(B) similar qualified projects assisted by the
Transportation Finance Corporation through the use of such
funds.
``(6) Investment.--It shall be the duty of the
Transportation Finance Corporation to invest in investment
grade obligations such portion of the Build America Trust
Account
[[Page S1078]]
as is not, in the judgment of the Board of Directors of the
Transportation Finance Corporation, required to meet current
withdrawals. Such investments may be made in State and local
transportation bonds.
``(k) State Contribution Requirements.--
``(1) In general.--For purposes of subsection (e)(3), the
State contribution requirement of this subsection is met with
respect to any qualified project if the Transportation
Finance Corporation has received from 1 or more States, not
later than the date of issuance of the bond, written
commitments for matching contributions of not less than 20
percent of the cost of the qualified project.
``(2) State matching contributions may not include federal
funds.--For purposes of this subsection, State matching
contributions shall not be derived, directly or indirectly,
from Federal funds, including any transfers from the Highway
Trust Fund under section 9503.
``(l) Utilization of Updated Construction Technology for
Qualified Projects.--For purposes of subsection (e)(4), the
requirement of this subsection is met if the appropriate
State agency relating to the qualified project has updated
its accepted construction technologies to match a list
prescribed by the Secretary of Transportation and in effect
on the date of the approval of the project as a qualified
project.
``(m) Other Definitions and Special Rules.--For purposes of
this section--
``(1) Administrative costs.--The term `administrative
costs' shall only include costs of issuance of Build America
bonds and operation costs of the Transportation Corporation.
``(2) Bond.--The term `bond' includes any obligation.
``(3) Net spendable proceeds.--The term `net spendable
proceeds' means the proceeds from the sale of any Build
America bond issued under this section reduced by not more
than 5 percent of such proceeds for administrative costs.
``(4) State.--The term `State' shall have the meaning given
such term by section 101 of title 23, United States Code.
``(5) Treatment of changes in use.--For purposes of
subsection (e)(1)(A), the net spendable proceeds from the
sale of an issue shall not be treated as used for a qualified
project to the extent that the Transportation Finance
Corporation takes any action within its control which causes
such proceeds not to be used for a qualified project. The
Secretary shall specify remedial actions which may be taken
(including conditions to taking such remedial actions) to
prevent an action described in the preceding sentence from
causing a bond to fail to be a Build America bond.
``(6) Partnership; s corporation; and other pass-thru
entities.--In the case of a partnership, trust, S
corporation, or other pass-thru entity, rules similar to the
rules of section 41(g) shall apply with respect to the credit
allowable under subsection (a).
``(7) Bonds held by regulated investment companies.--If any
Build America bond is held by a regulated investment company,
the credit determined under subsection (a) shall be allowed
to shareholders of such company under procedures prescribed
by the Secretary.
``(8) Credits may be stripped.--Under regulations
prescribed by the Secretary--
``(A) In general.--There may be a separation (including at
issuance) of the ownership of a Build America bond and the
entitlement to the credit under this section with respect to
such bond. In case of any such separation, the credit under
this section shall be allowed to the person who on the credit
allowance date holds the instrument evidencing the
entitlement to the credit and not to the holder of the bond.
``(B) Certain rules to apply.--In the case of a separation
described in subparagraph (A), the rules of section 1286
shall apply to the Build America bond as if it were a
stripped bond and to the credit under this section as if it
were a stripped coupon.
``(9) Credits may be transferred.--Nothing in any law or
rule of law shall be construed to limit the transferability
of the credit or bond allowed by this section through sale
and repurchase agreements.
``(10) Reporting.--The Transportation Finance Corporation
shall submit reports similar to the reports required under
section 149(e).
``(11) Prohibition on Use of Highway Trust Fund.--
Notwithstanding any other provision of law, no funds derived
from the Highway Trust Fund established under section 9503
shall be used to pay costs associated with the Build America
bonds issued under this section.''.
(b) Amendments to Other Code Sections.--
(1) Reporting.--Subsection (d) of section 6049 (relating to
returns regarding payments of interest) is amended by adding
at the end the following new paragraph:
``(8) Reporting of credit on build america bonds.--
``(A) In general.--For purposes of subsection (a), the term
`interest' includes amounts includible in gross income under
section 54(d) and such amounts shall be treated as paid on
the credit allowance date (as defined in section 54(b)(4)).
``(B) Reporting to corporations, etc.--Except as otherwise
provided in regulations, in the case of any interest
described in subparagraph (A), subsection (b)(4) shall be
applied without regard to subparagraphs (A), (H), (I), (J),
(K), and (L)(i) of such subsection.
``(C) Regulatory authority.--The Secretary may prescribe
such regulations as are necessary or appropriate to carry out
the purposes of this paragraph, including regulations which
require more frequent or more detailed reporting.''.
(2) Treatment for estimated tax purposes.--
(A) Individual.--Section 6654 (relating to failure by
individual to pay estimated income tax) is amended by
redesignating subsection (m) as subsection (n) and by
inserting after subsection (l) the following new subsection:
``(m) Special Rule for Holders of Build America Bonds.--For
purposes of this section, the credit allowed by section 54 to
a taxpayer by reason of holding a Build America bond on a
credit allowance date shall be treated as if it were a
payment of estimated tax made by the taxpayer on such
date.''.
(B) Corporate.--Subsection (g) of section 6655 (relating to
failure by corporation to pay estimated income tax) is
amended by adding at the end the following new paragraph:
``(5) Special rule for holders of build america bonds.--For
purposes of this section, the credit allowed by section 54 to
a taxpayer by reason of holding a Build America bond on a
credit allowance date shall be treated as if it were a
payment of estimated tax made by the taxpayer on such
date.''.
(c) Clerical Amendments.--
(1) The table of subparts for part IV of subchapter A of
chapter 1 is amended by adding at the end the following new
item:
``Subpart H. Nonrefundable Credit for Holders of Build America
Bonds.''.
(2) Section 6401(b)(1) is amended by striking ``and G'' and
inserting ``G, and H''.
(d) Effective Date.--The amendments made by this section
shall apply to obligations issued after the date of the
enactment of this Act.
SEC. 5674. TRANSPORTATION FINANCE CORPORATION.
(a) Establishment and Status.--There is established a body
corporate to be known as the ``Transportation Finance
Corporation'' (hereafter in this section referred to as the
``Corporation''). The Corporation is not a department,
agency, or instrumentality of the United States Government,
and shall not be subject to title 31, United States Code.
(b) Principal Office; Application of Laws.--The principal
office and place of business of the Corporation shall be in
the District of Columbia, and, to the extent consistent with
this section, the District of Columbia Business Corporation
Act (D.C. Code 29-301 et seq.) shall apply.
(c) Functions of Corporation.--The Corporation shall--
(1) issue Build America bonds for the financing of
qualified projects as required under section 54 of the
Internal Revenue Code of 1986,
(2) establish and operate the Build America Trust Account
as required under section 54(j) of such Code,
(3) act as a centralized entity to provide financing for
qualified projects,
(4) leverage resources and stimulate public and private
investment in transportation infrastructure,
(5) encourage States to create additional opportunities for
the financing of transportation infrastructure and to provide
technical assistance to States, if needed,
(6) perform any other function the sole purpose of which is
to carry out the financing of qualified projects through
Build America bonds, and
(7) not later than February 15 of each year submit a report
to Congress--
(A) describing the activities of the Corporation for the
preceding year, and
(B) specifying whether the amounts deposited and expected
to be deposited in the Build America Trust Account are
sufficient to fully repay at maturity the principal of any
outstanding Build America bonds issued pursuant to such
section 54.
(d) Powers of Corporation.--The Corporation--
(1) may sue and be sued, complain and defend, in its
corporate name, in any court of competent jurisdiction,
(2) may adopt, alter, and use a seal, which shall be
judicially noticed,
(3) may prescribe, amend, and repeal such rules and
regulations as may be necessary for carrying out the
functions of the Corporation,
(4) may make and perform such contracts and other
agreements with any individual, corporation, or other private
or public entity however designated and wherever situated, as
may be necessary for carrying out the functions of the
Corporation,
(5) may determine and prescribe the manner in which its
obligations shall be incurred and its expenses allowed and
paid,
(6) may, as necessary for carrying out the functions of the
Corporation, employ and fix the compensation of employees and
officers,
(7) may lease, purchase, or otherwise acquire, own, hold,
improve, use, or otherwise deal in and with such property
(real, personal, or mixed) or any interest therein, wherever
situated, as may be necessary for carrying out the functions
of the Corporation,
(8) may accept gifts or donations of services or of
property (real, personal, or mixed), tangible or intangible,
in furtherance of the purposes of this Act, and
(9) shall have such other powers as may be necessary and
incident to carrying out this Act.
[[Page S1079]]
(e) Nonprofit Entity; Restriction on Use of Moneys;
Conflict of Interests; Audits.--
(1) Nonprofit entity.--The Corporation shall be a nonprofit
corporation and shall have no capital stock.
(2) Restriction.--No part of the Corporation's revenue,
earnings, or other income or property shall inure to the
benefit of any of its directors, officers, or employees, and
such revenue, earnings, or other income or property shall
only be used for carrying out the purposes of this Act.
(3) Conflict of interests.--No director, officer, or
employee of the Corporation shall in any manner, directly or
indirectly participate in the deliberation upon or the
determination of any question affecting his or her personal
interests or the interests of any corporation, partnership,
or organization in which he or she is directly or indirectly
interested.
(4) Audits.--
(A) Audits by independent certified public accountants.--
(i) In general.--The Corporation's financial statements
shall be audited annually in accordance with generally
accepted auditing standards by independent certified public
accountants that are certified by a regulatory authority of a
State or other political subdivision of the United States.
The audits shall be conducted at the place or places where
the accounts of the Corporation are normally kept. All books,
accounts, financial records, reports, files, and all other
papers, things, or property belonging to or in use by the
Corporation and necessary to facilitate the audit shall be
made available to the person or persons conducting the
audits, and full facilities for verifying transactions with
the balances or securities held by depositories, fiscal
agents, and custodians shall be afforded to such person or
persons.
(ii) Reporting requirements.--The report of each annual
audit described in clause (i) shall be included in the annual
report required by subsection (c)(8).
(B) Record keeping requirements.--The Corporation shall
ensure that each recipient of assistance from the Corporation
keeps--
(i) separate accounts with respect to such assistance,
(ii) such records as may be reasonably necessary to fully
disclose--
(I) the amount and the disposition by such recipient of the
proceeds of such assistance,
(II) the total cost of the project or undertaking in
connection with which such assistance is given or used, and
the extent to which such costs are for a qualified project,
and
(III) the amount and nature of that portion of the cost of
the project or undertaking supplied by other sources, and
(iii) such other records as will facilitate an effective
audit.
(C) Audit and examination of books.--The Corporation shall
ensure that the Corporation, or any of the Corporation's duly
authorized representatives, shall have access for the purpose
of audit and examination to any books, documents, papers, and
records of any recipient of assistance from the Corporation
that are pertinent to such assistance.
(f) Exemption From Taxes.--
(1) In general.--The Corporation, including its franchise,
capital, reserves, surplus, sinking funds, mortgages or other
security holdings, and income, shall be exempt from all
taxation now or hereafter imposed by the United States, by
any territory, dependency, or possession thereof, or by any
State, county, municipality, or local taxing authority,
except that any real property of the Corporation shall be
subject to State, territorial, county, municipal, or local
taxation to the same extent according to its value as other
real property is taxed.
(2) Financial obligations.--Build America bonds or other
obligations issued by the Corporation and the interest on or
tax credits with respect to its bonds or other obligations
shall not be subject to taxation by any State, county,
municipality, or local taxing authority.
(g) Assistance for Transportation Purposes.--
(1) In general.--In order to carry out the corporate
functions described in subsection (c), the Corporation shall
be eligible to receive discretionary grants, contracts,
gifts, contributions, or technical assistance from any
Federal department or agency, to the extent permitted by law.
(2) Agreement.--In order to receive any assistance
described in this subsection, the Corporation shall enter
into an agreement with the Federal department or agency
providing such assistance, under which the Corporation
agrees--
(A) to use such assistance to provide funding and technical
assistance only for activities which the Board of Directors
of the Corporation determines are consistent with the
corporate functions described in subsection (c), and
(B) to review the activities of State transportation
agencies and other entities receiving assistance from the
Corporation to assure that the corporate functions described
in subsection (c) are carried out.
(3) Construction.--Nothing in this section shall be
construed to establish the Corporation as a department,
agency, or instrumentality of the United States Government,
or to establish the members of the Board of Directors of the
Corporation, or the officers and employees of the
Corporation, as officers or employees of the United States
Government.
(h) Management of Corporation.--
(1) Board of directors; membership; designation of
chairperson and vice chairperson; appointment considerations;
term; vacancies.--
(A) Board of directors.--The management of the Corporation
shall be vested in a board of directors composed of 15
members appointed by the President, by and with the advice
and consent of the Senate.
(B) Chairperson and vice chairperson.--The President shall
designate 1 member of the Board to serve as Chairperson of
the Board and 1 member to serve as Vice Chairperson of the
Board.
(C) Individuals from private life.--Eleven members of the
Board shall be appointed from private life.
(D) Federal officers and employees.--Four members of the
Board shall be appointed from among officers and employees of
agencies of the United States concerned with infrastructure
development.
(E) Appointment considerations.--All members of the Board
shall be appointed on the basis of their understanding of and
sensitivity to infrastructure development processes. Members
of the Board shall be appointed so that not more than 8
members of the Board are members of any 1 political party.
(F) Terms.--Members of the Board shall be appointed for
terms of 3 years, except that of the members first appointed,
as designated by the President at the time of their
appointment, 5 shall be appointed for terms of 1 year and 5
shall be appointed for terms of 2 years.
(G) Vacancies.--A member of the Board appointed to fill a
vacancy occurring before the expiration of the term for which
that member's predecessor was appointed shall be appointed
only for the remainder of that term. Upon the expiration of a
member's term, the member shall continue to serve until a
successor is appointed and is qualified.
(2) Compensation, actual, necessary, and transportation
expenses.--Members of the Board shall serve without
additional compensation, but may be reimbursed for actual and
necessary expenses not exceeding $100 per day, and for
transportation expenses, while engaged in their duties on
behalf of the Corporation.
(3) Quorum.--A majority of the Board shall constitute a
quorum.
(4) President of corporation.--The Board of Directors shall
appoint a president of the Corporation on such terms as the
Board may determine.
______
SA 2341. Mr. TALENT (for himself, and Mr. Wyden) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 1005, line 22, strike all through page
1020, line 9, and insert the following:
SEC. 4602. ESTABLISHMENT OF BUILD AMERICA CORPORATION.
There is established a nonprofit corporation, to be known
as the ``Build America Corporation''. The Build America
Corporation is not an agency or establishment of the United
States Government. The purpose of the Corporation is to
support qualified projects described in section 4603(c)(2)
through the issuance of Build America bonds. The Corporation
shall be subject, to the extent consistent with this section,
to the laws of the State of Delaware applicable to
corporations not for profit.
SEC. 4603. FEDERAL BONDS FOR TRANSPORTATION INFRASTRUCTURE.
(a) Use of Bond Proceeds.--The proceeds from the sale of--
(1) any bonds authorized, issued, or guaranteed by the
Federal Government that are available to fund passenger rail
projects pursuant to any Federal law (enacted before, on, or
after the date of the enactment of this Act), and
(2) any Build America bonds issued by the Build America
Corporation as authorized by section 4602,
may be used to fund a qualified project if the Secretary of
Transportation determines that the qualified project is a
more cost-effective alternative for efficiently maximizing
mobility of individuals and goods than a passenger rail
project.
(b) Compliance of Beneficiaries With Certain Standards.--A
recipient of proceeds of a grant, loan, Federal tax-credit
bonds, or any other form of financial assistance provided
under this title shall comply with the standards described in
section 24312 of title 49, United States Code, as in effect
on June 25, 2003, with respect to any qualified project
described in subsection (c)(1) in the same manner that the
National Passenger Railroad Corporation is required to comply
with such standards for construction work financed under an
agreement entered into under section 24308(a) of such title.
(c) Qualified Project Defined.--In this section--
(1) In general.--Except as provided in paragraph (2), the
term ``qualified project'' means any transportation
infrastructure project of any governmental unit or other
person that is proposed by a State, including a highway
project, a transit system project, a railroad project, an
airport project, a port project, and an inland waterways
project.
[[Page S1080]]
(2) Build america corporation projects.--
(A) In general.--With respect to any Build America bonds
issued by the Build America Corporation as authorized by
section 4602, the term ``qualified project'' means any--
(i) qualified highway project,
(ii) qualified public transportation project, and
(iii) congestion relief project,
proposed by 1 or more States and approved by the Build
America Corporation, which meets the requirements under
clauses (i), (ii), and (iii) of subparagraph (D).
(B) Qualified highway project.--The term ``qualified
highway project'' means a project for highway facilities or
other facilities which are eligible for assistance under
title 23, United States Code.
(C) Qualified public transportation project.--The term
``qualified public transportation project'' means a project
for public transportation facilities or other facilities
which are eligible for assistance under chapter 53 of title
49, United States Code.
(D) Congestion relief project.--The term ``congestion
relief project'' means an intermodal freight transfer
facility, freight rail facility, freight movement corridor,
intercity passenger rail or facility, intercity bus vehicle
or facility, border crossing facility, or other public or
private facility approved as a congestion relief project by
the Secretary of Transportation. In making such approvals,
the Secretary of Transportation shall--
(i) consider the economic, environmental, mobility, and
national security improvements to be realized through the
project, and
(ii) give preference to projects with national or regional
significance, including any projects sponsored by a coalition
of States or a combination of States and private sector
entities, in terms of generating economic benefits,
supporting international commerce, or otherwise enhancing the
national transportation system.
(D) Additional requirements for qualified projects.--For
purposes of subparagraph (A)--
(i) Costs of qualified projects.--The requirement of this
clause is met if the costs of the qualified project funded by
Build America bonds only relate to capital investments in
depreciable assets and do not include any costs relating to
operations, maintenance, or rolling stock.
(ii) Applicability of federal law.--The requirement of this
clause is met if the requirements of any Federal law,
including titles 23, 40, and 49 of the United States Code,
which would otherwise apply to projects to which the United
States is a party or to funds made available under such law
and projects assisted with those funds are applied to--
(I) funds made available under Build America bonds for
similar qualified projects, and
(II) similar qualified projects assisted by the Build
America Corporation through the use of such funds.
(iii) Utilization of updated construction technology for
qualified projects.--The requirement of this clause is met if
the appropriate State agency relating to the qualified
project has updated its accepted construction technologies to
match a list prescribed by the Secretary of Transportation
and in effect on the date of the approval of the project as a
qualified project.
Part 2--Railroad Track Modernization
SEC. 4631. SHORT TITLE.
This part may be cited as the ``Railroad Track
Modernization Act of 2004''.
SEC. 4632. CAPITAL GRANTS FOR RAILROAD TRACK.
(a) Authority.--Chapter 223 of title 49, United States
Code, is amended to read as follows:
``CHAPTER 223--CAPITAL GRANTS FOR RAILROAD TRACK
``Sec.
``22301. Capital grants for railroad track.
``Sec. 22301. Capital grants for railroad track
``(a) Establishment of Program.--
``(1) Establishment.--The Secretary of Transportation shall
establish a program of capital grants for the rehabilitation,
preservation, or improvement of railroad track (including
roadbed, bridges, and related track structures) of class II
and class III railroads. Such grants shall be for
rehabilitating, preserving, or improving track used primarily
for freight transportation to a standard ensuring that the
track can be operated safely and efficiently, including
grants for rehabilitating, preserving, or improving track to
handle 286,000 pound rail cars. Grants may be provided under
this chapter--
``(A) directly to the class II or class III railroad; or
``(B) with the concurrence of the class II or class III
railroad, to a State or local government.
``(2) State cooperation.--Class II and class III railroad
applicants for a grant under this chapter are encouraged to
utilize the expertise and assistance of State transportation
agencies in applying for and administering such grants. State
transportation agencies are encouraged to provide such
expertise and assistance to such railroads.
``(3) Regulations.--
``(A) In general.--The Secretary shall prescribe
regulations to carry out the program under this section.
``(B) Criteria.--In developing the regulations, the
Secretary shall establish criteria that--
``(i) condition the award of a grant to a railroad on
reasonable assurances by the railroad that the facilities to
be rehabilitated and improved will be economically and
efficiently utilized;
``(ii) ensure that the award of a grant is justified by
present and probable future demand for rail services by the
railroad to which the grant is to be awarded;
``(iii) ensure that consideration is given to projects that
are part of a State-sponsored rail plan; and
``(iv) ensure that all such grants are awarded on a
competitive basis.
``(b) Maximum Federal Share.--The maximum Federal share for
carrying out a project under this section shall be 80 percent
of the project cost. The non-Federal share may be provided by
any non-Federal source in cash, equipment, or supplies. Other
in-kind contributions may be approved by the Secretary on a
case by case basis consistent with this chapter.
``(c) Project Eligibility.--For a project to be eligible
for assistance under this section the track must have been
operated or owned by a class II or class III railroad as of
the date of the enactment of the Railroad Track Modernization
Act of 2004.
``(d) Use of Funds.--Grants provided under this section
shall be used to implement track capital projects as soon as
possible. In no event shall grant funds be contractually
obligated for a project later than the end of the third
Federal fiscal year following the year in which the grant was
awarded. Any funds not so obligated by the end of such fiscal
year shall be returned to the Secretary for reallocation.
``(e) Additional Purpose.--In addition to making grants for
projects as provided in subsection (a), the Secretary may
also make grants to supplement direct loans or loan
guarantees made under title V of the Railroad Revitalization
and Regulatory Reform Act of 1976 (45 U.S.C. 822(d)), for
projects described in the last sentence of section 502(d) of
such title. Grants made under this subsection may be used, in
whole or in part, for paying credit risk premiums, lowering
rates of interest, or providing for a holiday on principal
payments.
``(f) Employee Protection.--The Secretary shall require as
a condition of any grant made under this section that the
recipient railroad provide a fair arrangement at least as
protective of the interests of employees who are affected by
the project to be funded with the grant as the terms imposed
under section 11326(a), as in effect on the date of the
enactment of the Railroad Track Modernization Act of 2001.
``(g) Labor Standards.--
``(1) Prevailing wages.--The Secretary shall ensure that
laborers and mechanics employed by contractors and
subcontractors in construction work financed by a grant made
under this section will be paid wages not less than those
prevailing on similar construction in the locality, as
determined by the Secretary of Labor under the Act of March
3, 1931 (known as the Davis-Bacon Act; 40 U.S.C. 276a et
seq.). The Secretary shall make a grant under this section
only after being assured that required labor standards will
be maintained on the construction work.
``(2) Wage rates.--Wage rates in a collective bargaining
agreement negotiated under the Railway Labor Act (45 U.S.C.
151 et seq.) are deemed for purposes of this subsection to
comply with the Act of March 3, 1931 (known as the Davis-
Bacon Act; 40 U.S.C. 276a et seq.).''.
(b) Conforming Amendment.--The item relating to chapter 223
in the table of chapters of subtitle V of title 49, United
States Code, is amended to read as follows:
``223. CAPITAL GRANTS FOR RAILROAD TRACK.......................22301''.
SEC. 4633. REGULATIONS.
(a) Regulations.--The Secretary of Transporation shall
prescribe under subsection (a)(3) of section 22301 of title
49, United States Code (as added by section 4601), interim
and final regulations for the administration of the grant
program under such section as follows:
(1) Interim regulations.--The Secretary shall prescribe the
interim regulations to implement the program not later than
December 31, 2003.
(2) Final regulations.--The Secretary shall prescribe the
final regulations not later than October 1, 2004.
(b) Inapplicability of Rulemaking Procedure to Interim
Regulations.--Subchapter II of chapter 5 of title 5, United
States Code, shall not apply to the issuance of an interim
regulation or to any amendment of such an interim regulation.
(c) Criteria.--The requirement for the establishment of
criteria under subparagraph (B) of section 22301(a)(3) of
title 49, United States Code, applies to the interim
regulations as well as to the final regulations.
SEC. 4634. STUDY OF GRANT-FUNDED PROJECTS.
(a) Requirement for Study.--The Secretary of Transportation
shall conduct a study of the projects carried out with grant
assistance under section 22301 of title 49, United States
Code (as added by section 4601), to determine the public
interest benefits associated with the light density railroad
networks in the States and their contribution to a multimodal
transportation system.
(b) Report.--Not later than March 31, 2004, the Secretary
shall submit to Congress a report on the results of the study
under subsection (a). The report shall include any
recommendations that the Secretary considers appropriate
regarding the eligibility of light density rail networks for
Federal infrastructure financing.
[[Page S1081]]
SEC. 4635. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to the Secretary of
Transportation $350,000,000 for each of fiscal years 2004,
2005, and 2006 for carrying out section 22301 of title 49,
United States Code (as added by section 4601).
Part 3--Other Rail Transportation-related Provisions
SEC. 4661. CAPITAL GRANTS FOR RAIL LINE RELOCATION PROJECTS.
(a) Establishment of Program.--
(1) Program requirements.--Chapter 201 of title 49, United
States Code, is amended by adding at the end of subchapter II
the following:
``Sec. 20154. Capital grants for rail line relocation
projects
``(a) Establishment of Program.--The Secretary of
Transportation shall carry out a grant program to provide
financial assistance for local rail line relocation projects.
``(b) Eligibility.--A State is eligible for a grant under
this section for any project for the improvement of the route
or structure of a rail line passing through a municipality of
the State that--
``(1) is carried out for the purpose of mitigating the
adverse effects of rail traffic on safety, motor vehicle
traffic flow, or economic development in the municipality;
``(2) involves a lateral or vertical relocation of any
portion of the rail line within the municipality to avoid a
closing of a grade crossing or the construction of a road
underpass or overpass; and
``(3) meets the costs-benefits requirement set forth in
subsection (c).
``(c) Costs-Benefits Requirement.--A grant may be awarded
under this section for a project for the relocation of a rail
line only if the benefits of the project for the period equal
to the estimated economic life of the relocated rail line
exceed the costs of the project for that period, as
determined by the Secretary considering the following
factors:
``(1) The effects of the rail line and the rail traffic on
motor vehicle and pedestrian traffic, safety, and area
commerce if the rail line were not so relocated.
``(2) The effects of the rail line, relocated as proposed,
on motor vehicle and pedestrian traffic, safety, and area
commerce.
``(3) The effects of the rail line, relocated as proposed,
on the freight and passenger rail operations on the rail
line.
``(d) Considerations for Approval of Grant Applications.--
In addition to considering the relationship of benefits to
costs in determining whether to award a grant to an eligible
State under this section, the Secretary shall consider the
following factors:
``(1) The capability of the State to fund the rail line
relocation project without Federal grant funding.
``(2) The requirement and limitation relating to allocation
of grant funds provided in subsection (e).
``(3) Equitable treatment of the various regions of the
United States.
``(e) Allocation Requirements.--
``(1) Grants not greater than $20,000,000.--At least 50
percent of all grant funds awarded under this section out of
funds appropriated for a fiscal year shall be provided as
grant awards of not more than $20,000,000 each.
``(2) Limitation per project.--Not more than 25 percent of
the total amount available for carrying out this section for
a fiscal year may be provided for any 1 project in that
fiscal year.
``(f) Federal Share.--The total amount of a grant awarded
under this section for a rail line relocation project shall
be 90 percent of the shared costs of the project, as
determined under subsection (g)(4).
``(g) State Share.--
``(1) Percentage.--A State shall pay 10 percent of the
shared costs of a project that is funded in part by a grant
awarded under this section.
``(2) Forms of contributions.--The share required by
paragraph (1) may be paid in cash or in kind.
``(3) In-kind contributions.--The in-kind contributions
that are permitted to be counted under paragraph (2) for a
project for a State are as follows:
``(A) A contribution of real property or tangible personal
property (whether provided by the State or a person for the
State).
``(B) A contribution of the services of employees of the
State, calculated on the basis of costs incurred by the State
for the pay and benefits of the employees, but excluding
overhead and general administrative costs.
``(C) A payment of any costs that were incurred for the
project before the filing of an application for a grant for
the project under this section, and any in-kind contributions
that were made for the project before the filing of the
application, if and to the extent that the costs were
incurred or in-kind contributions were made, as the case may
be, to comply with a provision of a statute required to be
satisfied in order to carry out the project.
``(4) Costs not shared.--
``(A) In general.--For the purposes of subsection (f) and
this subsection, the shared costs of a project in a
municipality do not include any cost that is defrayed with
any funds or in-kind contribution that a source other than
the municipality makes available for the use of the
municipality without imposing at least 1 of the following
conditions:
``(i) The condition that the municipality use the funds or
contribution only for the project.
``(ii) The condition that the availability of the funds or
contribution to the municipality is contingent on the
execution of the project.
``(B) Determinations of the secretary.--The Secretary shall
determine the amount of the costs, if any, that are not
shared costs under this paragraph and the total amount of the
shared costs. A determination of the Secretary shall be
final.
``(h) Multistate Agreements To Combine Amounts.--Two or
more States (not including political subdivisions of States)
may, pursuant to an agreement entered into by the States,
combine any part of the amounts provided through grants for a
project under this section if--
``(1) the project will benefit each of the States entering
into the agreement; and
``(2) the agreement is not a violation of a law of any such
State.
``(i) Regulations.--The Secretary shall prescribe
regulations for carrying out this section.
``(j) State Defined.--In this section, the term `State'
includes, except as otherwise specifically provided, a
political subdivision of a State.
``(k) Authorization of Appropriations.--There are
authorized to be appropriated to the Secretary for use in
carrying out this section $350,000,000 for each of the fiscal
years 2004 through 2008.''.
(2) Clerical amendment.--The chapter analysis for such
chapter is amended by adding at the end the following:
``20154. Capital grants for rail line relocation projects.''.
(b) Regulations.--
(1) Interim regulations.--Not later than October 1, 2003,
the Secretary of Transportation shall issue temporary
regulations to implement the grant program under section
20154 of title 49, United States Code, as added by subsection
(a). Subchapter II of chapter 5 of title 5, United States
Code, shall not apply to the issuance of a temporary
regulation under this subsection or of any amendment of such
a temporary regulation.
(2) Final regulations.--Not later than April 1, 2004, the
Secretary shall issue final regulations implementing the
program.
______
SA 2342. Mr. TALENT (for himself, Mr. Allen, and Mr. Burns) submitted
an amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 908, after line 23, add the following:
SEC. 4304A. DEFINITION OF INDIVIDUAL SHIPPER.
Section 13102 is amended--
(1) by redesignating paragraphs (12) through (24) as
paragraphs (13) through (25), respectively; and
(2) by inserting after paragraph (11) the following new
paragraph (12):
``(12) Individual shipper.--The term `individual shipper'
means any person who is the shipper consignor or consignee of
a household goods shipment, that is identified as either the
shipper, consignor, or consignee on the face of the bill of
lading, who owns the goods being or to be transported, and
who pays his or her own tariff transportation charges. The
term applies only to Cash-On-Deliver shippers of household
goods.''.
On page 910, strike lines 3 through 13 and insert the
following:
``(C) Additional transportation services.--
``(i) In general.--Clauses (i) and (ii) of subparagraph (A)
shall not apply to tariff transportation charges for
transportation services made necessary by impracticable
operations, as defined in the applicable carrier tariff, or
for additional services requested by the shipper that are not
included in the estimate.
``(ii) Responsibility for payment.--A shipper shall be
responsible to pay a carrier for charges described in clause
(i), in full either by cash or certified funds, before the
carrier shall be required to relinquish possession of the
household goods shipment.
``(iii) Payment by credit card.--Notwithstanding clause
(ii) or any payment arrangement between a shipper and a
carrier before the date of the delivery of a household goods
shipment, a shipper shall, upon pre-approval from a
recognized credit institution, be allowed to pay by credit
card for tariff transportation charges described in clause
(i).
``(D) Failure to make payment.--
``(i) In general.--If a shipper is not able to pay tariff
transportation charges described in subparagraph (C)(i) in
full before the carrier shall be required to relinquish
possession of the household goods shipment, the carrier may
relinquish possession of the household goods shipment for
payment of an amount equal to 100 percent of the binding
estimated charges or 110 percent of the non-binding estimated
charges.
``(ii) Continuing refusal.--If a shipper refuses to pay the
balance of the tariff transportation charges described in
subparagraph (C)(i), or the additional charges that exceed
the estimated charges provided for under clauses (i) and (ii)
of subparagraph (A), under this subparagraph within 30 days
of the date of delivery of the household goods shipment, the
carrier is required to institute litigation to collect such
charges, and the carrier is successful in such litigation,
the shipper shall be liable to the carrier for its reasonable
attorney fees in such litigation. If the
[[Page S1082]]
carrier is not successful in such litigation, the carrier
shall be responsible for the reasonable attorney fees of the
shipper in such litigation.''.
On page 911, beginning on line 16, strike ``. Before the
execution'' and all that follows through ``provide the
shipper'' and insert ``and''.
On page 912, line 1, strike ``The written'' and insert
``Unless waived in writing by the shipper, the written''.
On page 912, beginning on line 4, strike ``of the
location'' and all that follows through ``preparing the
estimate.'' and insert ``, or within a one-hour driving
radius, whichever is less, of the location of the carrier's
disclosed household goods agent preparing the estimate.''.
On page 912, line 11, strike ``(e)'' and insert ``(d)''.
On page 912, strike line 14 and all that follows through
page 913, line 3.
On page 913, line 4, strike ``(d)'' and insert ``(c)''.
On page 915, strike lines 5 through 9 and insert the
following:
(2) by striking ``shippers of household goods concerning
damage or loss to the household goods transported.'' and
inserting ``individual shippers of household goods concerning
damage or loss to the household goods transported, concerning
disputes over tariff transportation charges, or concerning
the delay of delivery of the household goods transported.'';
and
On page 915, strike line 21 and all that follows through
page 916, line 21.
On page 916, line 22, strike ``(c)'' and insert ``(b)''.
On page 917, line 20, strike ``(d)'' and insert ``(c)''.
On page 920, strike line 3 and all that follows through
page 923, in the matter following line 14, and insert the
following:
``Sec. 14710. Enforcement of Federal regulations by State
attorneys general
``(a) In General.--A State, as parens patriae, may bring a
civil action on behalf of its residents in an appropriate
district court of the United States--
``(1) to enforce a regulation or order of the Secretary or
Board protecting an individual shipper of household goods,
but only if such regulation or order governs the delivery of
such household goods; or
``(2) to impose civil penalties authorized by section 14915
of this title whenever the attorney general of the State has
reason to believe that the interests of its residents have
been or are being threatened or adversely affected by--
``(A) a carrier or broker providing transportation of
household goods subject to jurisdiction under subchapter I or
III of chapter 135 of this title by a pattern of violations
of section 14915 of this title; or
``(B) a foreign motor carrier providing transportation
registered under section 13902 of this title that is engaged
in household goods transportation on behalf of individuals by
a pattern of violations of section 14915 of this title.
``(b) Exception.--A State, as parens patriae, may not
initiate a class civil action on behalf of its residents to
enforce a regulation or order of the Secretary or the Board.
``(c) Enforcement of State Law.--Nothing in this section
shall prohibit an authorized State official from proceeding
in State court to enforce a criminal statute of such
State.''.
(2) Conforming amendment.--The analysis for chapter 147 is
amended by inserting after the item relating to section 14709
the following new item:
``14710. Enforcement of Federal regulations by State attorneys
general.''.
On page 923, beginning on line 23, strike ``and Federal and
local law enforcement officials'' and insert ``Federal and
local law enforcement officials, and industries involved in
the transportation of household goods''.
On page 924, strike lines 7 through 9 and insert ``the
working group shall consult with the public and other
interested parties.''.
On page 925, strike line 18 and all that follows through
page 927, line 20, and insert the following:
``The Secretary shall--
``(1) establish a system to file and log complaints made by
shippers that relate to motor carrier transportation of
household goods;
``(2) establish a database of such complaints; and
``(3) develop procedures--
``(A) to forward such a complaint to the motor carrier
named in such complaint;
``(B) to permit motor carriers to challenge information in
the database; and
``(C) to provide, for each motor carrier named in
complaints in the database, the percentage of such complaints
disputed by such motor carrier.''.
On page 928, line 15, insert ``and'' after the semicolon.
On page 928, strike lines 19 through 21 and insert the
following:
goods.
______
SA 2343. Mr. FEINGOLD submitted an amendment intended to be proposed
by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 1310, after line 4, insert the following:
TITLE VII--BUY AMERICAN ACT IMPROVEMENTS
SEC. 7001. SHORT TITLE.
This title may be cited as the ``Buy American Improvement
Act of 2003''.
SEC. 7002. REQUIREMENTS FOR WAIVERS.
(a) In General.--Section 2 of the Buy American Act (41
U.S.C. 10a) is amended--
(1) by striking ``Notwithstanding'' and inserting the
following:
``(a) In General.--Notwithstanding''; and
(2) by adding at the end the following:
``(b) Special Rules.--The following rules shall apply in
carrying out the provisions of subsection (a):
``(1) Public interest waiver.--A determination that it is
not in the public interest to enter into a contract in
accordance with this Act may not be made after a notice of
solicitation of offers for the contract is published in
accordance with section 18 of the Office of Federal
Procurement Policy Act (41 U.S.C. 416) and section 8(e) of
the Small Business Act (15 U.S.C. 637(e)).
``(2) Domestic bidder.--A Federal agency entering into a
contract shall give preference to a company submitting an
offer on the contract that manufactures in the United States
the article, material, or supply for which the offer is
solicited, if--
``(A) that company's offer is substantially the same as an
offer made by a company that does not manufacture the
article, material, or supply in the United States; or
``(B) that company is the only company that manufactures in
the United States the article, material, or supply for which
the offer is solicited.
``(3) Use outside the united states.--
``(A) In general.--Subsection (a) shall apply without
regard to whether the articles, materials, or supplies to be
acquired are for use outside the United States if the
articles, materials, or supplies are not needed on an urgent
basis or if they are acquired on a regular basis.
``(B) Cost analysis.--In any case where the articles,
materials, or supplies are to be acquired for use outside the
United States and are not needed on an urgent basis, before
entering into a contract an analysis shall be made of the
difference in the cost for acquiring the articles, materials,
or supplies from a company manufacturing the articles,
materials, or supplies in the United States (including the
cost of shipping) and the cost for acquiring the articles,
materials, or supplies from a company manufacturing the
articles, materials, or supplies outside the United States
(including the cost of shipping).
``(4) Domestic availability.--The head of a Federal agency
may not make a determination under subsection (a) that an
article, material, or supply is not mined, produced, or
manufactured, as the case may be, in the United States in
sufficient and reasonably available commercial quantities and
of satisfactory quality, unless the head of the agency has
conducted a study and, on the basis of such study, determined
that--
``(A) domestic production cannot be initiated to meet the
procurement needs; and
``(B) a comparable article, material, or supply is not
available from a company in the United States.
``(c) Reports.--
``(1) In general.--Not later than 60 days after the end of
each fiscal year, the head of each Federal agency shall
submit to Congress a report on the acquisitions that were
made of articles, materials, or supplies by the agency in
that fiscal year from entities that manufacture the articles,
materials, or supplies outside the United States.
``(2) Content of report.--The report for a fiscal year
under paragraph (1) shall separately indicate the following
information:
``(A) The dollar value of any articles, materials, or
supplies that were manufactured outside the United States.
``(B) An itemized list of all waivers granted with respect
to such articles, materials, or supplies under this Act.
``(C) A summary of--
``(i) the total procurement funds expended on articles,
materials, and supplies manufactured inside the United
States; and
``(ii) the total procurement funds expended on articles,
materials, and supplies manufactured outside the United
States.
``(3) Public availability.--The head of each Federal agency
submitting a report under paragraph (1) shall make the report
publicly available by posting on an Internet website.''.
(b) Definitions.--Section 1 of the Buy American Act (41
U.S.C. 10c) is amended by striking subsection (c) and
inserting the following:
``(c) Federal Agency.--The term `Federal agency' means any
executive agency (as defined in section 4(1) of the Federal
Procurement Policy Act (41 U.S.C. 403(1))) or any
establishment in the legislative or judicial branch of the
Government.''.
(c) Conforming Amendments.--
(1) Section 2 of the Buy American Act (41 U.S.C. 10a) is
amended by striking ``department or independent
establishment'' and inserting ``Federal agency''.
(2) Section 3 of such Act (41 U.S.C. 10b) is amended--
(A) by striking ``department or independent establishment''
in subsection (a), and inserting ``Federal agency''; and
(B) by striking ``department, bureau, agency, or
independent establishment'' in subsection (b) and inserting
``Federal agency''.
(3) Section 633 of the National Military Establishment
Appropriations Act, 1950 (41
[[Page S1083]]
U.S.C. 10d) is amended by striking ``department or
independent establishment'' and inserting ``Federal agency''.
SEC. 7003. GAO REPORT AND RECOMMENDATIONS.
(a) Requirement for Report.--
(1) In general.--Not later than 6 months after the date of
enactment of this Act, the Comptroller General of the United
States shall report to Congress recommendations for
determining, for purposes of applying the waiver provision of
section 2(a) of the Buy American Act--
(A) unreasonable cost; and
(B) inconsistent with the public interest.
(2) Report to include recommended definitions.--The report
shall include recommendations for a statutory definition of
unreasonable cost and standards for determining inconsistency
with the public interest.
(b) Waiver Procedures.--The report described in subsection
(a) shall also include recommendations for establishing
procedures for applying the waiver provisions of the Buy
American Act that can be consistently applied.
SEC. 7004. DUAL-USE TECHNOLOGIES.
The head of a Federal agency (as defined in section 1(c) of
the Buy American Act (as amended by section 7002)) may not
enter into a contract, nor permit a subcontract under a
contract of the Federal agency, with a foreign entity that
involves giving the foreign entity plans, manuals, or other
information that would facilitate the manufacture of a dual-
use item on the Commerce Control List unless approval for
providing such plans, manuals, or information has been
obtained in accordance with the provisions of the Export
Administration Act of 1979 (50 U.S.C. App. 2401 et seq.) and
the Export Administration Regulations (15 C.F.R. part 730 et
seq.).
______
SA 2344. Mr. DAYTON submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. 1815. RURAL ROAD SAFETY PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1814(a)), is
amended by adding at the end the following:
``Sec. 176. Rural road safety program
``(a) Findings.--Congress finds that it is in the vital
interest of the Nation that a rural road safety program be
established to ensure that the safety of the traveling public
is enhanced on rural two-lane highways.
``(b) Establishment.--The Secretary shall establish and
implement a rural road safety program in accordance with this
section.
``(c) Apportionments.--
``(1) In general.--On October 1 of each fiscal year, the
Secretary shall apportion to each State to carry out this
section an amount in the ratio of the percentage of the
centerline mileage of two-lane roads in rural areas
functionally classified as minor and major collectors and
arterials in each State bears to the total centerline mileage
of two-lane roads in rural areas functionally classified as
minor and major collectors and arterials in all the States.
``(2) Allocation of apportioned funds.--Within each State,
funds for the rural road safety program for each fiscal year
shall be allocated among State, county, city, and other
levels of government commensurate with each entity's
ownership ratio of eligible two-lane road mileage of two-lane
roads in rural areas functionally classified as minor and
major collectors and arterials.
``(d) Location of Projects.--Funds authorized to carry out
this section shall be available for expenditure only for
activities described in subsection (g).
``(e) Obligation of Funds.--Funds authorized to be
appropriated to carry out this section shall be available for
obligation in the same manner and the same extent as if such
funds were apportioned under section 104(b) of title 23,
United States Code, except that the Secretary is authorized
to waive provisions that the Secretary considers inconsistent
with the purposes of this section.
``(f) Cost Sharing.--The Federal share of a project under
this section shall be 80 percent of the total cost for such
project.
``(g) Transferability.--Notwithstanding any other provision
of law no portion of a State's apportionment allocated for
the rural road safety program may be transferred to any other
apportionment of the State for such fiscal year.
``(h) Use of Funds.--A State that receives an apportionment
under this section may use funds--
``(1) to improve horizontal and vertical alignment;
``(2) to eliminate wheel lane rutting, increase skid
resistance, and smooth roadways;
``(3) to improve sight distances;
``(4) to widen lanes and shoulders;
``(5) to install dedicated turn lanes;
``(6) to install and upgrade guardrails, traffic barriers,
crash cushions, protective devices, and rumblestrips;
``(7) to install traffic and safety lights, improve signage
and pavement markings; and
``(8) to implement other safety activities designated by
the Secretary.
``(i) Program.--Not later than 180 days after the date of
enactment of this Act, each State that receives an
apportionment under this section shall conduct and
systematically maintain an engineering survey of all two-lane
rural roads classified as minor and major collectors and
minor arterials--
``(1) to identify dangerous locations, sections, and
elements, including roadside obstacles and unmarked or poorly
marked roads, which may constitute a danger to motorists,
bicyclists, pedestrians, impaired, and ``older'' drivers;
``(2) to assign priorities for the correction of such
locations, sections, and elements; and
``(3) establish and implement a schedule of projects for
improvement of such roads.
``(j) Evaluation.--
``(1) In general.--Each State shall establish an evaluation
process approved by the Secretary to analyze and assess
results achieved by safety improvement projects carried out
in accordance with the procedures and criteria established by
this section.
``(2) Priorities.--Such evaluation process shall develop
cost-benefit data for various types of corrections and
treatments, which shall be used in setting priorities for
safety improvement projects.
``(k) Reporting.--
``(1) In general.--Each State shall report to the Secretary
not later than December 30 of each year, regarding the
progress of implementing safety improvement projects for
danger elimination and the effectiveness of such
improvements.
``(2) State assessment.--Each State report shall contain an
assessment of the cost of, and safety benefits derived from,
the various means and methods used to mitigate or eliminate
dangers and the previous and subsequent accident experience
at dangerous locations.
``(3) Secretary's report.--The Secretary shall submit a
report to the Committee on Environment and Public Works of
the Senate and the Committee on Transportation and
Infrastructure of the House of Representatives not later than
April 1 of each year regarding the progress of the States in
implementing the rural road safety program. The report
shall--
``(A) include the number of projects undertaken, their
distribution by cost range, road system, means and methods
used, the previous and subsequent accident experience at
improved locations and a cost-benefit analysis; and
``(B) analyze and evaluate each State's program, identify
any State found not to be in compliance with the schedule of
improvements required by subsection (a), and include
recommendations for future implementation of the rural road
safety program.
``(l) Definition of Rural Road.--In this section, the term
``rural road'' means all roads in rural areas.
``(m) Authorization of Appropriations Rural Road Safety
Program.--To carry out the rural road safety program under
this section there are authorized to be appropriated
$1,000,000,000 for each of fiscal years 2004 through 2009.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter I of title 23, United States Code (as amended by
section 1814(c)), is amended by adding at the end the
following:
``176. Rural road safety program.''.
______
SA 2345. Mr. DAYTON submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. 16__. FEDERAL AGENCY ETHANOL-BLENDED GASOLINE AND
BIODIESEL PURCHASING REQUIREMENT.
Title III of the Energy Policy Act of 1992 is amended by
striking section 306 (42 U.S.C. 13215) and inserting the
following:
``SEC. 306. FEDERAL AGENCY ETHANOL-BLENDED GASOLINE AND
BIODIESEL PURCHASING REQUIREMENT.
``(a) Ethanol-Blended Gasoline.--The head of each Federal
agency shall ensure that, in areas in which ethanol-blended
gasoline is readily available at a generally competitive
price, the Federal agency purchases ethanol-blended gasoline
containing at least 10 percent ethanol rather than
nonethanol-blended gasoline, for use in vehicles used by the
agency.
``(b) Biodiesel.--
``(1) Definition of biodiesel.--In this subsection, the
term `biodiesel' has the meaning given the term in section
312(f).
``(2) Requirement.--The head of each Federal agency shall
ensure that the Federal agency purchases, for use in fueling
fleet vehicles that use diesel fuel used by the Federal
agency at the location at which fleet vehicles of the Federal
agency are centrally fueled, in areas in which the biodiesel-
blended diesel fuel described in subparagraphs (A) and (B) is
available at a generally competitive price--
``(A) as of the date that is 5 years after the date of
enactment of this section, biodiesel-blended diesel fuel that
contains at least 2 percent biodiesel, rather than
nonbiodiesel-blended diesel fuel; and
``(B) as of the date that is 10 years after the date of
enactment of this section, biodiesel-blended diesel fuel that
contains at least 20 percent biodiesel, rather than
nonbiodiesel-blended diesel fuel, for use in vehicles used by
the agency.
[[Page S1084]]
``(3) Requirement of federal law.--This subsection does not
constitute a requirement of Federal law for the purposes of
section 312.
``(c) Exemption.--This section does not apply to fuel used
in vehicles described in subparagraphs (A) through (H) of
section 301(9).''.
______
SA 2346. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 1-7, between lines 17 and 18, insert the following:
(17) Weather-related repair program.--For the weather-
related repair program established under section 1204--
(A) $1,000,000,000 for each of fiscal years 2004 through
2005; and
(B) $1,500,000,000 for each of fiscal years 2006 through
2009.
On page 2-19, after the matter following line 13, insert
the following:
SEC. 1204. WEATHER-RELATED REPAIR PROGRAM.
(a) Definitions.--In this section:
(1) Cold state.--The term ``cold State'' means any State in
which the average temperature in the preceding year was below
the average temperature for all States in the preceding year.
(2) Warm state.--The term ``warm State'' means any State in
which the average temperature in the preceding year was above
the average temperature for all States in the preceding year.
(b) Establishment.--The Secretary shall establish a
weather-related repair program.
(c) Eligible Projects.--A State may obligate funds
apportioned to the State under subsection (d) only for repair
projects for the National Highway System that will--
(1) repair damage to pavement, bridges, or drainage systems
that would not have been damaged but for weather conditions;
and
(2) construct replacement facilities--
(A) to replace facilities that would other- wise have been
subject to continuous repair because of weather conditions;
and
(B) that would be less costly to maintain than the
facilities being replaced because of the protection from
inclement weather provided by the replacement facilities.
(c) Apportionment.--Of the amounts made available to carry
out this section--
(1) at least 0.5 percent shall be set aside for warm
States; and
(2) with respect to cold States--
(A) 50 percent shall be allocated based on the ratio that--
(i) the vehicle miles traveled on National Highway System
routes in the State; bears to
(ii) the vehicle miles traveled on National Highway System
routes in all cold States;
(B) 25 percent shall be allocated based on the ratio that--
(i) the amount of precipitation in the cold State; bears to
(ii) the precipitation in all cold States; and
(C) 25 percent shall be allocated based on the ratio that--
(i) the difference between the average temperature in the
cold State and the average temperature for all cold States;
bears to
(ii) the average temperature for all cold States.
______
SA 2347. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning on page 841, strike line 19 and all that follows
through page 849, line 19, and insert the following:
(a) Repeal.--Section 1216(b) of the Transportation Equity
Act for the 21st Century (23 U.S.C. 129 note; 112 Stat. 212)
is repealed.
(b) Limitations on Tolling.--
(1) In general.--Chapter 3 of title 23 is amended by
striking section 301 and inserting the following:
``Sec. 301. Limitations on tolling
``(a) In General.--Except as provided in subsection (b),
there shall be no limitations on the imposition and
collection of tolls with respect to highways constructed
under this title.
``(b) Exceptions.--Notwithstanding subsection (a)--
``(1) the Secretary--
``(A) shall approve or disapprove any proposal to toll
National Highway System roads that are not currently subject
to a toll; and
``(B) in deciding whether to approve such a proposal, shall
consider whether--
``(i) the proposed toll could negatively impact interstate
commerce; and
``(ii) the proposed toll is likely to reduce congestion;
``(2) any toll program must attempt to mitigate congestion;
and
``(3) any revenues from tolling shall be used to improve,
maintain, or construct surface transportation.''.
(2) Conforming amendment.--The analysis for chapter 3 of
title 23, United States Code, is amended by striking the
matter relating to section 301 and inserting the following:
``301. Limitations on tolling.''.
______
SA 2348. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table as follows:
On page 690, between lines 9 and 10, insert the following:
``(J) a vital part of determining the future of the surface
transportation system in the United States is determining the
future financing of the system.''
On page 694, on line 1, insert the following:
(L) the future of financing the surface transportation
system in the United States and the Highway Trust Fund over
at least the next 30 years, including assessment of--
(i) the advantages and disadvantages of alternative revenue
sources to meet anticipated Federal surface transportation
financial requirements;
(ii) practicable recommendations for the most promising
revenues to support long-term Federal surface transportation
financing;
(iii) the impact of other Federal policies on the funds
available for surface transportation;
(iv) the barriers to transportation investment created by
the modal structure of transportation financing existing as
of the date of enactment of this Act; and
(v) coordination of the Federal transportation program with
other Federal programs to maximize the use of all revenue
sources.
______
SA 2349. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 693, between lines 16 and 17, insert the following:
(J) the impacts of transportation investments on low-income
communities;
On page 693, line 17, strike ``(J)'' and insert ``(K)''.
On page 2-10, line 22, strike ``(K)'' and insert ``(L)''.
______
SA 2350. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 765, line 19, strike ``and'' at the end.
On page 765, strike line 22 and insert the following:
``means, such as the World Wide Web; and
``(iv) develop a publicly available plan for involving
economically disadvantaged populations.''.
______
SA 2351. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 971, line 13, strike ``Code--'' and insert ``Code,
and section 2105 of this Act--''.
On page 1061, after line 15, add the following:
SEC. 2104. TRANSPORTATION EQUITY COOPERATIVE RESEARCH
PROGRAM.
(a) In General.--The Secretary shall carry out a
transportation equity cooperative research program.
(b) Eligibility.--To be eligible to receive a grant under
the program, a person shall be engaged in collaborative
research efforts with community-based organizations, which
may be based anywhere in the United States.
(c) Research Activities.--The program shall include
research designed to--
(1) improve analysis of the distribution of transportation
funding in the statewide and metropolitan transportation
planning process and the impact of funding decisions on low-
income communities (including tribal and Alaska Native
communities), with a particular emphasis on health and
economic impacts;
(2) improve the analysis of the distribution of
transportation funding in the statewide and metropolitan
transportation planning process and the impact of funding
decisions on transit-dependent populations in urban,
suburban, and rural communities;
(3) better understand effective mechanisms for public
involvement, engagement, and control in the statewide,
metropolitan, and local transportation planning and project
delivery process;
(4) develop indicators of economic, social, and
environmental performance of transportation systems, with an
emphasis on the needs of low-income communities (including
tribal and Alaska Native communities) and on the needs of
transit-dependent populations in urban and rural areas, to
facilitate the analysis of potential alternatives; and
(5) meet additional priorities as determined by the
advisory board established under subsection (d).
(d) Advisory Board.--
[[Page S1085]]
(1) Establishment.--In consultation with the Secretary of
Health and Human Services, the Administrator of the
Environmental Protection Agency, and the heads of other
appropriate Federal agencies, the Secretary shall establish
an advisory board to--
(A) recommend research under this section relating to
surface transportation and community impacts; and
(B) advise, monitor, and coordinate research efforts
undertaken by recipients of grants under the program under
subsection (a).
(2) Membership.--The advisory board shall include--
(A) representatives of environmental, justice, civil
rights, and community-based organizations;
(B) researchers in the field of transportation equity and
environmental justice; and
(C) representatives of State transportation agencies,
metropolitan planning organizations, transit operating
agencies, and local government.
(e) Number and Amount of Grants.--For each of fiscal years
2004, 2005, 2006, 2007, 2008 and 2009, the Secretary shall
make grants under the program of not more than $750,000 to
each of 4 research centers.
______
SA 2352. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 976, strike lines 7 through 12 and insert the
following:
(6) Commercial vehicle intelligent transportation system infrastructure
program.--Of the amounts made available under subsection (a)(4), not
less than $40,000,000 for each of fiscal years 2004 and 2005,
$45,000,000 for each of fiscal years 2006 and 2007, and $50,000,000 for
each of fiscal years 2008 and 2009 shall be available to carry out
section 527 of title 23, United States Code.
On page 1079, line 18, insert ``permits'' after
``information''.
On page 1079, lines 25 and 26, insert ``, including the
exchange among the States of data that are not protected by
taxpayer policy and the interoperability of systems among the
States'' after ``development''.
On page 1081, line 22, strike ``intrastate,''.
On page 1081, line 23, strike ``requirements'' and insert
``permits''.
On page 1081, line 24, insert ``, including intrastate
activities'' after ``materials''.
Beginning on page 1083, strike line 15 and all that follows
through page 1086, line 13, and insert the following:
``(d) Apportionments.--
``(1) In general.--The Secretary shall make funds available
to all States for development, deployment, and operations and
maintenance of commercial vehicle information systems and
networks.
``(2) Eligibility.--To be eligible to receive funds under
this section, a State shall--
``(A) have a commercial vehicle information systems and
networks program plan and a top-level system design approved
by the Secretary;
``(B) certify to the Secretary that the commercial vehicle
information systems and networks deployment activities of the
State, including hardware procurement, software and system
development, and infrastructure modifications--
``(i) are consistent with the national intelligent
transportation systems architecture, commercial vehicle
information systems and networks architectures, and available
standards; and
``(ii) promote interoperability and efficiency to the
extent practicable;
``(C) agree to execute interoperability tests developed by
the Federal Motor Carrier Safety Administration to verify
that the systems in the State conform with the national
intelligent transportation systems architecture, protocols
for commercial vehicle information systems and networks, and
applicable standards; and
``(D) limit the use of funds provided under this section to
core deployment until the date on which all elements of core
deployment are completed.
``(3) Amount of grants.--
``(A) In general.--Subject to subparagraph (B), for each
fiscal year, the Secretary shall distribute available funds
equally among eligible States.
``(B) Limit.--For each fiscal year, no State shall receive
an amount greater than $3,650,000.''.
______
SA 2353. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 931, line 9, strike ``Multistate'' and insert
``High priority''.
On page 931, between lines 11 and 12, insert the following:
``(1) plan, develop, and construct high priority corridors
identified in section 1105 (c) of the Intermodal Surface
Transportation Act of 1991 (105 Stat. 2032);''.
On page 931, line 12, strike ``(1)'' and insert ``(2)''.
On page 931, line 14, strike ``(2)'' and insert ``(3)''.
On page 931, strike lines 20 through 22 and insert the
following:
``(c) Eligible Activities.--The Secretary shall make
allocations under this program for coordinated planning,
design, and construction of--
``(1) high priority corridors identified in section 1105
(c) of the Intermodal Surface Transportation Act of 1991 (105
Stat. 2032); and
``(2) multistate corridors.''.
On page 932, line 4, insert ``for multistate corridors,''
after ``program''.
______
SA 2354. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 678, between lines 5 and 6, insert the following:
(16) Congestion reduction reward fund.--For the congestion
reduction reward fund established under section 129 of title
23, United States Code, $1,000,000,000 for the period of
fiscal years 2004 through 2009.
On page 6-39, line 5, strike the closing quotation marks
and the following period.
On page 6-39, between lines 5 and 6, insert the following:
``(5) Congestion reduction reward fund.--
``(A) Establishment of fund.--There is established in the
Treasury of the United States a congestion reduction reward
fund (referred to in this paragraph as the `Fund') to carry
out subparagraph (B), consisting of such amounts as are
appropriated to the Fund under section 1101(17) of the Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2003.
``(B) Grants.--
``(i) In general.--The Secretary may use amounts in the
Fund to make competitive grants to States that implement a
variable pricing program under this subsection.
``(ii) Application.--States shall submit to the Secretary
applications for grants under clause (i).
``(iii) Selection.--From among applications submitted under
clause (ii), the Secretary shall provide grants to applicants
based on--
``(I) the size of the measurable reduction in congestion as
a result of the variable pricing program;
``(II) the percentage reduction in congestion as a result
of the variable pricing program;
``(III) the innovativeness of the variable pricing program;
``(IV) whether the variable pricing program addressed
concerns relating to the social equity of the program; and
``(V) any other criteria that demonstrably improve the
surface transportation system.
``(iv) Use of Funds.--Any amounts provided in the form of
grants under this subparagraph may be used for any
transportation projects that the grant recipients determine
to be appropriate.
``(v) Number of grants.--The number of grants the Secretary
provides under this subparagraph shall be determined by the
Secretary, but the Secretary shall distribute all amounts
available for grants to applicants selected under clause
(iii).
``(vi) Redistribution.--If no State implements a variable
pricing program, any amounts in the congestion reduction
reward fund shall be distributed in accordance with section
133.''.
______
SA 2355. Mrs. CLINTON submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning on page 934, strike line 6 and all that follows
through page 942, line 5, and insert the following:
SEC. 1812. COORDINATED BORDER INFRASTRUCTURE PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1811(a)), is
amended by adding at the end the following:
``Sec. 172 Coordinated border infrastructure program
``(a) Definitions.--In this section:
``(1) Border region.--The term ``border region'' means the
portion of a border State that is located within 100
kilometers of a land border crossing with Canada or Mexico.
``(2) Border state.--The term ``border State'' means any
State that has a boundary in common with Canada or Mexico.
``(3) Commercial vehicle.--The term ``commercial vehicle''
means a vehicle that has the primary purpose of transporting
cargo in international or interstate commercial trade.
``(4) Passenger vehicle.--The term ``passenger vehicle''
means a vehicle that has the primary purpose of transporting
individuals.
``(b) Program.--The Secretary shall establish and implement
a coordinated border infrastructure program under which the
Secretary shall make allocations to border States for
projects within a border region to improve the safe movement
of people and
[[Page S1086]]
goods at or across the border between the United States and
Canada and the border between the United States and Mexico.
``(c) Eligible Uses.--A State may use an allocations under
this section in a border region only for--
``(1) improvements to transportation and supporting
infrastructure that facilitate cross-border vehicle and cargo
movements;
``(2) construction of highways and related safety and
safety enforcement facilities that facilitate vehicle and
cargo movements relating to international trade;
``(3) operational improvements, including improvements
relating to electronic data interchange and use of
telecommunications, to expedite cross-border vehicle and
cargo movement;
``(4) international coordination of planning, programming,
and border operation with Canada and Mexico relating to
expediting cross-border vehicle and cargo movements;
``(5) projects in Canada or Mexico proposed by 1 or more
border States that directly and predominantly facilitate
cross-border vehicle and commercial cargo movements at the
international gateways or ports of entry into a border
region; and
``(6) planning and environmental studies relating to
projects eligible under this section.
``(d) Mandatory and Discretionary Programs.--
``(1) Mandatory program.--
``(A) In general.--For each fiscal year, the Secretary
shall allocate among border States, in accordance with the
formula described in subparagraph (B), funds to be used in
accordance with subsection (c).
``(B) Formula.--Subject to subparagraph (C), the Secretary
shall allocate funds to a border State under this paragraph
as follows:
``(i) 25 percent shall be allocated in the ratio, as
determined by the Secretary using data collected by the
Bureau of Transportation Statistics Transborder Surface
Freight Dataset and based on an average of the 3 most recent
years for which data are available, that--
``(I) the weight in short tons of all cargo entering the
border State by commercial vehicle across the international
border with Canada or Mexico; bears to
``(II) the weight in short tons of all cargo entering the
all border States by commercial vehicle across the
international borders with Canada and Mexico.
``(ii) 25 percent shall be allocated in the ratio, as
determined by the Secretary using data collected by the
Bureau of Transportation Statistics Transborder Surface
Freight Dataset and based on an average of the 3 most recent
years for which data are available, that--
``(I) the trade value of all cargo entering the border
State by commercial vehicle and all cargo exiting the border
State by commercial vehicle across the international border
with Canada or Mexico; bears to
``(II) the trade value of all cargo entering all border
States by commercial vehicle and all cargo exiting the border
States by commercial vehicle across the international borders
with Canada and Mexico.
``(iii) 25 percent shall be allocated in the ratio, as
determined by the Secretary using data collected by the
Bureau of Transportation Statistics Transborder Surface
Freight Dataset and based on an average of the 3 most recent
years for which data are available, that--
``(I) the number of commercial vehicles annually entering
the border State across the international border with Canada
or Mexico; bears to
``(II) the number of all commercial vehicles annually
entering all border States across the international borders
with Canada and Mexico.
``(iv) 25 percent shall be allocated in the ratio, as
determined by the Secretary using data collected by the
Bureau of Transportation Statistics Transborder Surface
Freight Dataset and based on an average of the 3 most recent
years for which data are available, that--
``(I) the number of passenger vehicles annually entering
the border State across the international border with Canada
or Mexico; bears to
``(II) the number of all passenger vehicles annually
entering all border States across the international borders
with Canada and Mexico.
``(C) Minimum allocation.--Notwithstanding subparagraph
(B), for each fiscal year, each border State shall receive at
least half of 1 percent of the funds made available for
allocation under this paragraph for the fiscal year.
``(2) Other factors.--
``(A) In general.--In addition to funds allocated under
paragraph (1), the Secretary shall make allocations to border
States under this paragraph based on the factors described in
subparagraph (B).
``(B) Factors.--The factors in subparagraph (A) are, with
respect to a project carried out under this section in a
border State--
``(i) any expected reduction in commercial and other motor
vehicle travel time through an international border crossing
as a result of the project;
``(ii) strategies to increase the use of underused border
crossing facilities and approaches;
``(iii) leveraging of Federal funds provided under this
section, including--
``(I) the use of innovative financing;
``(II) the combination of Federal funds provided under this
section with funding provided for other provisions of this
title; and
``(III) the combination of Federal funds provided under
this section with funds from other Federal, State, local, or
private sources;
``(iv)(I) the degree of multinational involvement in the
project; and
``(II) demonstrated coordination with other Federal
agencies responsible for the inspection of vehicles, cargo,
and persons crossing international borders and counterpart
agencies in Canada and Mexico;
``(v) the degree of demonstrated coordination with Federal
inspection agencies;
``(vi) the extent to which the innovative and problem-
solving techniques of the proposed project would be
applicable to other border stations or ports of entry;
``(vii) demonstrated local commitment to implement and
sustain continuing comprehensive border or affected port of
entry planning processes and improvement programs; and
``(viii) such other factors as the Secretary determines to
be appropriate to promote border transportation efficiency
and safety.
``(3) Equity bonus.--Each of the mandatory programs under
paragraph (1) and the discretionary program under paragraph
(2) shall be included in the calculation of the minimum
guarantee and equity bonus under section 105.
``(e) Cost Sharing.--The Federal share of the cost of a
project carried out using funds allocated under this section
shall not exceed 80 percent.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1811(b)), is amended by adding at the end the
following:
``172. Coordinated border infrastructure program.''.
SEC. 1813. PUERTO RICO HIGHWAY PROGRAM.
______
SA 2356. Mr. CORNYN (for himself and Mrs. Hutchison) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 82, between lines 21 and 22, insert the following:
SEC. 12__. MULTIMODAL TRANSPORTATION PROJECT DEMONSTRATION
PROGRAM.
(a) Definition of Multimodal Transportation Project.--In
this section, the term ``multimodal transportation project''
means a project under chapter 1 of title 23, United States
Code, that--
(1) is located in the State of Texas;
(2) is within a network of interconnected corridors;
(3) is privately financed, in whole or in part; and
(4) contains multiple surface transportation modes,
including highway and rail and utility corridors.
(b) Establishment of Program.--
(1) In general.--The Secretary shall establish and
implement in the State of Texas a demonstration program under
which the Secretary, notwithstanding any other provision of
law, may permit the State transportation department or a
local transportation agency in the State of Texas to
authorize a consultant under a contract for a multimodal
transportation project to prepare an environmental impact
assessment or analysis (including an environmental impact
statement) relating to a segment of the project of less than
independent utility and without logical termini.
(2) Contract terms.--A contract for a multimodal
transportation project under this subsection may provide for
the simultaneous--
(A) design and construction of a segment of the project for
which the environmental assessment or analysis has been
completed; and
(B) environmental assessment or analysis of an adjoining
segment of the project.
(c) Limitation on Work To Be Performed by Consultant.--
(1) In general.--The work of the consultant under
subsection (b) shall be performed under the direction of, and
subject to oversight by, the State transportation department
or local transportation agency.
(2) Review.--The State transportation department or local
transportation agency shall conduct a review that assesses
the objectivity of the environmental assessment,
environmental analysis, or environmental impact statement
prepared under subsection (b) before its submission to the
Secretary.
(d) Funding.--Notwithstanding any other provision of law--
(1) funds made available to the State of Texas under title
23, United States Code, to carry out the demonstration
program authorized under this section may be used by the
State of Texas to pay the costs of an eligible project under
this section, without requirement for non-Federal funds; and
(2) an eligible project under this section shall be
eligible for other forms of financial assistance available
under that title, including loans, loan guarantees, and lines
of credit.
(e) Regulations.--The Secretary shall promulgate
regulations that--
(1) provide guidelines regarding procedures to be followed
by the State transportation
[[Page S1087]]
department or a coal transportation agency in the State of
Texas in their direction of and oversight over any
environmental impact assessments or analyses for a multimodal
transportation project which are to be prepared by the
contractor or its affiliates; and
(2) establish criteria for approving deviations from
procedures established in regulations issued by the Secretary
of Transportation implementing the National Environmental
Policy Act of 1969 (42 U.S.C. 4321 et seq.).
(f) Implementation by Other Federal Agencies.--Each Federal
agency that--
(1) has jurisdiction by law over environment-related issues
that may be affected by a project described in this section
and the analysis of which would be part of any environmental
document required by the National Environmental Policy Act of
1969 (42 U.S.C. 4321 et seq.); or
(2) may be required by Federal law to independently--
(A) conduct an environment-related review or analysis for a
project described in this section;
(B) determine whether to issue a permit, license, or
approval for the project; or
(C) render an opinion or recommendation on the
environmental impact of the project;
shall promulgate regulations providing for the expedited
processing of, and approval of deviations from, the project
by the agency.
(g) Reports and Secretarial Review.--
(1) State of texas report.--
(A) In general.--Not later than 3 years after the date of
enactment of this section, the State of Texas shall submit to
the Secretary a report summarizing the use of the procedures
authorized under this section.
(B) Contents.--The report shall--
(i) describe the time and cost savings resulting from the
use of those procedures as compared to the construction of
surface transportation projects using the existing procedures
authorized under the Federal-aid highway program and Federal
law; and
(ii) recommend revisions necessary to further streamline
and accelerate the construction of surface transportation
projects.
(2) Report to congress.--Not later than 180 days after the
date of receipt of the report under paragraph (1), the
Secretary shall submit to Congress a report that--
(A) evaluates the demonstration program conducted under
this section and the ability of the program to streamline and
accelerate the construction of surface transportation
projects; and
(B) contains recommendations of the Secretary concerning
whether the program should be expanded or made a part of the
Federal-aid highway program.
______
SA 2357. Mr. CORNYN (for himself and Mrs. Hutchison) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. INNOVATIVE FINANCE DEMONSTRATION PROGRAM.
(a) In General.--The Secretary shall establish and
implement in the State of Texas an innovative finance
demonstration program under which the Secretary,
notwithstanding any provision of title 23, United States
Code, may permit entities in the State of Texas to obtain
credit assistance under the Transportation Infrastructure
Finance and Innovation Act of 1998 (23 U.S.C. 181 et seq.),
and permit the State of Texas to administer the State
infrastructure bank established by the State of Texas, under
the conditions and using the procedures authorized under this
section.
(b) Applicability of Federal Requirements.--
(1) Eligible project costs.--Compliance with Federal-aid
procurement requirements shall not be a condition to
eligibility of project costs and eligibility to receive
financial assistance under subchapter II of chapter 1 of
title 23, United States Code (23 U.S.C. 181 et seq.),
provided that if a procurement does not involve adequate
price competition, as determined by the Secretary,
eligibility of costs under the contract resulting from such
procurement shall be determined based on a price
reasonableness analysis or cost analysis, as appropriate.
(2) Applicability of federal law to repayments.--The
requirements of titles 23 and 49, United States Code, shall
not apply to repayments from non-Federal sources to the State
infrastructure bank established by the State of Texas from
projects assisted by the infrastructure bank. Such a
repayment shall not be considered to be Federal funds.
(c) Investment-Grade Rating Requirement.--The requirement
that a project's senior obligations receive an investment-
grade rating in order to receive financial assistance under
sections 183 and 184 of title 23, United States Code, shall
not apply to obligations issued to a project contractor as
payment for its work.
(d) Nonsubordination of Loans.--The prohibition against
subordinating loans made under sections 183 and 184 of title
23, United States Code, to the claims of any holder of
project obligations shall only apply in the event of
bankruptcy, insolvency, or liquidation of the obligor that
results in the abandonment, liquidation, or dissolution of
the project.
(e) Regulations.--The regulations issued by the Secretary
under section 187 of title 23, United States Code shall--
(1) prescribe criteria for determining if the procurement
relating to a project receiving financial assistance under
subchapter II of chapter 1 of title 23, United States Code
(23 U.S.C. 181 et seq.), involves adequate price competition;
and
(2) provide guidelines regarding procedures to be followed
in performing a price reasonableness analysis or cost
analysis of proposals submitted under such a procurement.
(f) Reports.--
(1) Report to secretary.--
(A) In general.--Not later than 3 years after the date of
enactment of this section, the Governor of the State of Texas
shall submit to the Secretary a report summarizing the use of
the innovative finance procedures authorized under this
section.
(B) Requirements.--The report submitted under subparagraph
(A) shall describe the time and cost savings resulting from
the use of those procedures as compared to the construction
of surface transportation projects using the existing
procedures authorized under the Federal-aid highway program,
and shall recommend revisions necessary to further streamline
and accelerate the construction of surface transportation
projects.
(2) Report to congress.--Not later than 6 months after
receipt of the report submitted under paragraph (1), the
Secretary shall submit to Congress a report--
(A) evaluating the demonstration program conducted under
this section and the ability of such program to streamline
and accelerate the construction of surface transportation
projects; and
(B) containing recommendations of the Secretary as to
whether the program should be expanded or made a part of the
Federal-aid highway program.
______
SA 2358. Mr. CORNYN (for himself and Mrs. Hutchison) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 389, between line 15 and line 16, insert the
following:
SEC. 18__. INNOVATIVE CONTRACTING PRACTICES DEMONSTRATION
PROGRAM.
(a) Establishment and Implementation.--The Secretary shall
establish and implement in the State of Texas an innovative
contracting practices demonstration program under which the
Secretary, notwithstanding any provision of title 23, United
States Code, may permit the State transportation department
or a local transportation agency in the State of Texas to use
a design-build contract for the development of projects under
chapter 1 of title 23, United States Code, that is awarded
using any procurement process permitted by applicable State
and local law.
(b) Limitation on Work To Be Performed Under Design-Build
Contracts.--Construction of permanent improvements shall not
commence under a design-build contract described in
subsection (a) before compliance with section 102 of the
National Environmental Policy Act of 1969 (42 U.S.C. 4332).
The scope of the contractor's work may include assistance in
the environmental review process for the project, including
preparation of environmental impact assessments and analyses,
provided that such work is performed under the direction of,
and subject to oversight by, the State transportation
department or local transportation agency, and the State
transportation department or local transportation agency
conducts a review that assesses the objectivity of the
environmental assessment, environmental analysis, or
environmental impact statement prior to its submission to the
Secretary of Transportation.
(c) Project Approval.--If a design-build contract is to be
awarded prior to compliance with section 102 of the National
Environmental Policy Act of 1969, upon request by the State
transportation department or local transportation agency, the
Secretary shall concur in issuance of the procurement
documents and any amendments thereto and in award of the
contract and any amendments thereto. Such concurrence shall
be considered a preliminary action that does not affect the
environment. Project approval shall be provided only after
compliance with section 102 of the National Environmental
Policy Act of 1969.
(d) Design-Build Contract Defined.--In this section, the
term ``design-build contract'' means an agreement that
provides for design and construction of a project by a
contractor, regardless of whether the agreement is in the
form of a design-build contract, a franchise agreement, or
any other form of contract approved by the Secretary.
(e) Funding.--
(1) Use.--Notwithstanding any other provision of law, funds
made available to the State of Texas under title 23, United
States Code, to carry out the demonstration program
authorized under this section may be used by the State of
Texas to pay the costs of an eligible project under this
section, without requirement for non-Federal funds.
(2) Availability of other funding.--Notwithstanding any
other provision of law, an
[[Page S1088]]
eligible project under this section shall be eligible for
other forms of financial assistance available under title 23,
United States Code, including loans, loan guarantees, and
lines of credit.
(f) Regulations.--The regulations authorized by section
1307(c) of Transportation Equity Act for the 21st Century (23
U.S.C. 112 note) shall apply in the following manner:
(1) Such regulations shall allow the State transportation
department or a local transportation agency in the State of
Texas to use any procurement process permitted by applicable
State and local law in awarding design-build contracts,
including allowing unsolicited proposals, negotiated
procurements and multiple requests for final proposals. The
Secretary may require reasonable justification to be provided
for any sole source procurement. The preceding sentences
shall not preclude the Secretary from providing ``best
practices'' guidelines in the regulations.
(2) Such regulations shall not preclude the State
transportation department and local transportation agencies
in the State of Texas from allowing proposers to include
alternative technical concepts in their ``base'' proposals.
(3) Such regulations shall not preclude the State
transportation department and local transportation agencies
in the State of Texas from issuing a Request for Proposals
document, proceeding with award of a design-build contract,
or issuing a notice to proceed with preliminary design work
under such a contract, prior to compliance with section 102
of the National Environmental Policy Act of 1969 (42 U.S.C.
4332), provided that the design-build contractor may not
proceed with construction of permanent improvements prior to
such compliance.
(4) Such regulations shall provide guidelines regarding
procedures to be followed by the State transportation
department or a local transportation agency in the State of
Texas in their direction of and oversight over any
environmental impact assessments or analyses for the project
which are to be prepared by the contractor or its affiliates.
(g) Reports.--
(1) State of texas report.--Not later than 3 years after
the date of enactment of this section, the State of Texas
shall submit to the Secretary a report summarizing the use of
the innovative contracting procedures authorized under this
section. The report shall describe the time and cost savings
resulting from the use of those procedures as compared to the
construction of surface transportation projects using the
existing procedures authorized under the Federal-aid highway
program, and shall recommend revisions necessary to further
streamline and accelerate the construction of surface
transportation projects.
(2) Report by secretary.--Not later than 6 months after
receipt of the report submitted under paragraph (1), the
Secretary shall submit to Congress a report--
(A) evaluating the demonstration program conducted under
this section and the ability of such program to streamline
and accelerate the construction of surface transportation
projects; and
(B) containing recommendations of the Secretary as to
whether the program should be expanded or made a part of the
Federal-aid highway program.
______
SA 2359. Mr. CORNYN (for himself and Mrs. Hutchison) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. LA ENTRADA AL PACIFICO CORRIDOR.
Section 1105(c) of the Intermodal Surface Transportation
Efficiency Act of 1991 (Public Law 102-240; 105 Stat 2032) is
amended by adding at the end the following:
``(45) In the State of Texas, the La Entrada al Pacifico
Corridor consisting of any portion of a highway in a corridor
on 2 miles of either side of the center line of the highway
and--
``(A) State Route 349 from Lamesa to the point on that
highway that is closest to 32 degrees, 7 minutes, north
latitude, by 102 degrees, 6 minutes, west longitude;
``(B) the segment or any roadway extending from the point
described in subparagraph (A) to the point on Farm-to-Market
Road 1788 closest to 32 degrees, 0 minutes, north latitude,
by 102 degrees, 16 minutes, west longitude;
``(C) Farm-to-Market Road 1788 from the point described by
subparagraph (B) to its intersection with Interstate Route
20;
``(D) Interstate Route 20 from its intersection with Farm-
to-Market Road 1788 to its intersection with United States
Route 385;
``(E) United States Route 385 from Odessa to Fort Stockton,
including those portions that parallel United States Route 67
and Interstate Route 10; and
``(F) United States Route 67 from Fort Stockton to
Presidio, including the portions that parallel Interstate
Route 10 and United States Route 90.''.
______
SA 2360. Mr. CORNYN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 255, between lines 17 and 18, insert the following:
(c) Toll Credit for Non-Federal Share.--
(1) Eligibility.--Section 120(j)(1) of title 23, United
States Code, is amended by striking the last sentence and
inserting the following: ``The amount of the credit that is
attributable to expenditures by such public, quasi-public, or
private agencies to build, improve, or maintain facilities in
which a portion of the costs are paid for with Federal funds
shall be limited to the amount of non-Federal funds that are
used to pay the costs of such facilities, except that such
amount of the credit shall be increased to include the amount
of Federal loans or other financial assistance that will be
repaid by such public, quasi-public, or private agencies.''.
(2) Maintenance of Effort Calculation.--Section 120(j) of
title 23, United States Code, is amended--
(A) by striking paragraph (2); and
(C) by redesignating paragraph (3) as paragraph (2).
______
SA 2361. Mr. CORNYN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 389, between line 15 and line 16, insert the
following:
SEC. 18__. TOLLING PILOT PROGRAM.
(a) Establishment and Implementation.--The Secretary shall
establish and implement in the State of Texas a tolling pilot
program under which the Secretary, notwithstanding any
provision of title 23, United States Code, may permit--
(1) the State of Texas to collect tolls on a highway,
bridge, or tunnel on the Interstate system; and
(2) the State transportation department or a local
transportation agency in the State of Texas to use toll
revenues received from the operation of a toll facility
authorized under this section or under section 129 of title
23, United States Code, for any transportation related
purpose permitted by applicable State and local law.
(b) Repayment of Federal Share.--
(1) In general.--Notwithstanding any provision of title 23,
United States Code, the total amount of funds paid from the
Highway Account of the Highway Trust Fund to the State of
Texas for construction of a highway, bridge, or tunnel within
the boundaries of the State of Texas may be repaid to the
Secretary.
(2) Deposit of credit.--The Secretary of Transportation
shall deposit amounts repaid by the State of Texas pursuant
to paragraph (1) into the Highway Account and credit such
amount to the unobligated balance of Federal-aid highway
funds available to the State of Texas for the same class of
funds last apportioned or allocated to the State of Texas for
construction of the highway, bridge, or tunnel. The amount so
credited shall be in addition to all other funds then
apportioned or allocated to the State of Texas during the
fiscal year for which the credit is received and shall be
available for expenditure by the State of Texas in accordance
with the provisions of title 23, United States Code.
(3) Deregulation.--Upon the repayment under this subsection
of all Federal-aid highway funds received by the State of
Texas for construction of a highway, bridge, or tunnel, the
highway, bridge, or tunnel--
(A) shall be removed by the Secretary from all Federal-aid
highway programs;
(B) shall not be subject to any other provision of title
23, United States Code, including any regulation issued to
carry out that title; and
(C) may be operated and maintained by a public authority
having jurisdiction over the highway, bridge, or tunnel under
applicable State or local law.
(c) Funding.--
(1) Use.--Notwithstanding any other provision of law, funds
made available to the State of Texas under title 23, United
States Code to carry out the pilot program authorized under
this section may be used by the State of Texas to pay the
costs of an eligible project under this section, the same
class of funds last apportioned or allocated to the State of
Texas without requirement for non-Federal funds.
(2) Availability of other funding.--Notwithstanding any
other provision of law, an eligible project under this
section shall be eligible for other forms of financial
assistance available under title 23, United States Code,
including loans, loan guarantees, and lines of credit.
(d) Reports.--
(1) State of texas report.--Not later than 3 years after
the date of enactment of this section, the State of Texas
shall submit to the Secretary a report summarizing the
construction, maintenance, and operation of projects and the
use of toll revenue under this section. The report shall
describe the time and cost savings resulting from the use of
procedures authorized in this section as compared to the
construction of surface transportation projects using the
existing
[[Page S1089]]
procedures authorized under the Federal-aid highway program,
and shall recommend revisions necessary to further streamline
and accelerate the construction of surface transportation
projects.
(2) Report by secretary.--Not later than 6 months after
receipt of the report submitted under paragraph (1), the
Secretary of Transportation shall submit to Congress a
report--
(A) evaluating the demonstration program conducted under
this section and the ability of such program to streamline
and accelerate the construction of surface transportation
projects; and
(B) containing recommendations of the Secretary of
Transportation as to whether the program should be expanded
or made a part of the Federal-aid highway program.
______
SA 2362. Mr. CORNYN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 461, line 13, strike the period and insert the
following: ``of which the current Southwest Regional
Transportation Center (Texas A&M, the University of Texas at
Austin, and Texas Southern University) shall be one.''
______
SA 2363. Ms. LANDRIEU submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 39, between lines 22 and 23, insert the following:
(17) FINISH program.--For the FINISH program under section
178 of that title, for each of fiscal years 2004 through
2009, an amount equal to 6.4 percent of the amounts received
in the Highway Trust Fund (other than the Mass Transit
Account) for the fiscal year under section 9503(b) of the
Internal Revenue Code of 1986.
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. FINISH PROGRAM.
(a) In General.--Subtitle I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. FINISH program
``(a) In General.--The Secretary shall establish and carry
out a program, to be known as the `FINISH program', under
which the Secretary shall apportion funds to States for use
in the acceleration and completion of coordinated planning,
design, and construction of internationally significant
highway projects, as determined by the Secretary.
``(b) Eligible Projects.--The Secretary shall apportion
funds under this section for highway projects described in
subsection (a) that are located on any of the high priority
corridors described in paragraphs (1) and (37), (18) and
(20), (23), (26), (38), or (44) of section 1105(c) of the
Intermodal Surface Transportation Efficiency Act of 1991 (105
Stat. 2032), as determined by the applicable State and
approved by the Secretary.
``(c) Apportionment.--For each of fiscal years 2004 through
2009, the Secretary shall apportion funds made available
under this section for the fiscal year to each State in the
proportion that, as determined by the applicable State and
approved by the Secretary--
``(1) the estimated amount that may be obligated in the
fiscal year for the completion of the eligible projects
described in subsection (b) in the State; bears to
``(2) the total estimated amount that may be obligated in
the fiscal year for the completion of eligible projects
described in subsection (b) in all States.
``(d) Authorization of Appropriations.--For each of fiscal
years 2004 through 2009, there is authorized to be
appropriated from the Highway Trust Fund (other than the Mass
Transit Account) to carry out this section an amount equal to
6.4 percent of the amounts received in the Highway Trust Fund
(other than the Mass Transit Account) for the fiscal year
under section 9503(b) of the Internal Revenue Code of
1986.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. FINISH program.''.
______
SA 2364. Mr. SCHUMER submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Strike section 5507 and insert the following:
SEC. 5507. UNIFORM DOLLAR LIMITATION FOR ALL TYPES OF
TRANSPORTATION FRINGE BENEFITS; CLARIFICATION
OF FEDERAL EMPLOYEE BENEFITS.
(a) Uniform Dollar Limitation For All Types of
Transportation Fringe Benefits.--
(1) In general.--Section 132(f)(2) of the Internal Revenue
Code of 1986 (relating to limitation on exclusion) is
amended--
(A) by striking ``$100'' in subparagraph (A) and inserting
``$190'', and
(B) by striking ``$175'' in subparagraph (B) and inserting
``$190''.
(2) Inflation adjustment conforming amendments.--
Subparagraph (A) of section 132(f)(6) of the Internal Revenue
Code of 1986 (relating to inflation adjustment) is amended--
(A) by striking the last sentence,
(B) by striking ``1999'' and inserting ``2003'', and
(C) by striking ``1998'' and inserting ``2002''.
(3) Effective Date.--The amendments made by this subsection
shall apply to taxable years beginning after December 31,
2003.
(b) Clarification of Federal Employee Benefits.--Section
7905 of title 5, United States Code, is amended--
(1) in subsection (a)--
(A) in paragraph (2)(C) by inserting ``and'' after the
semicolon;
(B) in paragraph (3) by striking ``; and'' and inserting a
period; and
(C) by striking paragraph (4); and
(2) in subsection (b)(2)(A) by amending subparagraph (A) to
read as follows:
``(A) a qualified transportation fringe as defined in
section 132(f)(1) of the Internal Revenue Code of 1986;''.
______
SA 2365. Mr. DORGAN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place, insert:
SEC. __. TAX TREATMENT OF CONTROLLED FOREIGN CORPORATIONS
ESTABLISHED IN TAX HAVENS.
(a) In General.--Subchapter C of chapter 80 (relating to
provisions affecting more than one subtitle), as amended by
this Act, is amended by adding at the end the following new
section:
``SEC. __. 7875. CONTROLLED FOREIGN CORPORATIONS IN TAX
HAVENS TREATED AS DOMESTIC CORPORATIONS.
``(a) General Rule.--If a controlled foreign corporation is
a tax-haven CFC, then, notwithstanding section 7701(a)(4),
such corporation shall be treated for purposes of this title
as a domestic corporation.
``(b) Tax-Haven CFC.--For purposes of this section--
``(1) In general.--The term `tax-haven CFC' means, with
respect to any taxable year, a foreign corporation which--
``(A) was created or organized under the laws of a tax-
haven country, and
``(B) is a controlled foreign corporation (determined
without regard to this section) for an uninterrupted period
of 30 days or more during the taxable year.
``(2) Exception.--The term `tax-haven CFC' does not include
a foreign corporation for any taxable year if substantially
all of its income for the taxable year is derived from the
active conduct of trades or businesses within the country
under the laws of which the corporation was created or
organized.
``(c) Tax-Haven Country.--For purposes of this section--
``(1) In general.--The term `tax-haven country' means any
of the following:
Andorra Gibraltar Netherlands
Antilles
Anguilla Grenada Niue
Antigua and Barbuda Guernsey Panama
Aruba Isle of Man Samoa
Commonwealth of the Jersey San Marino
Bahamas
Bahrain Liberia Federation of
Saint Christopher
and Nevis
Barbados Principality of Saint Lucia
Liechtenstein
Belize Republic of the Saint Vincent
Maldives and the Grenadines
Bermuda Malta Republic of the
Seychelles
British Virgin Islands Republic of the Tonga
Marshall Islands
Cayman Islands Mauritius Turks and Caicos
Cook Islands Principality of Monaco Republic of
Vanuatu
Cyprus Montserrat
Commonwealth of the Republic of Nauru
Dominica
``(2) Secretarial authority.--The Secretary may remove or
add a foreign jurisdiction from the list of tax-haven
countries under paragraph (1) if the Secretary determines
such removal or addition is consistent with the purposes of
this section.''
(b) Conforming Amendment.--The table of sections for
subchapter C of chapter 80 is amended by adding at the end
the following new item:
``Sec 7875. Controlled foreign corporations in tax havens treated as
domestic corporations.''.
(c) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2005.
______
SA 2366. Mr. DORGAN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which
[[Page S1090]]
was ordered to lie on the table; as follows:
At the appropriate place insert the following:
SEC. __. EXTENSION AND EXPANSION OF CREDIT FOR ELECTRICITY
PRODUCED FROM CERTAIN RENEWABLE RESOURCES.
(a) Expansion of Qualified Energy Resources.--Subsection
(c) of section 45 of the Internal Revenue Code of 1986
(relating to electricity produced from certain renewable
resources) is amended to read as follows:
``(c) Qualified Energy Resources.--For purposes of this
section--
``(1) In general.--The term `qualified energy resources'
means--
``(A) wind,
``(B) closed-loop biomass,
``(C) open-loop biomass,
``(D) geothermal energy,
``(E) solar energy,
``(F) small irrigation power, and
``(G) municipal solid waste.
``(2) Closed-loop biomass.--The term `closed-loop biomass'
means any organic material from a plant which is planted
exclusively for purposes of being used at a qualified
facility to produce electricity.
``(3) Open-loop biomass.--
``(A) In general.--The term `open-loop biomass' means--
``(i) any agricultural livestock waste nutrients, or
``(ii) any solid, nonhazardous, cellulosic waste material
which is segregated from other waste materials and which is
derived from--
``(I) any of the following forest-related resources: mill
and harvesting residues, precommercial thinnings, slash, and
brush,
``(II) solid wood waste materials, including waste pallets,
crates, dunnage, manufacturing and construction wood wastes
(other than pressure-treated, chemically-treated, or painted
wood wastes), and landscape or right-of-way tree trimmings,
but not including municipal solid waste, gas derived from the
biodegradation of solid waste, or paper which is commonly
recycled, or
``(III) agriculture sources, including orchard tree crops,
vineyard, grain, legumes, sugar, and other crop by-products
or residues.
Such term shall not include closed-loop biomass.
``(B) Agricultural livestock waste nutrients.--
``(i) In general.--The term `agricultural livestock waste
nutrients' means agricultural livestock manure and litter,
including wood shavings, straw, rice hulls, and other bedding
material for the disposition of manure.
``(ii) Agricultural livestock.--The term `agricultural
livestock' includes bovine, swine, poultry, and sheep.
``(4) Geothermal energy.--The term `geothermal energy'
means energy derived from a geothermal deposit (within the
meaning of section 613(e)(2)).
``(5) Small irrigation power.--The term `small irrigation
power' means power--
``(A) generated without any dam or impoundment of water
through an irrigation system canal or ditch, and
``(B) the nameplate capacity rating of which is not less
than 150 kilowatts but is less than 5 megawatts.
``(6) Municipal solid waste.--The term `municipal solid
waste' has the meaning given the term `solid waste' under
section 2(27) of the Solid Waste Disposal Act (42 U.S.C.
6903).''.
(b) Extension and Expansion of Qualified Facilities.--
(1) In general.--Section 45 of the Internal Revenue Code of
1986 is amended by redesignating subsection (d) as subsection
(e) and by inserting after subsection (c) the following new
subsection:
``(d) Qualified Facilities.--For purposes of this section--
``(1) Wind facility.--In the case of a facility using wind
to produce electricity, the term `qualified facility' means
any facility owned by the taxpayer which is originally placed
in service after December 31, 1993, and before January 1,
2007.
``(2) Closed-loop biomass facility.--
``(A) In general.--In the case of a facility using closed-
loop biomass to produce electricity, the term `qualified
facility' means any facility--
``(i) owned by the taxpayer which is originally placed in
service after December 31, 1992, and before January 1, 2007,
or
``(ii) owned by the taxpayer which before January 1, 2007,
is originally placed in service and modified to use closed-
loop biomass to co-fire with coal, with other biomass, or
with both, but only if the modification is approved under the
Biomass Power for Rural Development Programs or is part of a
pilot project of the Commodity Credit Corporation as
described in 65 Fed. Reg. 63052.
``(B) Special rules.--In the case of a qualified facility
described in subparagraph (A)(ii)--
``(i) the 10-year period referred to in subsection (a)
shall be treated as beginning no earlier than January 1,
2004,
``(ii) the amount of the credit determined under subsection
(a) with respect to the facility shall be an amount equal to
the amount determined without regard to this clause
multiplied by the ratio of the thermal content of the closed-
loop biomass used in such facility to the thermal content of
all fuels used in such facility, and
``(iii) if the owner of such facility is not the producer
of the electricity, the person eligible for the credit
allowable under subsection (a) shall be the lessee or the
operator of such facility.
``(3) Open-loop biomass facilities.--
``(A) In general.--In the case of a facility using open-
loop biomass to produce electricity, the term `qualified
facility' means any facility owned by the taxpayer which--
``(i) in the case of a facility using agricultural
livestock waste nutrients--
``(I) is originally placed in service after December 31,
2003, and before January 1, 2007, and
``(II) the nameplate capacity rating of which is not less
than 150 kilowatts, and
``(ii) in the case of any other facility, is originally
placed in service before January 1, 2007.
``(B) Credit eligibility.--In the case of any facility
described in subparagraph (A), if the owner of such facility
is not the producer of the electricity, the person eligible
for the credit allowable under subsection (a) shall be the
lessee or the operator of such facility.
``(4) Geothermal or solar energy facility.--In the case of
a facility using geothermal or solar energy to produce
electricity, the term `qualified facility' means any facility
owned by the taxpayer which is originally placed in service
after December 31, 2003, and before January 1, 2007. Such
term shall not include any property described in section
48(a)(3) the basis of which is taken into account by the
taxpayer for purposes of determining the energy credit under
section 48.
``(5) Small irrigation power facility.--In the case of a
facility using small irrigation power to produce electricity,
the term `qualified facility' means any facility owned by the
taxpayer which is originally placed in service after December
31, 2003, and before January 1, 2007.
``(6) Landfill gas facilities.--In the case of a facility
producing electricity from gas derived from the
biodegradation of municipal solid waste, the term `qualified
facility' means any facility owned by the taxpayer which is
originally placed in service after December 31, 2003, and
before January 1, 2007.
``(7) Trash combustion facilities.--In the case of a
facility which burns municipal solid waste to produce
electricity, the term `qualified facility' means any facility
owned by the taxpayer which is originally placed in service
after December 31, 2003, and before January 1, 2007.''.
(2) Conforming amendment.--Section 45(e) of such Code, as
so redesignated, is amended by striking ``subsection
(c)(3)(A)'' in paragraph (7)(A)(i) and inserting ``subsection
(d)(1)''.
(c) Special Credit Rate and Period for Electricity Produced
and Sold After Enactment Date.--Section 45(b) of the Internal
Revenue Code of 1986 is amended by adding at the end the
following new paragraph:
``(4) Credit rate and period for electricity produced and
sold from certain facilities.--
``(A) Credit rate.--In the case of electricity produced and
sold after the date of the enactment of this paragraph at any
qualified facility described in paragraph (3), (5), (6), or
(7) of subsection (d), the amount in effect under subsection
(a)(1) for any calendar year beginning with the calendar year
in which such date occurs (determined before the application
of the last sentence of paragraph (2) of this subsection)
shall be reduced by one-third.
``(B) Credit period.--
``(i) In general.--Except as provided in clause (ii), in
the case of any facility described in paragraph (3), (4),
(5), (6), or (7) of subsection (d), the 5-year period
beginning on the date the facility was originally placed in
service shall be substituted for the 10-year period in
subsection (a)(2)(A)(ii).
``(ii) Certain open-loop biomass facilities.--In the case
of any facility described in subsection (d)(3)(A)(ii) placed
in service before January 1, 2004, the 5-year period
beginning on January 1, 2004, shall be substituted for the
10-year period in subsection (a)(2)(A)(ii).''.
(d) Coordination With Section 48.--Section 48(a)(3) of the
Internal Revenue Code of 1986 (defining energy property) is
amended by adding at the end the following new sentence:
``Such term shall not include any property which is part of a
facility the production from which is allowed as a credit
under section 45 for the taxable year or any prior taxable
year.''.
(e) Elimination of Certain Credit Reductions.--Section
45(b)(3) of the Internal Revenue Code of 1986 (relating to
credit reduced for grants, tax-exempt bonds, subsidized
energy financing, and other credits) is amended--
(1) by inserting ``the lesser of \1/2\ or'' before ``a
fraction'' in the matter preceding subparagraph (A), and
(2) by adding at the end the following new sentence: ``This
paragraph shall not apply with respect to any facility
described in subsection (d)(2)(A)(ii).''.
(f) Credit Allowed Against Regular and Minimum Tax.--
(1) In general.--Subsection (c) of section 38 of the
Internal Revenue Code of 1986 (relating to limitation based
on amount of tax) is amended by redesignating paragraph (4)
as paragraph (5) and by inserting after paragraph (3) the
following new paragraph:
``(4) Special rules for wind energy credit.--
``(A) In general.--In the case of any wind energy credit--
[[Page S1091]]
``(i) this section and section 39 shall be applied
separately with respect to such credit, and
``(ii) in applying paragraph (1) to such credit--
``(I) the tentative minimum tax shall be treated as being
zero, and
``(II) the limitation under paragraph (1) (as modified by
subclause (I)) shall be reduced by the credit allowed under
subsection (a) for the taxable year (other than the wind
energy credit).
``(B) Wind energy credit.--For purposes of this subsection,
the term `wind energy credit' means the credit determined
under section 45 to the extent that such credit is
attributable to electricity produced--
``(i) at a facility which is originally placed in service
after the date of the enactment of this paragraph, and
``(ii) during the 4-year period beginning on the date that
such facility was originally placed in service.''.
(2) Conforming amendments.--
(A) Paragraph (2)(A)(ii)(II) of section 38(c) of such Code
is amended by striking ``or'' and inserting a comma and by
inserting ``, and the wind energy credit'' after ``employee
credit''.
(B) Paragraph (3)(A)(ii)(II) of section 38(c) of such Code
is amended by inserting ``and the wind energy credit'' after
``employee credit''.
(g) Effective Dates.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall apply
to electricity produced and sold after December 31, 2003, in
taxable years ending after such date.
(2) Certain biomass facilities.--With respect to any
facility described in section 45(d)(3)(A)(ii) of the Internal
Revenue Code of 1986, as added by subsection (b)(1), which is
placed in service before January 1, 2004, the amendments made
by this section shall apply to electricity produced and sold
after December 31, 2003, in taxable years ending after such
date.
(3) Credit rate and period for new facilities.--The
amendments made by subsection (c) shall apply to electricity
produced and sold after the date of the enactment of this
Act, in taxable years ending after such date.
(4) Nonapplication of amendments to preeffective date
poultry waste facilities.--The amendments made by this
section shall not apply with respect to any poultry waste
facility (within the meaning of section 45(c)(3)(C), as in
effect on the day before the date of the enactment of this
Act) placed in service before January 1, 2004.
(5) Wind credit allowed against regular and minimum tax.--
The amendments made by subsection (f) shall apply to taxable
years ending after the date of the enactment of this Act.
(h) GAO Study.--The Comptroller General of the United
States shall conduct a study on the market viability of
producing electricity from resources with respect to which
credit is allowed under section 45 of the Internal Revenue
Code of 1986 but without such credit. In the case of open-
loop biomass and municipal solid waste resources, the study
should take into account savings associated with not having
to dispose of such resources. In conducting such study, the
Comptroller shall estimate the dollar value of the
environmental impact of producing electricity from such
resources relative to producing electricity from fossil fuels
using the latest generation of technology. Not later than
June 30, 2006, the Comptroller shall report on such study to
the Committee on Ways and Means of the House of
Representatives and the Committee on Finance of the Senate.
(i) Extension of Customs User Fees.--Section 13031(j)(3) of
the Consolidated Omnibus Budget Reconciliation Act of 1985
(19 U.S.C. 58c(j)(3)) is amended by striking ``March 31,
2004'' and inserting ``December 31, 2013''.
______
SA 2367. Mr. AKAKA submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 715, strike line 1 and insert the following:
SEC. 3044. MEDICAL TRANSPORTATION DEMONSTRATION GRANTS.
(a) In General.--Chapter 53 is amended by adding at the end
the following:
``Sec. 5341. Medical transportation demonstration grants
``(a) Grants Authorized.--
``(1) In general.--The Secretary may award demonstration
grants to eligible entities to provide transportation
services to individuals to access dialysis treatments and
other medical treatments for diabetes or renal disease.
``(2) Eligible entities.--An entity shall be eligible to
receive a grant under this section if the entity--
``(A) meets the conditions described in section 501(c)(3)
of the Internal Revenue Code of 1986; or
``(B) is an agency of a State or unit of local government.
``(b) Use of Funds.--Grant funds received under this
section may be used to provide transportation services to
individuals to access dialysis treatments and other medical
treatments for diabetes or renal disease.
``(c) Application.--
``(1) In general.--Each eligible entity desiring a grant
under this section shall submit an application to the
Secretary at such time, at such place, and containing such
information as the Secretary may reasonably require.
``(2) Selection of grantees.--In awarding grants under this
section, the Secretary shall give preference to eligible
entities from communities with--
``(A) high incidence of diabetes;
``(B) high incidence of renal disease; and
``(C) limited access to dialysis facilities.
``(d) Rulemaking.--The Secretary shall issue regulations to
implement and administer the grant program established under
this section.
``(e) Authorization of Appropriations.--There are
authorized to be appropriated such sums as may be necessary
for each of fiscal year 2005 through 2009 to carry out this
section, which shall remain available until expended.''.
(b) Conforming Amendment.--The table of sections for
chapter 53 is amended by adding at the end the following:
``5341. Medical transportation demonstration grants.''.
``SEC. 3045. INTERMODAL PASSENGER FACILITIES.
______
SA 2368. Mr. GRASSLEY (for himself and Mr. Baucus) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 110, line 15, strike all through page
115, line 9.
______
SA 2369. Mr. GRASSLEY (for himself and Mr. Baucus) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 110, line 15, strike all through page
115, line 9.
______
SA 2370. Ms. SNOWE (for herself and Ms. Collins) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
At the end of part 2 of subtitle A of title IV, add the
following:
SEC. 4163. COMMERCIAL TRUCK HIGHWAY SAFETY DEMONSTRATION
PROGRAM.
(a) Short Title.--This section may be cited as the
``Commercial Truck Highway Safety Demonstration Program Act
of 2004''.
(b) Findings.--Congress makes the following findings:
(1) Public safety on the highways of the United States is a
paramount concern of all who use the highways and all who
prescribe public policy for the use of those highways,
including public policy on the operation of heavy commercial
trucks on highways.
(2) Federal highway funding law effectively imposes a limit
of 80,000 pounds on the weight of vehicles permitted to use
Interstate System highways.
(3) The administration of this law in Maine has forced
heavy tractor-trailer and tractor-semitrailer combination
vehicles traveling into Maine from neighboring States and
Canada to divert onto small State and local roads where
higher vehicle weight limits apply under Maine law.
(4) The diversion of those vehicles onto such roads causes
significant economic hardships and safety challenges for
small communities located along those roads.
(5) Permitting heavy commercial vehicles, including tanker
trucks carrying hazardous material and fuel oil, to travel on
Interstate System highways in Maine--
(A) would enhance public safety by reducing--
(i) the number of heavy vehicles that use town and city
streets in Maine; and
(ii) as a result, the number of dangerous interactions
between those heavy vehicles and such other vehicles as
school buses and private vehicles; and
(B) would reduce the net highway maintenance costs in Maine
because the Interstate System highways, unlike the secondary
roads of Maine, are built to accommodate heavy vehicles and
are, therefore, more durable.
(c) Definitions.--In this section:
(1) Covered interstate system highway.--
(A) In general.--The term ``covered Interstate System
highway'' means a highway within the State of Maine that is
designated as a route on the Interstate System, except as
provided in subparagraph (B).
(B) Exception.--The term does not include any portion of
highway that, as of the date of the enactment of this
section, is exempted from the requirements of subsection (a)
of section 127 of title 23, United States Code, by the last
sentence of such subsection.
(2) Interstate system.--The term ``Interstate System'' has
the meaning given that term in section 101(a) of title 23,
United States Code.
[[Page S1092]]
(d) Maine Truck Safety Demonstration Program.--The
Secretary of Transportation shall carry out a program, in the
administration of this section, to demonstrate the effects on
the safety of the overall highway network in the State of
Maine that would result from permitting vehicles described in
subsection (e)(2) to be operated on the Interstate System
highways within the State.
(e) Waiver of Highway Funding Reduction Relating to Weight
of Vehicles Using Interstate System Highways.--
(1) Prohibition relating to certain vehicles.--
Notwithstanding section 127(a) of title 23, United States
Code, the total amount of funds apportioned to the State of
Maine under section 104(b)(1) of such title for any period
may not be reduced under such section 127(a) on the basis
that the State of Maine permits a vehicle described in
paragraph (2) to use a covered Interstate System highway.
(2) Combination vehicles in excess of 80,000 pounds.--A
vehicle referred to in paragraph (1) is a vehicle having a
weight in excess of 80,000 pounds that--
(A) consists of a 3-axle tractor unit hauling a single
trailer or semitrailer; and
(B) does not exceed any vehicle weight limitation that is
applicable under the laws of the State of Maine to the
operation of such vehicle on highways in Maine not in the
Interstate System, as such laws are in effect on the date of
the enactment of this section.
(3) Effective date and termination.--
(A) Effective date.--
(i) Date of satisfaction of administrative conditions by
maine.--The prohibition in paragraph (1) shall take effect on
the date on which the Secretary of Transportation notifies
the Commissioner of Transportation of the State of Maine in
writing that--
(I) the Secretary has received the plan described in
subsection (f)(1); and
(II) the Commissioner has established a highway safety
committee as described in subsection (f)(2) and has
promulgated rules and procedures for the collection of
highway safety data as described in subsection (f)(3).
(ii) Permanent effect.--After taking effect, the
prohibition in paragraph (1) shall remain in effect unless
terminated under subparagraph (B).
(B) Contingent termination.--The prohibition in paragraph
(1) shall terminate 3 years after the effective date
applicable under subparagraph (A) if, before the end of such
3-year period, the Secretary of Transportation--
(i) determines that--
(I) operation of vehicles described in paragraph (2) on
covered Interstate System highways in Maine has adversely
affected safety on the overall highway network in Maine; or
(II) the Commissioner of Transportation of the State of
Maine has failed faithfully to use the highway safety
committee as described in subsection (f)(2)(A) or to collect
data as described in subsection (f)(3); and
(ii) publishes the determination, together with the date of
the termination of the prohibition, in the Federal Register.
(4) Consultation regarding termination for safety.--In
making a determination under paragraph (3)(B)(i)(I), the
Secretary of Transportation shall consult with the highway
safety committee established by the Commissioner in
accordance with subsection (f).
(f) Responsibilities of the State of Maine.--For the
purposes of subsection (e), the State of Maine satisfies the
conditions of this subsection if the Commissioner of
Transportation of the State of Maine--
(1) submits to the Secretary of Transportation a plan for
satisfying the conditions set forth in paragraphs (2) and
(3);
(2) establishes and chairs a highway safety committee
that--
(A) the Commissioner uses to review the data collected
pursuant to paragraph (3); and
(B) consists of representatives of--
(i) agencies of the State of Maine that have
responsibilities related to highway safety;
(ii) municipalities of the State of Maine;
(iii) organizations that have evaluation or promotion of
highway safety among their principal purposes; and
(iv) the commercial trucking industry; and
(3) collects data on the net effects that the operation of
vehicles described in subsection (e)(2) on covered Interstate
System highways have on the safety of the overall highway
network in Maine, including the net effects on single-vehicle
and multiple-vehicle collision rates for such vehicles.
______
SA 2371. Ms. SNOWE (for herself and Ms. Collins) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 1020, between lines 9 and 10, insert the following:
SEC. 4663. USE OF CONGESTION MITIGATION AND AIR QUALITY
IMPROVEMENT FUNDS FOR BOSTON TO PORTLAND
PASSENGER RAIL SERVICE.
Notwithstanding any other provision of law, funds
authorized to be appropriated under section 1101(5) that are
made available to the State of Maine may be used to support,
through September 30, 2009, the operation of passenger rail
service between Boston, Massachusetts, and Portland, Maine,
including any extension of such service.
______
SA 2372. Ms. SNOWE submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end of subtitle A of title IV, add the following:
Part 3--Miscellaneous Safety Provisions
SEC. 4171. PROHIBITION ON PURCHASE, RENTAL, LEASE, OR USE OF
NONCOMPLYING 15-PASSENGER VANS FOR USE AS
SCHOOL BUSES.
(a) Prohibition.--Section 30112(a) of title 49, United
States Code, is amended--
(1) by inserting ``(1)'' before ``Except as provided in
this section''; and
(2) by adding at the end the following:
``(2) Except as provided in this section, sections 30113
and 30114 of this title, and subchapter III of this chapter,
a person may not, after September 30, 2008, purchase, rent,
lease, or use any motor vehicle designed or used to transport
9 to 15 passengers that the person knows or reasonably should
know will be used to a significant extent to transport
preschool, primary, and secondary school students to or from
school or an event related to school, unless the motor
vehicle complies with the motor vehicle standards prescribed
for school buses under section 30125 of this title.''.
(b) Enforcement.--Section 113(f) of title 49, United States
Code, is amended--
(1) in paragraph (1), by striking ``and'' at the end;
(2) by redesignating paragraph (2) as paragraph (3); and
(3) by inserting after paragraph (1) the following new
paragraph (2):
``(2) the enforcement of the prohibition under section
30112(a)(2) of this title; and''.
(c) Limitation on Application.--The prohibition under
section 30112(a)(2) of title 49, United States Code, as added
by subsection (a), shall not apply to any purchase, rental,
lease, or use of a motor vehicle required under a contract
that was entered into before the date of enactment of this
Act.
(d) Authorization of Appropriations.--There are authorized
to be appropriated such sums as may be necessary to carry out
the prohibition under section 30112(a)(2) of title 49, United
States Code, as added by subsection (a).
SEC. 4172. FEDERAL OUTREACH EFFORTS.
Between the date of enactment of this Act and October 1,
2008, the Secretary of Transportation, in consultation with
the Administrator of the National Highway Traffic Safety
Administration and the Administrator of the Federal Motor
Carrier Safety Administration, shall conduct an aggressive
outreach campaign regarding the use of motor vehicles
designed or used to transport 9 to 15 passengers as school
buses. The outreach campaign shall be designed to ensure the
broadest practicable dissemination of outreach campaign
information to--
(1) State departments of transportation;
(2) State departments of education;
(3) local school districts;
(4) public and private school principals and
administrators; and
(5) public and private child care providers.
SEC. 4173. PENALTY.
Section 30165(a)(1) of title 49, United States Code, is
amended--
(1) by striking ``A'' before ``person'' and inserting ``(A)
Except as provided in subparagraph (B) of this paragraph,
a''; and
(2) by adding at the end the following:
``(B) The maximum amount of a civil penalty under this
paragraph shall be $25,000, in the case of--
``(i) the manufacture, sale, offer for sale, introduction
or delivery for introduction into interstate commerce, or
importation of a schoolbus or schoolbus equipment (as those
terms are defined in section 30125(a) of this title) in
violation of section 30112(a)(1) of this title; or
``(ii) a violation of section 30112(a)(2) of this title.
``(C) Subparagraph (B) shall not affect the maximum penalty
that may be imposed under subparagraph (A) for a related
series of violations.
``(D) Notwithstanding section 3302(b) of title 31,
penalties collected under subparagraph (B)--
``(i) shall be credited as offsetting collections to the
account that funds the enforcement of subparagraph (B);
``(ii) shall be available for expenditure only to pay the
costs of such enforcement; and
``(iii) shall remain available until expended.''.
______
SA 2373. Ms. SNOWE submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end of title III add the following new section:
SEC. 3045. FUNDS FOR CAPITAL INVESTMENT FOR PUBLIC
TRANSPORTATION.
(a) Repeal of Authority to Make Loans.--Section 5309(a) is
amended--
[[Page S1093]]
(1) in paragraph (1), by striking ``and loans''; and
(2) in paragraph (2), by striking ``and loans''.
(b) Grants for Ferryboat Projects.--Paragraph (1)(F) of
such section is amended to read as follows:
``(F) capital projects to replace, rehabilitate, and
purchase buses, ferryboats, and related equipment and to
construct bus-related and ferryboat-related facilities;''.
(c) Repeal of Authority to Make Loans for Real Property
Interests.--Section 5309(b) is repealed.
______
SA 2374. Ms. SNOWE (for herself, Mr. Nelson of Florida, Ms. Collins,
Mr. Graham of Florida, and Mr. Johnson) submitted an amendment intended
to be proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill
S. 1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of part 1 of subtitle B of title IV, add the
following:
SEC. 4251. INCREASED MCSAP PARTICIPATION IMPACT STUDY.
(a) In General.--If a State that did not receive its full
allocation of funding under the Motor Carrier Safety
Assistance Program during fiscal year 2003 agrees to enter
into a cooperative agreement with the Secretary of
Transportation to evaluate the safety impact, costs, and
benefits of allowing such State to continue to participate
fully in the Motor Carrier Safety Assistance Program, then
the Secretary of Transportation shall allocate to that State
the full amount of funds to which it would otherwise be
entitled for fiscal years 2004, 2005, 2006, 2007, 2008, and
2009. The Secretary of Transportation may not add conditions
to the cooperative agreement other than those directly
relating to the accurate and timely collection of inspection
and crash data sufficient to ascertain the safety and
effectiveness of such State's program.
(b) Requirements.--
(1) Report.--The State shall annually submit to the
Secretary of Transportation, the results of the safety
evaluations described in subsection (a).
(2) Termination by secretary.--If the Secretary of
Transportation finds that a cooperative agreement entered
into under this section is not in the public interest based
on the results of the annual evaluations after 2 years of
full participation by the State, the Secretary of
Transportation may terminate the cooperative agreement.
(c) Prohibition of Adoption of Lesser Standards.--No State
may enact or implement motor carrier safety regulations that
are determined by the Secretary of Transportation to be less
strict than those in effect as of September 30, 2003.
______
SA 2375. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1062, beginning with line 11, strike through line 2
on page 1064.
______
SA 2376. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 115, between lines 9 and 10, insert the following:
SEC. 1309. USE OF PROCEEDS FROM CERTAIN REAL PROPERTY SALES.
Subsection (c) of section 156 of title 23, United States,
is amended to read as follows:
``(c) Use of Federal Share of Income.--The Federal share of
net proceeds obtained by a State under subsection (a) shall
be treated as Federal funds and applied by the State to meet
the Federal share for projects eligible to receive funding
under this title.''.
______
SA 2377. Mr. McCAIN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
In section 139 of title 23, United States Code, as added by
section 1201 of the amendment--
(1) strike ``Set-aside.--'' in subsection (b)(2) and insert
``Funding.--'';
(2) strike ``of the amounts made available'' in subsection
(b)(2) and insert ``the amounts made available'';
(3) strike ``$439,000,000'' in subsection (b)(2);
(4) strike ``allocated'' in subsection (c)(1)(A) and insert
``apportioned'';
(5) strike ``subsection (d).'' in subsection (c)(1)(B) and
insert ``subsection (e).'';
(6) redesignate subsections (d) and (e) as subsections (e)
and (f), respectively, and insert the following after
subsection (c):
``(d) Distribution of Funds.--On October 1 of each fiscal
year, the Secretary shall apportion the funds available for
allocation under this section among the several States
according to the ratio that--
``(1) the total funds apportioned to each State under the
Federal-aid Highway Program, bears to
``(2) the total funds apportioned to all States under the
Federal-aid Highway Program.''; and
(7) strike subsection (e), as redesignated, and insert the
following:
``(e) Redistribution of Allocated Funds and Obligation
Authority.--On the date that is 180 days after the date of
apportionment, or as soon thereafter as practicable, for each
fiscal year, the Secretary shall--
``(1) withdraw--
``(A) any funds allocated to a State under this section
that remain unobligated; and
``(B) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(a)(14)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003; and
``(2) reallocate the funds and redistribute the obligation
authority to those States that--
``(A) have fully obligated all amounts allocated under this
section for the fiscal year; and
``(B) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.''.
``(f) Distribution of Funds.--
``(1) Infrastructure performance and maintenance program
distribution.--Notwithstanding section 1101(13) of the Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2004, and in lieu of the amounts authorized by that
section, there are authorized to be appropriated out of the
Highway Trust Fund (other than the Mass Transit Account) for
carrying out the infrastructure performance and maintenance
program under this section--
``(A) $2,000,000,000 for each of fiscal years 2004 and
2005; and
``(B) $1,750,000,000 for each of fiscal years 2006, 2007,
and 2008.
______
SA 2378. Mr. McCAIN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
In section 139 of title 23, United States Code, as added by
section 1201 of the amendment--
(1) strike ``Set-aside.--'' in subsection (b)(2) and insert
``Funding.--'';
(2) strike ``of the amounts made available'' in subsection
(b)(2) and insert ``the amounts made available'';
(3) strike ``$439,000,000'' in subsection (b)(2);
(4) strike ``allocated'' in subsection (c)(1)(A) and insert
``apportioned'';
(5) strike ``subsection (d).'' in subsection (c)(1)(B) and
insert ``subsection (e).'';
(6) redesignate subsections (d) and (e) as subsections (e)
and (f), respectively, and insert the following after
subsection (c):
(d) Distribution of Funds.--On October 1 of each fiscal
year, the Secretary shall apportion the funds available for
allocation under this section among the several States
according to the ratio that--
``(1) the percentage of tax payments attributable to
highway users in each State paid into the Highway Trust Fund
(other than the Mass Transit Account), bears to
``(2) the 100 percent of tax payments attributable to
highway users in all States paid into the Highway Trust Fund
(other than the Mass Transit Account).''; and
(7) strike subsection (e), as redesignated, and insert the
following:
``(e) Redistribution of Allocated Funds and Obligation
Authority.--On the date that is 180 days after the date of
apportionment, or as soon thereafter as practicable, for each
fiscal year, the Secretary shall--
``(1) withdraw--
``(A) any funds allocated to a State under this section
that remain unobligated; and
``(B) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(a)(14)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003; and
``(2) reallocate the funds and redistribute the obligation
authority to those States that--
``(A) have fully obligated all amounts, allocated under
this section for the fiscal year; and
``(B) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.
``(f) Application With Section 105.--Notwithstanding
section 105(a)(2)(H) of this title, section 105(a) shall not
apply to funds apportioned under this section.''.
``(g) Distribution of Funds.--
``(1) Infrastructure performance and maintenance program
distribution.--Notwithstanding section 1101(13) of the Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2004, and in lieu of the amounts authorized by that
section, there are authorized to be appropriated out of the
Highway Trust Fund (other than the Mass Transit Account) for
carrying out the infrastructure performance and maintenance
program under this section--
[[Page S1094]]
``(A) $2,000,000,000 for each of fiscal years 2004 and
2005; and
``(B) $1,750,000,000 for each of fiscal years 2006, 2007,
and 2008.
______
SA 2379. Mr. McCAIN (for himself and Mr. Hollings) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 299, strike lines 2 through 8.
______
SA 2380. Mr. McCAIN (for himself and Mr. Hollings) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 508, beginning with line 1, strike through line 25
on page 515.
______
SA 2381. Mr. McCAIN (for himself and Mr. Hollings) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highways safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 287, beginning with line 12, strike through line 2
on page 288.
______
SA 2382. Mr. McCAIN (for himself and Mr. Hollings) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highways safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 79, beginning with line 11, strike through line 3
on page 80.
______
SA 2383. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highways safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Strike section 4601.
______
SA 2384. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highways safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1005, beginning with line 13, strike through line 9
on page 1020 and insert the following:
Subtitle F--Amtrak Reauthorization
SEC. 4601. AUTHORIZATION OF APPROPRIATIONS.
The text of section 24104 of title 49, United States Code,
is amended to read as follows:
``There are authorized to be appropriated to the Secretary
of Transportation $2,000,000,000 for each of fiscal years
2004, 2005, 2006, 2007, 2008, and 2009 for the benefit of
intercity rail passenger service for operating and capital
expenses.''.
______
SA 2385. Mr. McCAIN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
In section 139 of title 23, United States Code, as added by
section 1201 of the amendment--
(1) strike ``Set-aside.--'' in subsection (b)(2) and insert
``Funding.--'';
(2) strike ``of the amounts made available'' in subsection
(b)(2) and insert ``the amounts made available'';
(3) strike ``$439,000,000'' in subsection (b)(2);
(4) strike ``allocated'' in subsection (c)(1)(A) and insert
``apportioned'';
(5) strike ``subsection (d).'' in subsection (c)(1)(B) and
insert ``subsection (e).'';
(6) redesignate subsections (d) and (e) as subsections (e)
and (f), respectively, and insert the following after
subsection (c):
``(d) Distribution of Funds.--On October 1 of each fiscal
year, the Secretary shall apportion the funds available for
allocation under this section among the several States
according to the ratio that--
``(1) the total funds apportioned to each State under the
Federal-aid Highway Program, bears to
``(2) the total funds apportioned to all States under the
Federal-aid Highway Program.''; and
(7) strike subsection (e), as redesignated, and insert the
following:
``(e) Redistribution of Allocated Funds and Obligation
Authority.--On the date that is 180 days after the date of
apportionment, or as soon thereafter as practicable, for each
fiscal year, the Secretary shall--
``(1) withdraw--
``(A) any funds allocated to a State under this section
that remain unobligated; and
``(B) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(a)(14)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003; and
``(2) reallocate the funds and redistribute the obligation
authority to those States that--
``(A) have fully obligated all amounts allocated under this
section for the fiscal year; and
``(B) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.''.
______
SA 2386. Mr. McCAIN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
In section 139 of title 23, United States Code, as added by
section 1201 of the amendment--
(1) strike ``Set-Aside.--'' in subsection (b)(2) and insert
``Funding.--'';
(2) strike ``of the amounts made available'' in subsection
(b)(2) and insert ``the amounts made available'';
(3) strike ``$439,000,000'' in subsection (b)(2);
(4) strike ``allocated'' in subsection (c)(1)(A) and insert
``apportioned'';
(5) strike ``subsection (d).'' in subsection (c)(1)(B) and
insert ``subsection (e).'';
(6) redesignate subsections (d) and (e) as subsections (e)
and (f), respectively, and insert the following after
subsection (c):
``(d) Distribution of Funds.--On October 1 of each fiscal
year, the Secretary shall apportion the funds available for
allocation under this section among the several States
according to the ratio that--
``(1) the percentage of tax payments attributable to
highway users in each State paid into the Highway Trust Fund
(other than the Mass Transit Account), bears to
``(2) the 100 percent of tax payments attributable to
highway users in all States paid into the Highway Trust Fund
(other than the Mass Transit Account).''; and
(7) strike subsection (e), as redesignated, and insert the
following:
``(e) Redistribution of Allocated Funds and Obligation
Authority.--On the date that is 180 days after the date of
apportionment, or as soon thereafter as practicable, for each
fiscal year, the Secretary shall--
``(1) withdraw--
``(A) any funds allocated to a State under this section
that remain unobligated; and
``(B) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(a)(14)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003; and
``(2) reallocate the funds and redistribute the obligation
authority to those States that--
``(A) have fully obligated all amounts allocated under this
section for the fiscal year; and
``(B) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.
``(f) Application With Section 105.--Notwithstanding
section 105(a)(2)(H) of this title, section 105(a) shall not
apply to funds apportioned under this section.''.
______
SA 2387. Mr. McCAIN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highways safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
SEC. 1104. EQUITY PROVISION.
(a) In General.--Section 105 of title 23, United States
Code, is amended to read as follows:
``Sec. 105. Equity provision
``(a) General Rule.--For each of fiscal years 2004 through
2009, the Secretary shall ensure that the percentage of
apportionments of each State is sufficient to ensure that,
based on the percentage of tax payments attributable to
highway users in each State paid into the Highway Trust Fund
(other than the Mass Transit Account) in the latest fiscal
year for which data are available, no State's percentage
return from the Highway Trust Fund is less than 100 percent.
``(b) Apportionments.--In making an apportionment described
in subsection (a) for a fiscal year, the Secretary shall
ensure that the rate of return of each State from the Highway
Trust Fund includes the total apportionments made for the
fiscal year for--
``(1) the Interstate maintenance program under section 119;
[[Page S1095]]
``(2) the National Highway System under section 103;
``(3) the bridge program under section 144;
``(4) the surface transportation program under section 133;
``(5) the congestion mitigation and air quality improvement
program under section 149;
``(6) the highway safety improvement program under section
148;
``(7) the Appalachian development highway system program
under section 170;
``(8) the recreational trails program under section 206;
``(9) the metropolitan planning program under section
104(f);
``(10) the safe routes to school program under section 150;
and
``(11) the railway-highway crossings under section 130.
``(c) Adjustments.--
``(1) In general.--If in any of fiscal years 2004 through
2009, the total of the amounts authorized under (a) and (b)
is more than the amounts listed in paragraph (2), then the
Secretary shall proportionally reduce the amounts apportioned
under paragraphs (1) through (6) so that the total equals the
amount listed under paragraph (2). In making such reductions,
the Secretary shall ensure that no State's percentage return
from the Highway Trust Fund (other than the Mass Transit
Account) is less than 100 percent.
``(2) Amounts.--The amount listed in this paragraph is as
follows:
``(A) the amount for 2004 is $35,419,162,743.
``(B) the amount for 2005 is $38,142,851,998.
``(C) the amount for 2006 is $39,323,247,546.
``(D) the amount for 2007 is $39,084,010,054.
``(E) the amount for 2008 is $39,386,404,896.
``(F) the amount for 2009 is $44,789,782,206.
``(3) Negative amounts.--If the reduction required by
paragraph (1) for any fiscal year would result in zero or a
negative number, then the Secretary shall apportion the
amount for that fiscal year set forth in paragraph (2) among
the several States using the formula in subsection (a).
``(d) Authorization of Appropriations.--There are
authorized to be appropriated out of the Highway Trust Fund
(other than the Mass Transit Account) such sums as may be
necessary to carry out this section for each of fiscal years
2004 through 2009.
``(e) Programmatic Distribution of Funds.--
``(1) Initial distribution.--The Secretary shall apportion
$2,500,000,000 of the amounts made available under this
section to each State in accordance with section 119.
``(2) Remainder distribution.--The Secretary shall
apportion the remainder of the amounts made available under
this section so that the amount apportioned to each State for
each program referred to in paragraphs (1) through (6) of
subsection (b) is equal to the amount determined by
multiplying the amount to be apportioned under this paragraph
by the ratio that--
(A) the amount of funds apportioned to each State for each
program referred to in those paragraphs for a fiscal year,
bears to
(B) the total amount of funds apportioned to each State for
such program for that fiscal year.''.
(b) Conforming Amendments.--
(1) Section 104(b) of title 23, United States Code, is
amended--
(A) by inserting ``50 percent of'' after ``Highway, and''
in paragraph (1)(A);
(B) by redesignating subparagraph (B) of paragraph (1) as
subparagraph (C) and inserting the following after
subparagraph (A):
``(B) The remaining 50 percent of the funds apportioned
under subparagraph (A) shall be apportioned in the ratio
described in paragraph (3)(A).'';
(C) by striking paragraph (3)(A) and inserting the
following:
``(A) In general.--For the surface transportation program,
in the ratio that--
``(i) the estimated tax payments attributable to highway
users in each State paid into the Highway Trust fund (other
than the Mass Transit Account) in the latest fiscal year for
which data are available, bears to
``(ii) the estimated tax payments attributable to highway
users in all States paid into the Highway Trust fund (other
than the Mass Transit Account) in the latest fiscal year for
which data are available.'';
(D) by striking ``For'' in paragraph (4) and inserting
``Fifty percent of the funds for''; and
(E) by adding at the end of paragraph (4) the following:
``(The remaining 50 percent of such funds shall be
apportioned in the ratio described in paragraph (3)(A).''.
(2) The chapter analysis for chapter 1 of title 23, United
States Code, is amended by striking the item relating to
section 105 and inserting the following:
``105. Equity provision''.
Strike paragraph (13) of section 1101 of the amendment and
redesignate paragraphs (14) and (15) as paragraphs (13) and
(14), respectively.
______
SA 2388. Mrs. HUTCHISON (for herself, Mr. Kyl, Mr. Levin, Mr. Graham
of Florida, Mr. McCain, Ms. Stabenow, and Mrs. Feinstein) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
In section 139 of title 23, United States Code, as added by
section 1201 of the amendment--
(1) strike ``Set-aside.--'' in subsection (b)(2) and insert
``Funding.--''
(2) strike ``of the amounts made available'' in subsection
(b)(2) and insert ``the amounts made available'';
(3) strike ``$439,000,000'' in subsection (b)(2);
(4) strike ``allocated'' in subsection (c)(1)(A) and insert
``apportioned'';
(5) strike ``subsection (d).'' in subsection (c)(1)(B) and
insert ``subsection (e).'';
(6) redesignate subsections (d) and (e) as subsections (e)
and (f), respectively, and insert the following after
subsection (c):
``(d) Distribution of Funds.--
``(1) Infrastructure performance and maintenance program
distribution.--Nothwithstanding subsection 1101(13) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004, and in lieu of the amounts authorized by
that section, there are authorized to be appropriated out of
the Highway Trust Fund (other than the Mass Transit Account)
for carrying out the infrastructure performance and
maintenance program under this section--
``(A) $2,000,000,000 for each of fiscal years 2004 and
2005; and
``(B) $1,750,000,000 for each of fiscal years 2006, 2007,
and 2008.
``(2) Equity distribution.--On October 1 of each fiscal
year, the Secretary shall reserve a sufficient amount of the
funding available to carry out this section to provide a
final equity adjustment, after making the apportionment under
section 105 of this title, for each State to increase the
percentage return of all highway apportionments, as compared
to the tax payments attributable to the States paid into the
Highway Trust Fund (other than the Mass Transit Account),
to--
``(A) for fiscal year 2005, 91 percent;
``(B) for fiscal year 2006, 92 percent;
``(C) for fiscal year 2007, 93 percent;
``(D) for fiscal year 2008, 94 percent;
``(E) for fiscal year 2009, 95 percent.
``(3) Remainder distribution.--On October 1 of each fiscal
year, the Secretary shall apportion the funds available for
allocation under this section among the several States, after
the application of paragraph (1), according to the ratio
that--
``(1) the percentage of tax payments attributable to
highway users in each State paid into the Highway Trust Fund
(other than the Mass Transit Account), bears to
``(2) 100 percent of tax payments attributable to highway
users in all States paid into the Highway Trust Fund (other
than the Mass Transit Account).''; and
(7) strike subsection (e), as redesignated, and insert the
following:
``(e) Redistribution of Allocated Funds and Obligation
Authority.--On the date that is 180 days after the date of
apportionment, or as soon thereafter as practicable, for each
fiscal year, the Secretary shall--
``(1) withdraw--
``(A) any funds allocated to a State under this section
that remain unobligated; and
``(B) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(a)(13)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003; and
``(2) reallocate the funds and redistribute the obligation
authority to those States that--
``(A) have fully obligated all amounts allocated under this
section for the fiscal year; and
``(B) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.
``(f) Application with Section 105.--Notwithstanding
section 105(a)(2)(H) of this title, section 105(a) shall not
apply to funds apportioned under this section.''.
______
SA 2389. Mrs. HUTCHISON submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of title IV, add the following:
SEC. 4663. AMTRAK CAPITAL EXPENDITURES NORTHEAST CORRIDOR
LIMIT.
Notwithstanding any other provision of law, Amtrak may not
expend more than 50 percent of its total expenditures for
capital projects in any fiscal year for such projects on any
one Corridor.
______
SA 2390. Mrs. HUTCHISON submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. ------. SECTION 49(F) POLICY ON LANDS, WILDLIFE AND
WATERFOWL REFUGES, AND HISTORIC SITES.
(a) In General.--Section 138 of title 23, United States
Code, and section 303 of title
[[Page S1096]]
49, United States Code, are each amended by adding at the end
the following matter with appropriate subsection designation:
``( ) Treatment of Historic Sites.--The requirements of
this section are deemed to be satisfied where the treatment
of an historic site (other than a National Historic Landmark)
has been agreed upon in accordance with section 106 of the
National Historic Preservation Act (16 U.S.C. 470f). The
Secretary, in consultation with the Advisory Council on
Historic Preservation, shall develop administrative
procedures to review the implementation of this subsection to
ensure that the objectives of the National Historic
Preservation Act are being met.''.
(b) Administration.--
(1) Approval of state requests for funds.--The Secretary of
Transportation may approve a request by a State to provide
funds made available under chapter 1 of title 23, United
States Code, to a State historic preservation office, Tribal
historic preservation office, or to the Advisory Council on
Historic Preservation to provide the resources necessary to
expedite the historic preservation review and consultation
process under section 138 of title 23, section 303 of title
49, and under section 470f of title 16, United States Code.
(2) State funding.--The Secretary shall encourage States to
provide such funding to State historic preservation officers,
Tribal historic preservation officers or the Advisory Council
on Historic Preservation where the investment of such funds
will accelerate completion of a project or classes of
projects or programs by reducing delays in historic
preservation review and consultation.
(3) Additional amounts.--The Secretary may approve requests
under paragraph (1) only--
(A) for the additional amounts that the Secretary
determines are necessary for a State historic preservation
office, Tribal historic preservation office, or the Advisory
Council on Historic Preservation to expedite the review and
consultation process; and
(B) only where the Secretary determines that such
additional amounts will permit completion of the historic
preservation process in less than the time customarily
required for such process.
______
SA 2391. Mrs. HUTCHISON submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of title IV, add the following:
SEC. 4663. AMTRAK EXPENDITURES NORTHEAST CORRIDOR LIMIT.
Notwithstanding any other provision of law, Amtrak may not
expend more than 50 percent of its total expenditures for
capital projects and operations in any fiscal year for such
projects and operations on any one Corridor.
______
SA 2392. Mr. BURNS submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 487, after line 23, insert the following:
SEC. 2105. WIDEBAND MULTI-BAND MOBILE PILOT PROJECTS.
(a) In General.--The Secretary shall make grants for
wideband multi-media mobile pilot projects to demonstrate
emergency communications systems that provide wideband, two-
way information transfer capabilities utilizing the public
safety spectrum made available by the Federal Communications
Commission in the 700 MHz radio frequency band and that are
compliant with the public safety wideband data standard TIA-
902 as recommended as the wideband data interoperability
standard by the Public Safety National Coordinating Committee
to the Federal Communications Commission.
(b) Locations.--Not later than 90 days after the date of
enactment of this Act, the Secretary shall establish
locations for pilot projects under this section. In
determining pilot project locations, the Secretary shall
certify that pilot project locations awarded grants have
spectrum available for public safety purposes and are in the
700 MHz band pursuant to the Federal Communications
Commission's rules.
(c) Limit on Time.--Grants under this section shall be
awarded not later than 12 months after the date of enactment
of this Act.
(d) Funding.--Of amounts made available under section
2001(a)(4), $40,000,000 shall be available to carry out this
section.
______
SA 2393. Mr. BURNS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 764, between lines 4 and 5, insert the following
new subsection:
``(i) Minimum Apportionment and Criteria.--
``(1) Minimum apportionment.--Notwithstanding any other
provision of this section, the Secretary shall grant to any
State that qualifies under paragraph (2) and has not
received, as a result of other provisions of this section, at
least \1/2\ of 1 percent of the total funds authorized for a
fiscal year for grants under this section, such additional
funds as are necessary to result in such State receiving \1/
2\ of 1 percent of the total funds authorized for grants
under this section for that fiscal year. Funds for grants
under this subsection shall be derived from pro-rata
reduction of grant amounts that otherwise would be awarded
pursuant to other subsections of this section.
``(2) Criteria.--To qualify for a grant under this
subsection, a State--
``(A) shall meet the requirements of subsection (a)(2) of
this section; and
``(B) shall--
``(i) meet 4 of the 7 criteria for qualifying for grants
under subsection (b)(1) of this section (as that subsection
was as in effect for fiscal year 2003 funding);
``(ii) for the most recent year for which data is
available, have an alcohol-related fatality rate per 100
million vehicle miles traveled that is either lower than the
national average for that year or lower than the rate in that
State in the second most recent year for which data is
available; or
``(iii) for the most recent 3 years for which data is
available, have an average alcohol-related fatality rate per
100 million vehicle miles traveled that is either lower than
the average of the national rate for those 3 years or lower
than the average of such rate in that State for the fourth,
fifth, and sixth most recent years for which data is
available.
``(3) Uses of funds.--Grants under this subsection may be
used for--
``(A) any activity that was an eligible use of grants under
this section for fiscal year 2003;
``(B) any activity otherwise eligible under this section;
and
``(C) any other activity undertaken by the State for the
purpose of reducing impaired driving unless disapproved by
the Secretary on the basis that it bears no relation to that
objective.''
______
SA 2394. Mr. DAYTON submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place, add the following:
SEC. 1106. ADDITIONAL FUNDING.
(a) In General.--In addition to the funds made available
for each surface transportation program by this Act and
amendments made by this Act, there shall be available for
each such program for the period beginning on the date of
enactment of this Act and ending September 30, 2009, from the
general fund of the Treasury, an amount equal to the
difference between--
(1) the amount of funds made available for the program
under this Act (other than this section) and amendments made
by this Act; and
(2) the amount of funds made available for the program
under the Transportation Equity Act for the 21st Century
(Public Law 105-178) and amendments made by that Act.
(b) Administrative Action.--
(1) In general.--Not later than 2 business days after the
date of enactment of this Act, the Secretary of the Treasury
shall transfer to the Secretary the total amount made
available for Federal-aid highway programs by subsection (a).
(2) Receipt, acceptance, and treatment of funds.--The
Secretary shall--
(A) be entitled to receive, and shall accept, the funds
transferred under paragraph (1), without further
appropriation; and
(B) apportion, allocate, deduct, or set aside, as the case
may be, in accordance with title 23, United States Code (as
in effect on the day before the date of enactment of this
Act), the funds transferred under paragraph (1).
(c) Obligation Authority.--Funds made available by this
section shall be available for obligation in the same manner
as if the funds were apportioned under chapter 1 of title 23,
United States Code.
______
SA 2395. Mr. McCAIN (for himself and Mr. Hollings) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 1020, between lines 9 and 10, insert the following:
Subtitle C--Intermodal Equipment Safety
SEC. 181. FINDINGS.
The Congress finds the following:
(1) Promoting the safety of our Nation's highways is a
national priority. The Department of Transportation has
promulgated the Federal Motor Carrier Safety Regulations to
further this purpose. The systematic maintenance, repair, and
inspection of equipment
[[Page S1097]]
traveling in interstate and foreign commerce are an integral
part of the safety regime.
(2) Motor carriers and their drivers that receive
intermodal chassis and trailers from others, generally do not
have an opportunity to perform the systematic maintenance of
such equipment.
(3) Available evidence indicates that intermodal chassis
and trailers operated on the highways in interstate and
foreign commerce are sometimes out of compliance with the
Federal Motor Carrier Safety Regulations, but no party is
clearly held responsible for the systematic maintenance of
the intermodal chassis and trailers prior to operation on the
highways.
(4) Responsibility for compliance with the Federal Motor
Carrier Safety Regulations must be shared between the owners
or others that make intermodal chassis and trailers available
for transport and the motor carriers that transport such
equipment.
SEC. 182. DEFINITIONS.
Section 31132 of title 49, United States Code, is amended
by adding at the end the following:
``(11) `Intermodal equipment' means equipment that is
commonly used in the intermodal transportation of freight
over public highways as an instrumentality of interstate or
foreign commerce, including trailers, chassis, and any
similar devices.
``(12) `Intermodal equipment interchange agreement' means a
written document executed by an intermodal equipment provider
or its agent and a motor carrier or its agent, whose primary
purpose it is to which establish the responsibilities and
liabilities of both parties with respect to the interchange
of the intermodal equipment.
``(13) `Intermodal equipment provider' means any party with
any legal right, title, interest, or contractual obligation
in intermodal equipment that interchanges such equipment to a
motor carrier and registers such equipment with the United
States Department of Transportation pursuant to this
subtitle.
``(14) `Interchange' means the act of providing intermodal
equipment to a motor carrier for the purpose of transporting
the equipment for loading or unloading by any party or
repositioning the equipment for the benefit of the equipment
provider. Such term does not mean the leasing of equipment to
a motor carrier for use in the motor carrier's over-the-road
freight hauling operations.''.
SEC. 183. JURISDICTION OVER EQUIPMENT PROVIDERS; PROHIBITION
ON RETALIATION.
Section 31136 of title 49, United States Code, is amended
by adding at the end the following:
``(g) Inspection, Repair, and Maintenance of Intermodal
Equipment.--
``(1) Authority to regulate.--The term `commercial motor
vehicle' as defined in section 31132(1) of this title
includes intermodal equipment commonly used in the road
transportation of intermodal freight, including trailers,
chassis and associated devices. The Secretary, or an employee
designated by the Secretary, may on demand and display of
proper credentials to inspect intermodal equipment and
inspect and copy related maintenance and repair records.
``(2) Responsibility for maintenance, repair, and
inspection.--
``(A) In general.--Except as provided in subparagraph (B),
notwithstanding any provision in an intermodal equipment
interchange agreement to the contrary, an intermodal
equipment provider shall be responsible for the
systematic inspection, maintenance, and repair of
intermodal equipment interchanged, or intended for
interchange, to ensure that such equipment complies with
all applicable Federal Motor Carrier Safety Regulations.
``(B) Motor carrier leases.--Notwithstanding subparagraph
(A), a motor carrier that leases intermodal equipment from an
intermodal equipment provider shall be responsible for the
systematic maintenance, repair, and inspection of such
equipment for the duration of the lease.
``(3) Negligence; willful misconduct.--Notwithstanding
paragraph (2), an intermodal equipment provider shall not be
responsible for noncompliance with the Federal Motor Carrier
Safety Regulations caused by the negligence or willful
misconduct of a motor carrier or its agent to which
intermodal equipment has been interchanged.
``(h) Prohibition on Retaliation.--An intermodal equipment
provider may not take any action to threaten, coerce,
discipline, discriminate, or otherwise retaliate against a
driver or motor carrier in response to a report or complaint
made by a driver or motor carrier that the maintenance or
repair of intermodal equipment intended for interchange, or
actually interchanged, failed to comply with the applicable
Federal Motor Carrier Safety Regulations. It shall not be a
violation of this subsection for an intermodal equipment
provider to refuse to interchange intermodal equipment to a
driver or motor carrier for legitimate business reasons, as
determine by the Secretary, including a driver's or motor
carrier's failure to pay debts owed to an intermodal
equipment provider.''.
SEC. 184. PREEMPTION OF STATE LAWS.
(a) Compatibility.--
(1) The first sentence of section 31141(c)(1) of title 49,
United States Code, is amended to read as follows: ``Except
as provided by subsection (h) of this section, the Secretary
shall review State laws and regulations on commercial motor
vehicle safety.''.
(2) Section 31141 of title 49, United States Code, is
amended by adding at the end the following:
``(h) Preemption Generally.--Except as otherwise authorized
by Federal law, a law, regulation, order or other requirement
of a State, a political subdivision of a State, or a tribal
organization, is preempted if compliance with such law,
regulation, order, or other requirement would exceed or
otherwise be inconsistent with a requirement imposed under or
pursuant to this chapter.''.
SEC. 185. IMPLEMENTING REGULATIONS.
(a) Regulations.--the Secretary of Transportation, after
notice and opportunity for comment, shall issue regulations
implementing the provisions of section 31136(g) of title 49,
United States Code. The regulations shall be issued as part
of the Federal Motor Carrier Safety Regulations of the
Department of Transportation and shall include--
(1) a requirement to identify providers of intermodal
equipment that is interchanged or intended for interchange to
motor carriers in intermodal transportation;
(2) a requirement to match such intermodal equipment
readily to the intermodal equipment provider through a unique
identifying number;
(3) a requirement to ensure that each intermodal equipment
provider maintains a system of maintenance and repair records
for such equipment;
(4) a requirement to evaluate the compliance of intermodal
equipment providers with the applicable Federal Motor Carrier
Safety Regulations;
(5) a provision that--
(A) establishes a civil penalty structure consistent with
section 521(b) of title 49, United States Code, for
intermodal equipment providers that fail to attain
satisfactory compliance with applicable Federal Motor Carrier
Safety Regulations; and
(B) prohibits intermodal equipment providers from placing
intermodal equipment on the public highways if such providers
are found to be unfit under section 31144 of this title;
(6) a process by which motor carriers and agents of motor
carriers may confidentially petition the Federal Motor
Carrier Safety Administration to undertake an investigation
of noncompliant intermodal equipment provider;
(7) a process by which an equipment provider or its agent
may confidentially petition the Federal Motor Carrier Safety
Administration to undertake an investigation of noncompliant
motor carriers;
(8) a process by which drivers or motor carriers would be
required to report any damage or defect in intermodal
equipment at the time the equipment is returned to the
equipment provider; and
(9) an inspection and audit program of intermodal equipment
providers.
(b) Time for Issuing Regulations.--The regulations required
under subsection (a) shall be developed pursuant to a
rulemaking proceeding initiated not later than 120 days after
the date of enactment of this Act and shall be issued not
later than 1 year after such date of enactment.
SEC. 186. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to the Federal
Motor Carrier Safety Administration $1,500,000 for the
establishment and implementation of the inspection program
described in section 185(a)(7) of this subtitle.
______
SA 2396. Mr. DeWINE submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 792, between lines 15 and 16, insert the following:
Part 3--Miscellaneous Provisions
SEC. 4171. DRIVER LICENSING AND EDUCATION.
(a) National Office of Driver Licensing and Education.--
Section 105 of title 49, United States Code, is amended by
adding at the end the following new subsection:
``(f)(1) There is a National Office of Driver Licensing and
Education in the National Highway Traffic Safety
Administration.
``(2) The head of the National Office of Driver Licensing
and Education is the Director.
``(3) The functions of the National Office of Driver
Licensing and Education are as follows:
``(A) To provide States with services for coordinating the
motor vehicle driver training and licensing programs of the
States.
``(B) To develop and make available to the States a
recommended comprehensive model for motor vehicle driver
education and graduated licensing that incorporates the best
practices in driver education and graduated licensing,
including best practices with respect to--
``(i) vehicle handling and crash avoidance;
``(ii) driver behavior and risk reduction;
``(iii) roadway features and associated safety
implications;
``(iv) roadway interactions involving all types of vehicles
and road users, such as car-truck and pedestrian-car
interactions;
``(v) parent education; and
``(vi) other issues identified by the Director.
``(C) To carry out such research (pursuant to cooperative
agreements or otherwise) and undertake such other activities
as the Director determines appropriate to develop and, on an
ongoing basis, improve the recommended comprehensive model.
``(D) To provide States with technical assistance for the
implementation and deployment of the motor vehicle driver
education and licensing comprehensive model recommended under
subparagraph (B).
[[Page S1098]]
``(E) To develop and recommend to the States methods for
harmonizing the presentation of motor vehicle driver
education and licensing with the requirements of multistage
graduated licensing systems, including systems described in
section 410(c)(4) of title 23, and to demonstrate and
evaluate the effectiveness of those methods in selected
States.
``(F) To assist States with the development and
implementation of programs to certify driver education
instructors, including the development and implementation of
proposed uniform certification standards.
``(G) To provide States with financial assistance under
section 412 of title 23 for--
``(i) the implementation of the motor vehicle driver
education and licensing comprehensive model recommended under
subparagraph (B);
``(ii) the establishment or improved administration of
multistage graduated licensing systems; and
``(iii) the support of other improvements in motor vehicle
driver education and licensing programs.
``(H) To evaluate the effectiveness of the comprehensive
model recommended under subparagraph (B).
``(I) To examine different options for delivering driver
education in the States.
``(J) To perform such other functions relating to motor
vehicle driver education or licensing as the Secretary may
require.
``(4) Not later than 42 months after the date of the
enactment of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004, the Director shall submit
to Congress a report on the progress made by the National
Office of Driver Licensing and Education with respect to the
functions under paragraph (3).''.
(b) Grant Program for Improvement of Driver Education and
Licensing.--
(1) Authority.--
(A) In general.--Chapter 4 of title 23, United States Code,
is amended by adding at the end the following new section:
``SEC. 412. DRIVER EDUCATION AND LICENSING.
``(a) Authority.--
``(1) In general.--The Secretary shall carry out a program
to provide States, by grant, with financial assistance to
support the improvement of motor vehicle driver education
programs and the establishment and improved administration of
graduated licensing systems, including systems described in
section 410(c)(4) of this title.
``(2) Administrative office.--The Secretary shall
administer the program under this section through the
Director of the National Office of Driver Licensing and
Education.
``(b) Eligibility Requirements.--
``(1) Regulations.--The Secretary shall prescribe in
regulations the eligibility requirements, application and
approval procedures and standards, and authorized uses of
grant proceeds for the grant program under this section. The
regulations shall, at a minimum, authorize use of grant
proceeds for the following activities:
``(A) Quality assurance testing, including follow-up
testing to monitor the effectiveness of--
``(i) driver licensing and education programs;
``(ii) instructor certification testing; and
``(iii) other statistical research designed to evaluate the
performance of driver education and licensing programs.
``(B) Improvement of motor vehicle driver education
curricula.
``(C) Training of instructors for motor vehicle driver
education programs.
``(D) Testing and evaluation of motor vehicle driver
performance.
``(E) Public education and outreach regarding motor vehicle
driver education and licensing.
``(F) Improvements with respect to State graduated
licensing programs, as well as related enforcement
activities.
``(2) Consultation requirement.--In prescribing the
regulations, the Secretary shall consult with the following:
``(A) The Administrator of the National Highway Traffic
Safety Administration.
``(B) The heads of such other departments and agencies of
the United States as the Secretary considers appropriate on
the basis of relevant interests or expertise.
``(C) Appropriate officials of the governments of States
and political subdivisions of States.
``(D) Other relevant experts.
``(c) Maximum Amount of Grant.--The maximum amount of a
grant of financial assistance for a program, project, or
activity under this section may not exceed 75 percent of the
total cost of such program, project, or activity.''.
(B) Clerical amendment.--The table of sections at the
beginning of such chapter is amended by adding at the end the
following new item:
``412. Driver education and licensing.''.
(2) Time for promulgation of regulations.--The Secretary of
Transportation shall promulgate the regulations under section
412(b) of title 23, United States Code (as added by paragraph
(1)), not later than October 1, 2005.
(c) Grant Program for Public Awareness of Organ Donation
Through Driver Licensing Programs.--
(1) Authority.--
(A) In general.--Chapter 4 of title 23, United States Code
(as amended by subsection (b)), is further amended by adding
at the end the following new section:
``SEC. 413. ORGAN DONATION THROUGH DRIVER LICENSING.
``(a) Authority.--
``(1) In general.--The Secretary shall carry out a program
to provide eligible recipients, by grant, with financial
assistance to carry out campaigns to increase public
awareness of, and training on, authority and procedures under
State law to provide for the donation of organs through a
declaration recorded on a motor vehicle driver license.
``(2) Administrative office.--The Secretary shall
administer the program under this section through the
Director of the National Office of Driver Licensing and
Education.
``(b) Eligibility Requirements.--
``(1) Regulations.--The Secretary shall prescribe in
regulations the eligibility requirements, application and
approval procedures and standards, and authorized uses of
grant proceeds for the grant program under this section.
``(2) Consultation requirement.--In prescribing the
regulations, the Secretary shall consult with the following:
``(A) The Administrator of the National Highway Traffic
Safety Administration.
``(B) The heads of such other departments and agencies of
the United States as the Secretary considers appropriate on
the basis of relevant interests or expertise.
``(C) Appropriate officials of the governments of States
and political subdivisions of States.
``(D) Representatives of private sector organizations
recognized for relevant expertise.''.
(B) Clerical amendment.--The table of sections at the
beginning of such chapter is amended by adding at the end the
following new item:
``413. Organ donation through driver licensing.''.
(2) Time for promulgation of regulations.--The Secretary of
Transportation shall promulgate the regulations under section
413(b) of title 23, United States Code (as added by paragraph
(1)), not later than October 1, 2005.
(d) Study of National Driver Education Standards.--
(1) Requirement for study.--The Secretary of Transportation
shall carry out a study to determine whether the
establishment and imposition of nationwide minimum standards
of motor vehicle driver education would improve national
highway traffic safety or the performance and legal
compliance of novice drivers.
(2) Time for completion of study.--The Secretary shall
complete the study not later than 2 years after the date of
the enactment of this Act.
(3) Report.--The Secretary shall publish a report on the
results of the study under this section not later than 2
years after the study is completed.
(e) Authorization of Appropriations.--Of the amounts
available to carry out section 403 of title 23, United States
Code, for each of the fiscal years 2005 through 2010,
$5,000,000 may be made available for each such fiscal year to
carry out sections 412 and 413 of title 23, United States
Code (as added by subsections (b) and (c), respectively).
SEC. 4172. AMENDMENT OF AUTOMOBILE INFORMATION DISCLOSURE
ACT.
(a) Safety Labeling Requirement.--Section 3 of the
Automobile Information Disclosure Act (15 U.S.C. 1232) is
amended by adding at the end the following:
``(g) if one or more safety ratings for such automobile
have been assigned and formally published or released by the
National Highway Traffic Safety Administration under the New
Car Assessment Program, information about safety ratings
that--
``(1) includes a graphic depiction of the number of stars
that corresponds to each such assigned safety rating
displayed in a clearly differentiated fashion from stars
indicating the unattained safety rating;
``(2) refers to frontal impact crash tests, side impact
crash tests, and rollover resistance tests (whether or not
such automobile has been assigned a safety rating for such
tests), including statements that--
``(A) frontal impact crash test ratings are based on risk
of head and chest injury;
``(B) side impact crash test ratings are based on risk of
chest injury; and
``(C) rollover resistance ratings are based on risk of
rollover in the event of a single automobile crash;
``(3) is presented in a legible, visible, and prominent
fashion and covers at least--
``(A) 8 percent of the total area of the label; or
``(B) an area with a minimum length of 4 \1/2\ inches and a
minimum height of 3 \1/2\ inches; and
``(4) contains a heading titled `Government Safety
Information' and a disclaimer including the following text:
`Star ratings for frontal impact crash tests can only be
compared to other vehicles in the same weight class and those
plus or minus 250 pounds. Side impact and rollover ratings
can be compared across all vehicle weights and classes. For
more information on safety and testing, please visit <a href='http://
www.nhtsa.dot.gov'>http://
www.nhtsa.dot.gov</a>'; and
``(h) if an automobile has not been tested by the National
Highway Traffic Safety Administration under the New Car
Assessment Program, or safety ratings for such automobile
have not been assigned in one or more rating categories, a
statement to that effect.''.
(b) Regulations.--Not later than January 1, 2005, the
Secretary of Transportation shall prescribe regulations to
implement the labeling requirements under subsections (g)
[[Page S1099]]
and (h) of section 3 of such Act (as added by subsection
(a)).
(c) Conforming and Technical Amendments.--Section 3 of such
Act is further amended--
(1) in subsection (e), by striking ``and'' after the
semicolon; and
(2) in subsection (f)--
(A) by adding ``and'' at the end of paragraph (3); and
(B) by striking the period at the end and inserting a
semicolon.
(d) Applicability.--The labeling requirements under
subsections (g) and (h) of section 3 of such Act (as added by
subsection (a)), and the regulations prescribed under
subsection (b), shall apply to new automobiles delivered on
or after--
(1) September 1, 2005, if the regulations under subsection
(b) are prescribed not later than August 31, 2004; or
(2) September 1, 2006, if the regulations under subsection
(b) are prescribed after August 31, 2004.
SEC. 4173. CHILD SAFETY.
(a) Incorporation of Child Dummies in Safety Tests.--
(1) Rulemaking required.--Not later than 2 years after the
date of the enactment of this Act, the Administrator of the
National Highway Traffic Safety Administration shall conduct
a rulemaking to increase utilization of child dummies,
including Hybrid-III child dummies, in motor vehicle safety
tests, including crash tests, conducted by the
Administration.
(2) Criteria.--In conducting the rulemaking under
subsection (a), the Administrator shall select motor vehicle
safety tests in which the inclusion of child dummies will
lead to--
(A) increased understanding of crash dynamics with respect
to children; and
(B) measurably improved child safety.
(3) Report.--Not later than one year after the date of the
enactment of this Act, the Secretary of Transportation shall
publish a report regarding the implementation of this
section.
(b) Child Safety in Rollover Crashes.--
(1) Consumer information program.--Not later than 2 years
after the date of the enactment of this Act, the Secretary of
Transportation shall implement a consumer information program
relating to child safety in rollover crashes. The Secretary
shall make information related to the program available to
the public following completion of the program.
(2) Child dummy development.--
(A) In general.--The Administrator of the National Highway
Traffic Safety Administration shall initiate the development
of a biofidelic child crash test dummy capable of measuring
injury forces in a simulated rollover crash.
(B) Reports.--The Secretary shall submit to Congress a
report on progress related to such development--
(i) not later than 1 year after the date of the enactment
of this Act; and
(ii) not later than 3 years after the date of the enactment
of this Act.
(c) Report on Enhanced Vehicle Safety Technologies.--Not
later than 2 years after the date of the enactment of this
Act, the Secretary of Transportation shall submit to Congress
a report that describes, evaluates, and determines the
relative effectiveness of--
(1) currently available and emerging technologies,
including auto-reverse functions and child-safe window
switches, that are designed to prevent and reduce the number
of injuries and deaths to children left unattended inside
parked motor vehicles, including injuries and deaths that
result from hyperthermia or are related to power windows or
power sunroofs; and
(2) currently available and emerging technologies that are
designed to improve the performance of safety belts with
respect to the safety of occupants aged between 4 and 8 years
old.
(d) Completion of Rulemaking Regarding Power Windows.--Not
later than 180 days after the date of the enactment of this
Act, the Secretary of Transportation shall--
(1) complete the rulemaking initiated by the National
Highway Traffic Safety Administration that is ongoing on the
date of the enactment of this Act and relates to a
requirement that window switches be designed to reduce the
accidental closing by children of power windows; and
(2) issue performance-based regulations to take effect not
later than September 1, 2006, requiring that window switches
or related technologies be designed to prevent the accidental
closing by children of power windows.
(e) Database on Injuries and Deaths in Nontraffic, Noncrash
Events.--
(1) In general.--The Secretary of Transportation shall
establish a new database of, and collect data regarding,
injuries and deaths in nontraffic, noncrash events involving
motor vehicles. The database shall include information
regarding--
(A) the number, types, and proximate causes of injuries and
deaths resulting from such events;
(B) the characteristics of motor vehicles involved in such
events;
(C) the characteristics of the motor vehicle operators and
victims involved in such events; and
(D) the presence or absence in motor vehicles involved in
such events of advanced technologies designed to prevent such
injuries and deaths.
(2) Rulemaking.--The Secretary shall conduct a rulemaking
regarding how to structure and compile the database.
(3) Availability.--The Secretary shall make the database
available to the public.
SEC. 4174. SAFE INTERSECTIONS.
(a) In General.--Chapter 2 of title 18, United States Code,
is amended by adding at the end the following:
``Sec. 39. Traffic signal preemption transmitters
``(a) Offenses.--
``(1) Sale.--A person who provides for sale to unauthorized
users a traffic signal preemption transmitter in or affecting
interstate or foreign commerce shall be fined not more than
$10,000, imprisoned not more than 1 year, or both.
``(2) Possession.--A person who is an unauthorized user in
possession of a traffic signal preemption transmitter in or
affecting interstate or foreign commerce shall be fined not
more than $10,000, imprisoned not more than 6 months, or
both.
``(b) Definitions.--In this section, the following
definitions apply:
``(1) Traffic signal preemption transmitter.--The term
`traffic signal preemption transmitter' means any device or
mechanism that can change a traffic signal's phase.
``(2) Unauthorized user.--The term `unauthorized user'
means a user of a traffic signal preemption transmitter who
is not a government approved user.''.
(b) Chapter Analysis.--The chapter analysis for chapter 2
of title 18, United States Code, is amended by adding at the
end the following:
``39. Traffic signal preemption transmitters.''.
SEC. 4175. STUDY ON INCREASED SPEED LIMITS.
(a) Study.--
(1) In general.--Not later than 2 years after the date of
enactment of this Act, the Secretary shall conduct a study to
examine the effects of increased speed limits enacted by
States after 1995.
(2) Requirements.--The study shall collect empirical data
regarding--
(A) increases or decreases in driving speeds on Interstate
highways since 1995;
(B) correlations between changes in driving speeds and
accident, injury, and fatality rates;
(C) correlations between posted speed limits and observed
driving speeds;
(D) the overall impact on motor vehicle safety resulting
from the repeal of the national maximum speed limit in 1995;
and
(E) such other matters as the Secretary determines to be
appropriate.
(b) Report.--Not later than 1 year after the date of
completion of the study under subsection (a), the Secretary
shall submit to Congress a report that describes the results
of the study.
______
SA 2397. Mr. CAMPBELL (for himself and Mr. Inouye) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning on page 20, strike line 7 and all that follows
through page 31, line 15, and insert the following:
``(13) Indian land.--The term `Indian land' means--
``(A) any land located within the boundaries of an Indian
reservation, pueblo, or rancheria;
``(B) any land not located within the boundaries of an
Indian reservation, pueblo, or rancheria, the title to which
is held--
``(i) in trust by the United States for the benefit of an
Indian tribe;
``(ii) by an Indian tribe, subject to restriction by the
United States against alienation; or
``(iii) by a dependent Indian community; and
``(C) land conveyed as part of an original conveyance to a
Native Corporation in accordance with the Alaska Native
Claims Settlement Act (43 U.S.C. 1601 et seq.).
``(14) Indian reservation.--The term `Indian reservation'
includes--
``(A) an Indian reservation in existence as of the date of
enactment of the Indian Tribal Surface Transportation
Improvement Act of 2003;
``(B) a public domain Indian allotment;
``(C) a former reservation in the State of Oklahoma;
``(D) a parcel of land conveyed as part of an original
conveyance to a Native Corporation in accordance with the
Alaska Native Claims Settlement Act (43 U.S.C. 1601 et seq.);
and
``(E) a dependent Indian community located within the
borders of the United States, regardless of whether the
community is located--
``(i) on original or acquired territory of the community;
or
``(ii) within or outside the boundaries of any particular
State.
``(15) Indian reservation road.--
``(A) In general.--The term `Indian reservation road' means
a public road that is located within or provides access to an
area described in subparagraph (B) on which or in which
reside Indians or Alaskan Natives that, as determined by the
Secretary of the Interior, are eligible for services
generally available to Indians under Federal laws
specifically applicable to Indians.
[[Page S1100]]
``(B) Areas.--The areas referred to in subparagraph (A)
are--
``(i) an Indian reservation;
``(ii) Indian trust land or restricted Indian land that is
not subject to fee title alienation without the approval of
the Federal Government; and
``(16) Indian tribe.--The term `Indian tribe' has the
meaning given the term in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b).
``(17) Interstate system.--The term `Interstate System'
means the Dwight D. Eisenhower National System of Interstate
and Defense Highways described in section 103(c).
``(18) Maintenance.--
``(A) In general.--The term `maintenance' means the
preservation of a highway.
``(B) Inclusions.--The term `maintenance' includes the
preservation of--
``(i) the surface, shoulders, roadsides, and structures of
a highway; and
``(ii) such traffic-control devices as are necessary for
safe, secure, and efficient use of a highway.
``(19) Maintenance area.--The term `maintenance area' means
an area that was designated as a nonattainment area, but was
later redesignated by the Administrator of the Environmental
Protection Agency as an attainment area, under section 107(d)
of the Clean Air Act (42 U.S.C. 7407(d)).
``(20) National forest system road or trail.--The term
`National Forest System road or trail' means a forest road or
trail that is under the jurisdiction of the Forest Service.
``(21) National highway system.--The term `National Highway
System' means the Federal-aid highway system described in
section 103(b).
``(22) Operating costs for traffic monitoring, management,
and control.--The term `operating costs for traffic
monitoring, management, and control' includes--
``(A) labor costs;
``(B) administrative costs;
``(C) costs of utilities and rent;
``(D) costs incurred by transportation agencies for
technology to monitor critical transportation infrastructure
for security purposes; and
``(E) other costs associated with transportation systems
management and operations and the continuous operation of
traffic control, such as--
``(i) an integrated traffic control system;
``(ii) an incident management program; and
``(iii) a traffic control center.
``(23) Operational improvement.--
``(A) In general.--The term `operational improvement'
means--
``(i) a capital improvement for installation or
implementation of--
``(I) a transportation system management and operations
program;
``(II) traffic and transportation security surveillance and
control equipment;
``(III) a computerized signal system;
``(IV) a motorist information system;
``(V) an integrated traffic control system;
``(VI) an incident management program;
``(VII) equipment and programs for transportation response
to manmade and natural disasters; or
``(VIII) a transportation demand management facility,
strategy, or program; and
``(ii) such other capital improvements to a public road as
the Secretary may designate by regulation.
``(B) Exclusions.--The term `operational improvement' does
not include--
``(i) a resurfacing, restorative, or rehabilitative
improvement;
``(ii) construction of an additional lane, interchange, or
grade separation; or
``(iii) construction of a new facility on a new location.
``(24) Park road.--The term `park road' means a public road
(including a bridge built primarily for pedestrian use, but
with capacity for use by emergency vehicles) that is located
within, or provides access to, an area in the National Park
System with title and maintenance responsibilities vested in
the United States.
``(25) Parkway.--The term `parkway' means a parkway
authorized by an Act of Congress on land to which title is
vested in the United States.
``(26) Project.--The term `project' means--
``(A)(i) an undertaking to construct a particular portion
of a highway; or
``(ii) if the context so implies, a particular portion of a
highway so constructed; and
``(B) any other undertaking eligible for assistance under
this title.
``(27) Project agreement.--The term `project agreement'
means the formal instrument to be executed by the Secretary
and recipient of funds under this title.
``(28) Public authority.--The term `public authority' means
a Federal, State, county, town, or township, Indian tribe,
municipal or other local government or instrumentality with
authority to finance, build, operate, or maintain toll or
toll-free facilities.
``(29) Public forest service road.--The term `public Forest
Service road' means a classified forest road--
``(A) that is open to public travel;
``(B) for which title and maintenance responsibility is
vested in the Federal Government; and
``(C) that has been designated a public road by the Forest
Service.
``(30) Public lands development roads and trails.--The term
`public lands development roads and trails' means roads and
trails that the Secretary of the Interior determines are of
primary importance for the development, protection,
administration, and use of public lands and resources under
the control of the Secretary of the Interior.
``(31) Public lands highway.--The term `public lands
highway' means--
``(A) a forest road that is--
``(i) under the jurisdiction of, and maintained by, a
public authority; and
``(ii) open to public travel; and
``(B) any highway through unappropriated or unreserved
public land, nontaxable Indian land, or any other Federal
reservation (including a main highway through such land or
reservation that is on the Federal-aid system) that is--
``(i) under the jurisdiction of, and maintained by, a
public authority; and
``(ii) open to public travel.
``(32) Public road.--The term `public road' means any road
or street that is--
``(A) under the jurisdiction of, and maintained by, a
public authority; and
``(B) open to public travel.
``(33) Recreational road.--The term `recreational road'
means a public road--
``(A) that provides access to a museum, lake, reservoir,
visitors center, gateway to a major wilderness area, public
use area, or recreational or historic site; and
``(B) for which title is vested in the Federal Government.
``(34) Refuge road.--The term `refuge road' means a public
road--
``(A) that provides access to or within a unit of the
National Wildlife Refuge System or a national fish hatchery;
and
``(B) for which title and maintenance responsibility is
vested in the United States Government.
``(35) Rural area.--The term `rural area' means an area of
a State that is not included in an urban area.
``(36) Secretary.--The term `Secretary' means the Secretary
of Transportation.
``(37) State.--The term `State' means--
``(A) a State;
``(B) the District of Columbia; and
``(C) the Commonwealth of Puerto Rico.
``(38) State funds.--The term `State funds' includes funds
that are--
``(A) raised under the authority of the State (or any
political or other subdivision of a State); and
``(B) made available for expenditure under the direct
control of the State transportation department.
``(39) State transportation department.--The term `State
transportation department' means the department, agency,
commission, board, or official of any State charged by the
laws of the State with the responsibility for highway
construction.
``(40) Territorial highway system.--The term `territorial
highway system' means the system of arterial highways,
collector roads, and necessary interisland connectors in
American Samoa, the Commonwealth of the Northern Mariana
Islands, Guam, and the United States Virgin Islands that have
been designated by the appropriate Governor or chief
executive officer of a territory, and approved by the
Secretary, in accordance with section 215.
``(41) Transportation enhancement activity.--The term
`transportation enhancement activity' means, with respect to
any project or the area to be served by the project, any of
the following activities as the activities relate to surface
transportation:
``(A) Provision of facilities for pedestrians and bicycles.
``(B) Provision of safety and educational activities for
pedestrians and bicyclists.
``(C) Acquisition of scenic easements and scenic or
historic sites (including historic battlefields).
``(D) Scenic or historic highway programs (including the
provision of tourist and welcome center facilities).
``(E) Landscaping and other scenic beautification.
``(F) Historic preservation.
``(G) Rehabilitation and operation of historic
transportation buildings, structures, or facilities
(including historic railroad facilities and canals).
``(H) Preservation of abandoned railway corridors
(including the conversion and use of the corridors for
pedestrian or bicycle trails).
``(I) Control and removal of outdoor advertising.
``(J) Archaeological planning and research.
``(K) Environmental mitigation--
``(i) to address water pollution due to highway runoff; or
``(ii) reduce vehicle-caused wildlife mortality while
maintaining habitat connectivity.
``(L) Establishment of transportation museums.
``(42) Transportation systems management and operations.--
``(A) In general.--The term `transportation systems
management and operations' means an integrated program to
optimize the performance of existing infrastructure through
the implementation of multimodal and intermodal, cross-
jurisdictional systems, services, and projects designed to
preserve capacity and improve security, safety, and
reliability of the transportation system.
``(B) Inclusions.--The term `transportation systems
management and operations' includes--
``(i) regional operations collaboration and coordination
activities between transportation and public safety agencies;
and
[[Page S1101]]
``(ii) improvements to the transportation system such as
traffic detection and surveillance, arterial management,
freeway management, demand management, work zone management,
emergency management, electronic toll collection, automated
enforcement, traffic incident management, roadway weather
management, traveler information services, commercial vehicle
operations, traffic control, freight management, and
coordination of highway, rail, transit, bicycle, and
pedestrian operations.
``(43) Tribal transportation facility.--The term `tribal
transportation facility' means any transportation-related
project, facility, or physical infrastructure for an Indian
tribe that is funded under this title.
______
SA 2398. Mr. CAMPBELL (for himself and Mr. Inouye) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning on page 321, strike line 14 and all that follows
through page 334, line 14, and insert the following:
``(B) Funding.--
``(i) Reservation of funds.--Notwithstanding any other
provision of law, there is authorized to be appropriated from
the Highway Trust Fund (other than the Mass Transit Account)
$15,000,000 for each of fiscal years 2004 through 2009 to
carry out planning, design, engineering, preconstruction,
construction, and inspection of projects to replace,''; and
(B) by adding at the end the following:
``(ii) Availability.--Funds made available to carry out
this subparagraph--
``(I) shall be available for obligation in the same manner
as if the funds were apportioned under chapter 1; and
``(II) shall not be available to the Bureau of Indian
Affairs to pay administrative costs.''; and
(5) by adding at the end the following:
``(f) Administration of Indian Reservation Roads.--
``(1) Contract authority.--
``(A) In general.--Notwithstanding any other provision of
law, for any fiscal year, not more than 6 percent of the
contract authority amounts made available from the Highway
Trust Fund to the Bureau of Indian Affairs under this title
shall be used to pay the administrative expenses of the
Bureau for the Indian reservation roads program (including
the administrative expenses relating to individual projects
that are associated with the program).
``(B) Availability.--Amounts made available to pay
administrative expenses under subparagraph (A) shall be made
available to an Indian tribal government, on the request of
the government, to be used for the associated administrative
functions assumed by the Indian tribe under contracts and
agreements entered into under the Indian Self-Determination
and Education Assistance Act (25 U.S.C. 450b et seq.).
``(2) Health and safety assurances.--Notwithstanding any
other provision of law, an Indian tribe or tribal
organization may commence road and bridge construction under
the Transportation Equity Act for the 21st Century (Public
Law 105-178) or its successor Act of Congress that is funded
through a contract or agreement under the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b et
seq.) if the Indian tribe or tribal organization--
``(A) provides assurances in the contract or agreement that
the construction will meet or exceed applicable health and
safety standards;
``(B) obtains the advance review of the plans and
specifications from a licensed professional that has
certified that the plans and specifications meet or exceed
the applicable health and safety standards; and
``(C) provides a copy of the certification under
subparagraph (B) to the Assistant Secretary for Indian
Affairs.''.
(d) Planning and Agency Coordination.--Section 204 of title
23, United States Code, is amended--
(1) in subsection (a)(1), by inserting ``refuge roads,
recreation roads,'' after ``parkways,'';
(2) by striking subsection (b) and inserting the following:
``(b) Use of Funds.--
``(1) In general.--Funds available for public lands
highways, recreation roads, park roads and parkways, forest
highways, and Indian reservation roads shall be used by the
Secretary and the Secretary of the appropriate Federal land
management agency to pay the cost of transportation planning,
research, engineering, operation and maintenance of transit
facilities, and construction of the highways, roads,
parkways, forest highways, and transit facilities located on
public land, national parks, and Indian reservations.
``(2) Contract.--In connection with an activity described
in paragraph (1), the Secretary and the Secretary of the
appropriate Federal land management agency may enter into a
construction contract or other appropriate agreement with--
``(A) a State (including a political subdivision of a
State); or
``(B) an Indian tribe.
``(3) Indian reservation roads.--In the case of an Indian
reservation road--
``(A) Indian labor may be used, in accordance with such
rules and regulations as may be promulgated by the Secretary
of the Interior, to carry out any construction or other
activity described in paragraph (1); and
``(B) funds made available to carry out this section may be
used to pay bridge preconstruction costs (including planning,
design, and engineering).
``(4) Federal employment.--No maximum on Federal employment
shall be applicable to construction or improvement of Indian
reservation roads.
``(5) Availability of funds.--Funds available under this
section for each class of Federal lands highway shall be
available for any kind of transportation project eligible for
assistance under this title that is within or adjacent to, or
that provides access to, the areas served by the particular
class of Federal lands highway.
``(6) Reservation of funds.--The Secretary of the Interior
may reserve funds from administrative funds of the Bureau of
Indian Affairs that are associated with the Indian
reservation road program to finance the Indian technical
centers authorized under section 504(b).''; and
(3) in subsection (k)(1)--
(A) in subparagraph (B)--
(i) by striking ``(2), (5),'' and inserting ``(2), (3),
(5),''; and
(ii) by striking ``and'' after the semicolon;
(B) in subparagraph (C), by striking the period at the end
and inserting a semicolon; and
(C) by adding at the end the following:
``(D) maintenance of public roads in national fish
hatcheries under the jurisdiction of the United States Fish
and Wildlife Service;
``(E) the non-Federal share of the cost of any project
funded under this title or chapter 53 of title 49 that
provides access to or within a wildlife refuge; and
``(F) maintenance and improvement of recreational trails
(except that expenditures on trails under this subparagraph
shall not exceed 5 percent of available funds for each fiscal
year).''.
(e) Safety.--
(1) Allocations.--Section 202 of title 23, United States
Code (as amended by subsection (c)(5)), is amended by adding
at the end the following:
``(g) Safety.--Subject to paragraph (2), on October 1 of
each fiscal year, the Secretary shall allocate the sums
authorized to be appropriated for the fiscal year for safety
as follows:
``(1) 12 percent to the Bureau of Reclamation.
``(2) 18 percent to the Bureau of Indian Affairs.
``(3) 17 percent to the Bureau of Land Management.
``(4) 17 percent to the Forest Service.
``(5) 7 percent to the United States Fish and Wildlife
Service.
``(6) 17 percent to the National Park Service.
``(7) 12 percent to the Corps of Engineers.''.
(2) Availability of funds.--Section 203 of title 23, United
States Code, is amended by inserting ``safety projects or
activities,'' after ``refuge roads,'' each place it appears.
(3) Use of funding.--Section 204 of title 23, United States
Code, is amended by adding at the end the following:
``(l) Safety Activities.--
``(1) In general.--Notwithstanding any other provision of
this title, funds made available for safety under this title
shall be used by the Secretary and the head of the
appropriate Federal land management agency only to pay the
costs of carrying out--
``(A) transportation safety improvement activities;
``(B) activities to eliminate high-accident locations;
``(C) projects to implement protective measures at, or
eliminate, at-grade railway-highway crossings;
``(D) collection of safety information;
``(E) transportation planning projects or activities;
``(F) bridge inspection;
``(G) development and operation of safety management
systems;
``(H) highway safety education programs; and
``(I) other eligible safety projects and activities
authorized under chapter 4.
``(2) Contracts.--In carrying out paragraph (1), the
Secretary and the Secretary of the appropriate Federal land
management agency may enter into contracts or agreements
with--
``(A) a State;
``(B) a political subdivision of a State; or
``(C) an Indian tribe.
``(3) Exception.--The cost sharing requirements under the
Federal Water Project Recreation Act (16 U.S.C. 460l-12 et
seq.) shall not apply to funds made available to the Bureau
of Reclamation under this subsection.''.
(f) Recreation Roads.--
(1) Authorizations.--Section 201 of title 23, United States
Code, is amended in the first sentence by inserting
``recreation roads,'' after ``public lands highways,''.
(2) Allocations.--Section 202 of title 23, United States
Code (as amended by subsection (e)(1)), is amended by adding
at the end the following:
``(h) Recreation Roads.--
``(1) In general.--Subject to paragraphs (2) and (3), on
October 1 of each fiscal year, the Secretary, after
completing the transfer under subsection 204(i), shall
allocate the
[[Page S1102]]
sums authorized to be appropriated for the fiscal year for
recreation roads as follows:
``(A) 8 percent to the Bureau of Reclamation.
``(B) 9 percent to the Corps of Engineers.
``(C) 13 percent to the Bureau of Land Management.
``(D) 70 percent to the Forest Service.
``(2) Allocation within agencies.--Recreation road funds
allocated to a Federal agency under paragraph (1) shall be
allocated for projects and activities of the Federal agency
according to the relative needs of each area served by
recreation roads under the jurisdiction of the Federal
agency, as indicated in the approved transportation
improvement program for each Federal agency.''.
(3) Availability of funds.--Section 203 of title 23, United
States Code, is amended--
(A) in the first sentence, by inserting ``recreation
roads,'' after ``Indian reservation roads,''; and
(B) in the fourth sentence, by inserting ``, recreation
roads,'' after ``Indian roads''.
(4) Use of funding.--Section 204 of title 23, United States
Code (as amended by subsection (e)(3)), is amended by adding
at the end the following:
``(m) Recreation Roads.--
``(1) In general.--Notwithstanding any other provision of
this title, funds made available for recreation roads under
this title shall be used by the Secretary and the Secretary
of the appropriate Federal land management agency only to pay
the cost of--
``(A) maintenance or improvements of existing recreation
roads;
``(B) maintenance and improvements of eligible projects
described in paragraph (1), (2), (3), (5), or (6) of
subsection (h) that are located in or adjacent to Federal
land under the jurisdiction of--
``(i) the Department of Agriculture; or
``(ii) the Department of the Interior;
``(C) transportation planning and administrative activities
associated with those maintenance and improvements; and
``(D) the non-Federal share of the cost of any project
funded under this title or chapter 53 of title 49 that
provides access to or within Federal land described in
subparagraph (B).
``(2) Contracts.--In carrying out paragraph (1), the
Secretary and the Secretary of the appropriate Federal land
management agency may enter into contracts or agreements
with--
``(A) a State;
``(B) a political subdivision of a State; or
``(C) an Indian tribe.
``(3) New roads.--No funds made available under this
section shall be used to pay the cost of the design or
construction of new recreation roads.
``(4) Compliance with other environmental laws.--A
maintenance or improvement project that is funded under this
subsection, and that is consistent with or has been
identified in a land use plan for an area under the
jurisdiction of a Federal agency, shall not require any
additional environmental reviews or assessments under the
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.) if--
``(A) the Federal agency that promulgated the land use plan
analyzed the specific proposal for the maintenance or
improvement project under that Act; and
``(B) as of the date on which the funds are to be expended,
there are--
``(i) no significant changes to the proposal bearing on
environmental concerns; and
``(ii) no significant new information.
``(5) Exception.--The cost sharing requirements under the
Federal Water Project Recreation Act (16 U.S.C. 460l-12 et
seq.) shall not apply to funds made available to the Bureau
of Reclamation under this subsection.''.
(g) Conforming Amendments.--
(1) Sections 120(e) and 125(e) of title 23, United States
Code, are amended by striking ``public lands highways,'' each
place it appears and inserting ``public lands highways,
recreation roads,''.
(2) Sections 120(e), 125(e), 201, 202(a), and 203 of title
23, United States Code, are amended by striking ``forest
development roads'' each place it appears and inserting
``National Forest System roads''.
(3) Section 202(e) of title 23, United States Code, is
amended by striking ``Refuge System,'' and inserting ``Refuge
System and the various national fish hatcheries,''.
(4) Section 204 of title 23, United States Code, is
amended--
(A) in subsection (a)(1), by striking ``public lands
highways,'' and inserting ``public lands highways, recreation
roads, forest highways,''; and
(B) in subsection (i), by striking ``public lands
highways'' each place it appears and inserting ``public lands
highways, recreation roads, and forest highways''.
(5) Section 205 of title 23, United States Code, is
amended--
(A) by striking the section heading and inserting the
following:
``Sec. 205. National Forest System roads and trails'';
and
(B) in subsections (a) and (d), by striking ``forest
development roads'' each place it appears and inserting
``National Forest System roads''.
(6) The analysis for chapter 2 of title 23, United States
Code, is amended by striking the item relating to section 205
and inserting the following:
``205. National Forest System roads and trails.''.
(7) Section 217(c) of title 23, United States Code, is
amended by inserting ``refuge roads,'' after ``Indian
reservation roads,''.
SEC. 18__. INDIAN TRIBAL SURFACE TRANSPORTATION.
(a) Funding for Indian Reservation Roads Program.--Section
1101(a)(8) of the Transportation Equity Act for the 21st
Century (112 Stat. 112) is amended by striking subparagraph
(A) and inserting the following:
``(A) Indian reservation roads.--
``(i) In general.--Subject to clause (ii), for Indian
reservation roads under section 204 of that title--
``(I) $330,000,000 for each of fiscal years 2004 through
2005;
``(II) $425,000,000 for each of fiscal years 2006 through
2007; and
``(III) $550,000,000 for each of fiscal years 2008 through
2009.
``(ii) Maintenance.--Of the amounts made available for each
fiscal year under clause (i), not less than $50,000,000 shall
be used--
``(I) to maintain roads on Indian land; and
``(II) to maintain tribal transportation facilities serving
Indian communities.''.
(b) Obligation Ceiling.--Section 1102(c)(1) of the
Transportation Equity Act for the 21st Century (23 U.S.C. 104
note; 112 Stat. 116) is amended--
(1) by striking ``distribute obligation'' and inserting the
following: ``distribute--
``(A) obligation'';
(2) by inserting ``and'' after the semicolon at the end;
and
(3) by adding at the end of the following:
``(B) for each of fiscal years 2004 through 2009, any
amount of obligation authority made available for Indian
reservation road bridges under section 202(d)(4), and for
Indian reservation roads under section 204, of title 23,
United States Code.''.
(c) Tribal Contracting Demonstration Project.--
(1) In general.--Section 202(d)(3) of title 23, United
States Code, is amended by adding at the end the following:
``(C) Federal lands highway program demonstration
project.--
``(i) In general.--The Secretary shall establish a
demonstration project under which all funds made available
under this chapter for Indian reservation roads and for
highway bridges located on Indian reservation roads as
provided for in subparagraph (A) shall be made available, on
the request of an affected Indian tribal government, to the
Indian tribal government for use in carrying out, in
accordance with the Indian Self-Determination and Education
Assistance Act (25 U.S.C. 450b et seq.), contracts and
agreements for the planning, research, engineering, and
construction described in that subparagraph.
``(ii) Exclusion of agency participation.--In accordance
with subparagraph (B), all funds for Indian reservation roads
and for highway bridges located on Indian reservation roads
to which clause (i) applies shall be paid without regard to
the organizational level at which the Federal lands highway
program has previously carried out the programs, functions,
services, or activities involved.
``(iii) Selection of participating tribes.--
``(I) Participants.--
``(aa) In general.--In addition to those Indian tribes or
tribal organizations already contracting or compacting for
any Indian reservation road function or program, for each
fiscal year, the Secretary may select up to 15 Indian tribes
from the applicant pool described in subclause (II) to
participate in the demonstration project carried out under
clause (i).
``(bb) Consortia.--Two or more Indian tribes that are
otherwise eligible to participate in a program or activity to
which this title applies may form a consortium to be
considered as a single Indian tribe for the purpose of
becoming part of the applicant pool under subclause (II).
``(cc) Funding.--An Indian tribe participating in the pilot
program under this subparagraph shall receive funding in an
amount equal to the sum of the funding that the Indian tribe
would otherwise receive in accordance with the funding
formula established under the other provisions of this
subsection, and an additional percentage of that amount equal
to the percentage of funds withheld during the applicable
fiscal year for the road program management costs of the
Bureau of Indian Affairs under subsection (f)(1).
``(II) Applicant pool.--The applicant pool described in
this subclause shall consist of each Indian tribe (or
consortium) that--
``(aa) has successfully completed the planning phase
described in subclause (IV);
``(bb) has requested participation in the demonstration
project under this subparagraph through the adoption of a
resolution or other official action by the tribal governing
body; and
``(cc) has demonstrated financial stability and financial
management capability in accordance with subclause (III)
during the 3-fiscal-year period immediately preceding the
fiscal year for which participation under this subparagraph
is being requested.
``(III) Criteria for determining financial stability and
financial management capacity.--For the purpose of subclause
(II), evidence that, during the 3-year period referred to in
subclause (II)(cc), an Indian tribe had no uncorrected
significant and material audit exceptions in the required
annual audit of the Indian tribe's self-determination
contracts or self-governance funding agreements with any
Federal agency shall be conclusive
[[Page S1103]]
evidence of the required stability and capability.
``(IV) Planning phase.--
``(aa) In general.--An Indian tribe (or consortium)
requesting participation in the demonstration project under
this subparagraph shall complete a planning phase that shall
include legal and budgetary research and internal tribal
government and organization preparation.
``(bb) Eligibility.--A tribe (or consortium) described in
item (aa) shall be eligible to receive a grant under this
subclause to plan and negotiate participation in a project
described in that item.
``(V) Report to congress.--Not later than September 30,
2006, the Secretary shall prepare and submit to Congress a
report describing the implementation of the demonstration
project and any recommendations for improving the project.''.
(2) Conforming amendments.--
(A) Section 4 of the Indian Self-Determination andEducation
Assistance Act (25 U.S.C. 450b(i)) is amended by striking
subsection (i) and inserting the following:
``(i) Secretary.--Except as otherwise provided, the term
`Secretary' means any 1 or more of the following, as
appropriate:
``(1) The Secretary of Health and Human Services.
``(2) The Secretary of the Interior.
``(3) The Secretary of Transportation.''
(B) Section 401 of the Indian Self-Determination and
Education Assistance Act (25 U.S.C. 458aa) is amended--
(i) by striking ``The Secretary'' and inserting ``(a) In
General.--The Secretary''; and
(ii) by adding at the end the following:
``(b) Secretary of Transportation.--Notwithstanding any
other provision of law, the Secretary of Transportation may
enter into self-governance compacts and annual funding
agreements with Indian tribes and tribal organizations to
carry out tribal transportation programs (including transit
programs) authorized under title 23 or 49, United States
Code, in accordance with the terms, conditions, and
procedures of this Act (including regulations promulgated
under this Act (part 1000 of title 25 Code of Federal
Regulations)).''.
(d) Indian Reservation Road Planning.--Section 204(j) of
title 23, United States Code, is amended in the first
sentence by striking ``2 percent'' and inserting ``5
percent''.
(e) Alaska Native Village Transportation Program.--Section
204 of title 23, United States Code (as amended by section
1816), is amended by adding at the end the following:
``(p) Alaska Native Village Transportation Program.--
``(1) Definitions.--In this subsection:
``(A) Commission.--The term `Commission' means the Alaska
Native Transportation Commission established under paragraph
(4)(A).
``(B) Native.--The term `Native' has the meaning given the
term in section 3 of the Alaska Native Claims Settlement Act
(43 U.S.C. 1602).
``(C) Native authority.--The term `Native authority' means
a governing board of a Regional Corporation, a regional
Native nonprofit entity, a tribal government, or an
alternative regional entity that is designated by the
Secretary as a Native regional transportation authority under
paragraph (3)(A).
``(D) Native village.--The term `Native village' has the
meaning given the term in section 3 of the Alaska Native
Claims Settlement Act (43 U.S.C. 1602).
``(E) Program.--The term `program' means the Alaska Native
village transportation program established under paragraph
(2).
``(F) Region.--The term `region' means a region in the
State specified in section 11(b)(1) of the Alaska Native
Claims Settlement Act (43 U.S.C 1610(b)(1)).
``(G) Regional corporation.--The term `Regional
Corporation' has the meaning given the term in section 2 of
the Alaska Native Claims Settlement Act (43 U.S.C. 1602).
``(H) State.--The term `State' means the State of Alaska.
``(2) Establishment.--The Secretary shall establish an
Alaska Native village transportation program to pay the costs
of planning, design, construction, and maintenance of road
and other surface transportation facilities identified in
accordance with this section.
``(3) Alaska native regional transportation authorities.--
``(A) Designation.--The Secretary shall designate a Native
authority for each region.
``(B) Responsibilities.--A Native authority shall, with
respect to each Native village or region, as appropriate,
covered by the Native authority--
``(i) prepare--
``(I) a regional transportation plan for the Native
village; and
``(II) a comprehensive transportation plan for the region;
``(ii) prioritize and select projects to be funded with
amounts made available under this section for the region;
``(iii) coordinate transportation planning with other
regions, the State, and other governmental entities; and
``(iv) ensure that transportation projects under this
section are constructed and implemented.
``(4) Alaska native transportation commission.--
``(A) Establishment.--As soon as practicable after the date
of enactment of this subsection, the Secretary shall
establish a commission, to be known as the `Statewide Alaska
Native Transportation Commission', consisting of 1
representative selected from each Native authority designated
by the Secretary under paragraph (3)(A).
``(B) Duties.--The Commission shall--
``(i) allocate funds made available under this section
among regions in accordance with paragraph (5);
``(ii) coordinate transportation planning among the
regions, the State, and other governmental entities; and
``(iii) facilitate transportation projects involving 2 or
more regions.
``(5) Allocation of funding.--
``(A) Fiscal year 2004.--Funds made available for the
program for fiscal year 2004 shall be allocated to each
region by the Secretary as follows:
``(i) 50 percent of the funds shall be allocated based on
the proportion that--
``(I) the Native population of Native villages in the
region; bears to
``(II) the Native population of all Native villages in the
State.
``(ii) 50 percent of the funds shall be allocated as
equally as practicable among all Native villages in the
region.
``(B) Fiscal year 2005 and subsequent fiscal years.--Funds
made available for the program for fiscal year 2005 and each
fiscal year thereafter shall be allocated among regions by
the Commission, in accordance with a formula to be developed
by the Commission after taking into consideration--
``(i) the health, safety, and economic needs of each region
for transportation infrastructure, as identified through the
regional planning process;
``(ii) the relative costs of construction in each region;
and
``(iii) the extent to which transportation projects for
each region are ready to proceed to design and construction.
``(6) Tribal contracting.--Funds allocated among regions
under this subsection may be contracted or compacted in
accordance with the Indian Self Determination and Education
Assistance Act (25 U.S.C. 450b et seq.).
``(7) Matching funds.--Notwithstanding any other provision
of law, funds made available under this subsection may be
used to pay a matching share required for receipt of any
other Federal funds that would further a purpose for which
allocations under this section are made.
``(8) Maintenance.--
``(A) In general.--At the request of a Native authority or
Native village, the Secretary may increase an amount of funds
provided under this subsection for a construction project by
an additional amount equal to 100 percent of the total cost
of construction of the project, as determined by the
Secretary.
``(B) Use of retained funds.--An increase in funds provided
under subparagraph (A) for a construction project shall be
retained, and used only, for future maintenance of the
construction project.''.
(f) Indian Reservation Road Safety Program.--
(1) In general.--Chapter 4 of title 23, United States Code,
is amended by adding at the end the following:
``SEC. 412. INDIAN RESERVATION ROAD SAFETY PROGRAM.
``(a) Program.--
``(1) In general.--The Secretary shall carry out a program
to provide to eligible Indian tribes (as determined by the
Secretary) competitive grants for use in establishing tribal
transportation safety programs on--
``(A) Indian reservations; and
``(B) other land under the jurisdiction of an Indian tribe.
``(2) Use of funds.--Funds from a grant provided under
paragraph (1) may be used to carry out a project or
activity--
``(A) to prevent the operation of motor vehicles by
intoxicated individuals;
``(B) to promote increased seat belt use rates;
``(C) to eliminate hazardous locations and conditions on,
or hazardous sections or elements of--
``(i) a public road;
``(ii) a public surface transportation facility;
``(iii) a publicly-owned bicycle or pedestrian pathway or
trail; or
``(iv) a traffic calming measure;
``(D) to eliminate hazards relating to railway-highway
crossings; or
``(E) to increase transportation safety by any other means,
as determined by the Secretary.
``(b) Federal Share.--The Federal share of the cost of
carrying out the program under this section shall be 100
percent.
``(c) Funding.--Notwithstanding any other provision of law,
there are authorized to be appropriated from the Highway
Trust Fund (other than the Mass Transit Account) to carry out
this section--
``(1) $6,000,000 for each of fiscal years 2004 and 2005;
and
``(2) $9,000,000 for each of fiscal years 2006 through
2009.''.
(2) Conforming amendment.--The analysis for chapter 4 of
title 23, United States Code, is amended by inserting after
the item relating to section 411 the following:
``412. Indian reservation road safety program.''.
(g) Indian Reservation Rural Transit Program.--Section 5311
of title 49, United States Code, is amended by adding at the
end the following:
``(k) Indian Reservation Rural Transit Program.--
``(1) In general.--The Secretary shall establish and carry
out a program to provide
[[Page S1104]]
competitive grants to Indian tribes to establish rural
transit programs on reservations or other land under the
jurisdiction of the Indian tribes.
``(2) Amount of grants.--The amount of a grant provided to
an Indian tribe under subparagraph (A) shall be based on the
need of the Indian tribe, as determined by the Secretary of
Transportation.
``(3) Authorization of funding.--For each of fiscal years
2004 through 2009, of the amount made available under section
5338, $15,000,000 shall be made available to carry out this
subsection.''.
(h) Commercial Vehicle Driving Training Program.--
(1) Definitions.--In this section:
(A) Commercial vehicle driving.--The term ``commercial
vehicle driving'' means the driving of--
(i) a vehicle that is a tractor-trailer truck; or
(ii) any other vehicle (such as a bus or a vehicle used for
the purpose of construction) the driving of which requires a
commercial license.
(B) Secretary.--The term ``Secretary'' means the Secretary
of Labor.
(2) Grants.--The Secretary shall provide grants, on a
competitive basis, to entities described in paragraph (3)(A)
to support programs providing training and certificates
leading to the licensing of Native Americans with respect to
commercial vehicle driving.
(3) Eligibility.--To be eligible to receive a grant under
paragraph (1), an entity shall--
(A) be a tribal college or university (as defined in
section 316(b)(3) of the Higher Education Act (20 U.S.C.
1059(b)(3)); and
(B) prepare and submit to the Secretary an application at
such time, in such manner, and containing such information as
the Secretary may require.
(4) Priority.--In providing grants under paragraph (1), the
Secretary shall give priority to grant applications that--
(A) propose training that exceeds proposed minimum
standards for training tractor-trailer drivers of the
Department of Transportation;
(B) propose training that exceeds the entry level truck
driver certification standards set by the Professional Truck
Driver Institute; and
(C) propose an education partnership with a private
trucking firm, trucking association, or similar entity in
order to ensure the effectiveness of the grant program under
this section.
(5) Authorization of appropriations.--There is authorized
to be appropriated to carry out this subsection $5,000,000
for the period of fiscal years 2004 through 2009.
______
SA 2399. Mr. GRASSLEY (for himself and Mr. Baucus) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Section 5212 is amended to read as follows:
SEC. 5212. TRANSFER OF CERTAIN AMOUNTS FROM THE AIRPORT AND
AIRWAY TRUST FUND TO THE HIGHWAY TRUST FUND TO
REFLECT HIGHWAY USE OF JET FUEL.
(a) In General.--Section 9502(d) is amended by adding at
the end the following new paragraph:
``(7) Transfers from the trust fund to the highway trust
fund.--
``(A) In general.--The Secretary shall pay annually from
the Airport and Airway Trust Fund into the Highway Trust Fund
an amount (as determined by him) equivalent to amounts
received in the Airport and Airway Trust Fund which are
attributable to fuel that is used primarily for highway
transportation purposes.
``(B) Amounts transferred to mass transit account.--The
Secretary shall transfer 11 percent of the amounts paid into
the Highway Trust Fund under subparagraph (A) to the Mass
Transit Account established under section 9503(e).''.
(b) Conforming Amendments.--
(1) Subsection (a) of section 9503 is amended--
(A) by striking ``appropriated or credited'' and inserting
``paid, appropriated, or credited'', and
(B) by striking ``or section 9602(b)'' and inserting ``,
section 9502(d)(7), or section 9602(b)''.
(2) Subsection (e)(1) of section 9503 is amended by
striking ``or section 9602(b)'' and inserting ``, section
9502(d)(7), or section 9602(b)''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
______
SA 2400. Mr. GRASSLEY (for himself and Mr. Baucus) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Part IV of subtitle C of title V is amended by inserting at
the end the following new section:
SEC. 5246. ELECTRONIC REPORTING.
(a) In General.--Section 4101(d), as amended by section
5273 of this Act, is amended by adding at the end the
following new sentence: ``Any person who is required to
report under this subsection and who has 25 or more
reportable transactions in a month shall file such report in
electronic format.''.
(b) Effective Date.--The amendments made by this section
shall apply on October 1, 2004.
______
SA 2401. Mr. STEVENS (for himself and Mr. Inouye) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 717, line 10, strike ``transportation,'' and insert
``transportation (and, in Alaska and Hawaii, includes
regularly scheduled intrastate bus service for the general
public),''.
______
SA 2402. Mr. THOMAS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 321, line 7, strike ``and'' and all that follows
through line 13, and insert the following:
(C) in paragraph (3)(A), by striking ``under this title''
and inserting ``under this chapter and section 125(e)''; and
(D) in paragraph (4)--
(i) in subparagraph (B)--
(I) by striking ``(B) Reservation.--Of the amounts'' and
all that follows through ``to replace,'' and inserting the
following:
______
SA 2403. Mr. HOLLINGS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 539, line 12 strike ``airport operations''.
______
SA 2404. Mr. HOLLINGS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 818, beginning in line 11, strike ``Federal
Railroad Administration, Federal Motor Carrier Safety
Administration, or the Federal Aviation Administration'' and
insert the following, ``Federal Railroad Administration or
the Motor Carrier Safety Administration''.
______
SA 2405. Mr. HOLLINGS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 819, beginning in line 1, strike ``Federal Railroad
Administration, the Federal Motor Carrier Safety
Administration, and the Federal Aviation Administration'' and
insert the following: ``Federal Railroad Administration and
the Motor Carrier Safety Administration.''.
______
SA 2406. Mr. INHOFE submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 321, strike line 7 and all that follows
through page 326, line 12 and insert the following:
Secretary.'';
(C) in paragraph (3)--
(i) in subparagraph (A), by striking ``under this title''
and inserting ``under this chapter and section 125(e)''; and
(ii) by adding at the end the following:
``(C) Federal lands highway program demonstration
project.--
``(i) In general.--The Secretary shall establish a
demonstration project under which all funds made available
under this chapter for Indian reservation roads and for
highway bridges located on Indian reservation roads as
provided for in subparagraph (A) shall be made available, on
the request of an affected Indian tribal government, to the
Indian tribal government for use in carrying out, in
accordance with the Indian Self-Determination and Education
Assistance Act (25 U.S.C. 450b et seq.), contracts and
agreements for the planning, research, engineering, and
construction described in that subparagraph.
``(ii) Exclusion of agency participation.--In accordance
with subparagraph (B),
[[Page S1105]]
all funds for Indian reservation roads and for highway
bridges located on Indian reservation roads to which clause
(i) applies shall be paid without regard to the
organizational level at which the Federal lands highway
program has previously carried out the programs, functions,
services, or activities involved.
``(iii) Selection of participating tribes.--
``(I) Participants.--
``(aa) In general.--In addition to Indian tribes or tribal
organizations that, as of the date of enactment of this
subparagraph, are contracting or compacting for any Indian
reservation road function or program, for each fiscal year,
the Secretary may select up to 15 Indian tribes from the
applicant pool described in subclause (II) to participate in
the demonstration project carried out under clause (i).
``(bb) Consortia.--Two or more Indian tribes that are
otherwise eligible to participate in a program or activity to
which this title applies may form a consortium to be
considered as a single Indian tribe for the purpose of
becoming part of the applicant pool under subclause (II).
``(cc) Funding.--An Indian tribe participating in the pilot
program under this subparagraph shall receive funding in an
amount equal to the sum of the funding that the Indian tribe
would otherwise receive in accordance with the funding
formula established under the other provisions of this
subsection, and an additional percentage of that amount equal
to the percentage of funds withheld during the applicable
fiscal year for the road program management costs of the
Bureau of Indian Affairs under subsection (f)(1).
``(II) Applicant pool.--The applicant pool described in
this subclause shall consist of each Indian tribe (or
consortium) that--
``(aa) has successfully completed the planning phase
described in subclause (IV);
``(bb) has requested participation in the demonstration
project under this subparagraph through the adoption of a
resolution or other official action by the tribal governing
body; and
``(cc) has demonstrated financial stability and financial
management capability in accordance with subclause (III)
during the 3-fiscal-year period immediately preceding the
fiscal year for which participation under this subparagraph
is being requested.
``(III) Criteria for determining financial stability and
financial management capacity.--For the purpose of subclause
(II), evidence that, during the 3-year period referred to in
subclause (II)(cc), an Indian tribe had no uncorrected
significant and material audit exceptions in the required
annual audit of the Indian tribe's self-determination
contracts or self-governance funding agreements with any
Federal agency shall be conclusive evidence of the required
stability and capability.
``(IV) Planning phase.--
``(aa) In general.--An Indian tribe (or consortium)
requesting participation in the demonstration project under
this subparagraph shall complete a planning phase that shall
include legal and budgetary research and internal tribal
government and organization preparation.
``(bb) Eligibility.--An Indian tribe (or consortium)
described in item (aa) shall be eligible to receive a grant
under this subclause to plan and negotiate participation in a
project described in that item.
``(V) Report to congress.--Not later than September 30,
2006, the Secretary shall submit to Congress a report
describing the implementation of the demonstration project
and any recommendations for improving the project.''; and
(D) in paragraph (4)--
(i) in subparagraph (B)--
(I) by striking ``(B) Reservation.--Of the amounts'' and
all that follows through ``to replace,'' and inserting the
following:
``(B) Funding.--
``(i) Reservation of funds.--Of the amounts authorized to
be appropriated for Indian reservation roads for each fiscal
year, the Secretary, in cooperation with the Secretary of the
Interior, shall reserve not less than $15,000,000 for each of
fiscal years 2004 through 2009 to carry out planning, design,
engineering, preconstruction, construction, and inspection of
projects to replace,''; and
(II) by adding at the end the following:
``(ii) Availability.--Funds made available to carry out
this subparagraph shall be available for obligation in the
same manner as if the funds were apportioned under chapter
1.''; and
(ii) by striking subparagraph (D) and inserting the
following:
``(D) Approval requirement.--
``(i) In general.--Subject to clause (ii), on request by an
Indian tribe or the Secretary of the Interior, the Secretary
may make funds available under this subsection for
preliminary engineering for Indian reservation road bridge
projects.
``(ii) Construction and construction engineering.--The
Secretary may make funds available under clause (i) for
construction and construction engineering only after approval
by the Secretary of applicable plans, specifications, and
estimates.''; and
(5) by adding at the end the following:
``(f) Administration of Indian Reservation Roads.--
``(1) Contract authority.--Notwithstanding any other
provision of law, for any fiscal year, not more than 6
percent of the contract authority amounts made available from
the Highway Trust Fund to the Bureau of Indian Affairs under
this title shall be used to pay the expenses incurred by the
Bureau in administering the Indian reservation roads program
(including the administrative expenses relating to individual
projects associated with the Indian reservation roads
program).
``(2) Health and safety assurances.--Notwithstanding any
other provision of law, an Indian tribe or tribal
organization may commence road and bridge construction under
the Transportation Equity Act for the 21st Century (Public
Law 105-178) or the Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2004 that is funded
through a contract or agreement under the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b et
seq.) if the Indian tribe or tribal organization--
``(A) provides assurances in the contract or agreement that
the construction will meet or exceed applicable health and
safety standards;
``(B) obtains the advance review of the plans and
specifications from a licensed professional that has
certified that the plans and specifications meet or exceed
the applicable health and safety standards; and
``(C) provides a copy of the certification under
subparagraph (B) to the Assistant Secretary for Indian
Affairs.''.
(d) Planning and Agency Coordination.--Section 204 of title
23, United States Code, is amended--
(1) in subsection (a)(1), by inserting ``refuge roads,
recreation roads,'' after ``parkways,'';
(2) by striking subsection (b) and inserting the following:
``(b) Use of Funds.--
``(1) In general.--Funds available for public lands
highways, recreation roads, park roads and parkways, forest
highways, and Indian reservation roads shall be used by the
Secretary and the Secretary of the appropriate Federal land
management agency to pay the cost of transportation planning,
research, engineering, operation and maintenance of transit
facilities, and construction of the highways, roads,
parkways, forest highways, and transit facilities located on
public land, national parks, and Indian reservations.
``(2) Contract.--In connection with an activity described
in paragraph (1), the Secretary and the Secretary of the
appropriate Federal land management agency may enter into a
construction contract or other appropriate agreement with--
``(A) a State (including a political subdivision of a
State); or
``(B) an Indian tribe.
``(3) Indian reservation roads.--In the case of an Indian
reservation road--
``(A) Indian labor may be used, in accordance with such
rules and regulations as may be promulgated by the Secretary
of the Interior, to carry out any construction or other
activity described in paragraph (1); and
``(B) funds made available to carry out this section may be
used to pay bridge preconstruction costs (including planning,
design, and engineering).
``(4) Federal employment.--No maximum on Federal employment
shall be applicable to construction or improvement of Indian
reservation roads.
``(5) Availability of funds.--Funds available under this
section for each class of Federal lands highway shall be
available for any kind of transportation project eligible for
assistance under this title that is within or adjacent to, or
that provides access to, the areas served by the particular
class of Federal lands highway.
``(6) Reservation of funds.--The Secretary of the Interior
may reserve funds from administrative funds of the Bureau of
Indian Affairs that are associated with the Indian
reservation road program to finance the Indian technical
centers authorized under section 504(b).''; and
(3) in subsection (k)(1)--
(A) in subparagraph (B)--
(i) by striking ``(2), (5),'' and inserting ``(2), (3),
(5),''; and
(ii) by striking ``and'' after the semicolon;
(B) in subparagraph (C), by striking the period at the end
and inserting a semicolon; and
(C) by adding at the end the following:
``(D) maintenance of public roads in national fish
hatcheries under the jurisdiction of the United States Fish
and Wildlife Service;
``(E) the non-Federal share of the cost of any project
funded under this title or chapter 53 of title 49 that
provides access to or within a wildlife refuge; and
``(F) maintenance and improvement of recreational trails
(except that expenditures on trails under this subparagraph
shall not exceed 5 percent of available funds for each fiscal
year).''.
(e) Maintenance of Indian Reservation Roads.--Section
204(c) of title 23, United States Code, is amended by
striking the second and third sentences and inserting the
following: ``Notwithstanding any other provision of this
title, of the amount of funds apportioned for Indian
reservation roads from the Highway Trust Fund, an Indian
tribe may expend for the purpose of maintenance not more than
the greater of $250,000 or 25 percent of the apportioned
amount. The Bureau of Indian Affairs shall continue to retain
primary responsibility, including annual funding request
responsibility, for road maintenance programs on Indian
reservations. The Secretary shall ensure that funding made
available under this subsection for maintenance of Indian
reservation roads for each fiscal year is supplementary to
and not
[[Page S1106]]
in lieu of any obligation of funds by the Bureau of Indian
Affairs for road maintenance programs on Indian
reservations.''.
(f) Authorization of Contract Authority for States With
Indian Reservations.--Section 1214(d)(5)(A) of the
Transportation Equity Act for the 21st Century (23 U.S.C. 202
note; 112 Stat. 206) is amended by striking ``$1,500,000 for
each of fiscal years 1998 through 2003'' and inserting
``$1,800,000 for each of fiscal years 2004 through 2009''.
(g) Indian Reservation Rural Transit Program.--Section 5311
of title 49, United States Code, is amended by adding at the
end the following:
``(k) Indian Reservation Rural Transit Program.--
``(1) In general.--The Secretary shall establish and carry
out a program to provide competitive grants to Indian tribes
to establish rural transit programs on reservations or other
land under the jurisdiction of the Indian tribes.
``(2) Amount of grants.--The amount of a grant provided to
an Indian tribe under subparagraph (A) shall be based on the
need of the Indian tribe, as determined by the Secretary of
Transportation.
``(3) Authorization of funding.--For each of fiscal years
2004 through 2009, of the amount made available under section
5338, $15,000,000 shall be made available to carry out this
subsection.''.
______
SA 2407. Mr. KYL submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place insert the following:
TITLE __SURFACE TRANSPORTATION AND TRANSIT EMPOWERMENT
SEC. __1. SHORT TITLE.
This title may be cited as the ``Surface Transportation and
Transit Empowerment Act''.
SEC. __2. DEFINITIONS.
In this title, the following definitions apply:
(1) Core highway programs.--The term ``core highway
programs'' means the following programs:
(A) The Interstate maintenance program under section 119 of
title 23, United States Code.
(B) Highway bridge replacement and rehabilitation
(excluding off-System bridges) under section 144 of that
title.
(C)(i) Indian reservation roads under section 204 of that
title.
(ii) Public lands highways under section 204 of that title.
(iii) Parkways and park roads under section 204 of that
title.
(D) Highway safety programs under section 402 of that
title.
(E) Highway safety research and development under section
403 of that title.
(F) Motor carrier safety grants under section 31104 of
title 49, United States Code.
(G) Metropolitan planning under section 104(f) of title 23,
United States Code.
(H) National defense highways under section 311 of that
title.
(I) Emergency relief under section 125 of that title.
(2) Core program state.--The term ``core program State''
means a State which makes an election under section __3.
(3) Election period.--The term ``election period'' means
the period beginning with the fiscal year determined under
section __3(b) and ending not later than with fiscal year
2009.
(4) Future investment account.--The term ``Future
Investment Account'' means the Future Investment Account
established under section 9503(f) of the Internal Revenue
Code of 1986.
(5) Highway account.--The term ``Highway Account'' means
the portion of the Highway Trust Fund established under
section 9503 of the Internal Revenue Code of 1986 which is
not the Mass Transit Account or the Future Investment
Account.
(6) Mass transit account.--The term ``Mass Transit
Account'' means the Mass Transit Account established under
section 9503(e) of the Internal Revenue Code of 1986.
(7) Surface transportation.--The term ``surface
transportation'' includes mass transit and rail.
(8) Tier i core program state.--The term ``tier I core
program State'' means a core program State that is eligible
for a core highway programs payment and a non-core highway
programs block grant under section __3.
(9) Tier ii core program state.--The term ``tier II core
program State'' means a core program State that is eligible
for a core highway programs payment under section __3 and
that elects under section __3(e) to reduce its Federal fuel
tax rate with a corresponding reduction in its non-core
highway programs block grant.
(10) Tier i mass transit state.--The term ``tier I mass
transit State'' means a State that is eligible for a mass
transit block grant under section __4.
(11) Tier ii mass transit state.--The term ``tier II mass
transit State'' means a State that elects under section
__4(c) to eliminate its mass transit fuel tax rate with a
corresponding elimination of its mass transit block grant.
SEC. __3. FUNDING OF HIGHWAY PROGRAMS IN CORE PROGRAM STATES.
(a) Election To Become a Core Program State.--Each State
which makes an election described in subsection (b) shall be
eligible with respect to each fiscal year during the State's
election period for--
(1) a core highway programs payment; and
(2) a non-core highway programs block grant,
in lieu of any other payment from the Highway Account and the
Future Highway Investment Sub Account of the Future
Investment Account.
(b) Requirements for Election.--An election is described in
this subsection if--
(1) such election is made by a State at least 180 days
before the first fiscal year with respect to which the
election applies;
(2) such election is made by a State that certifies that
such State has a metropolitan planning organization
established under section 134 of title 23, United States
Code, and that such organization will maintain a system for
processing funds received by the State under this Act
throughout the election period; and
(3) such election is submitted to the Secretary in such
form and manner as the Secretary prescribes.
(c) Determination and Use of Core Highway Programs
Payment.--
(1) Determination of amount of payment.--
(A) In general.--Subject to subparagraph (B), the Secretary
shall determine for each fiscal year the payment necessary to
meet the commitments of core highway programs for each core
program State.
(B) Limitations.--
(i) General rule.--Any payment under subparagraph (A) for
any fiscal year for any particular core highway program for a
core program State shall be subject to--
(I) except with respect to core highway programs described
in subparagraphs (G), (H), and (I) of section __2(1), the
funding level for such program for such year under clause
(ii) in lieu of the funding level for such program for such
year under any other provision of law, and
(II) the annual obligation limitation for such program for
such year imposed under any provision of law.
(ii) Special funding levels.--For purposes of clause (i),
the funding levels for core highway programs are as follows:
(I) For the Interstate maintenance program, $5,500,000,000
for fiscal year 2004, $6,300,000,000 for fiscal year 2005,
$6,550,000,000 for fiscal year 2006, $6,650,000,000 for
fiscal year 2007, $7,650,000,000 for fiscal year 2008, and
$7,950,000,000 for fiscal year 2009.
(II) For highway bridge replacement and rehabilitation,
$4,650,754,076 for fiscal year 2004, $5,507,287,150 for
fiscal year 2005, $5,713,860,644 for fiscal year 2006,
$5,730,266,418 for fiscal year 2007, $6,016,042,650 for
fiscal year 2008, and $6,103,714,622 for fiscal year 2009.
(III)(aa) For Indian reservation roads, $300,000,000 for
fiscal year 2004, $325,000,000 for fiscal year 2005,
$350,000,000 for fiscal year 2006, $375,000,000 for fiscal
year 2007, $400,000,000 for fiscal year 2008, and
$425,000,000 for fiscal year 2009.
(bb) For public lands highways, $300,000,000 each of fiscal
years 2004 through 2009.
(cc) For parkways and park roads, $300,000,000 for fiscal
year 2004, $310,000,000 for fiscal year 2005, and
$320,000,000 for each of fiscal years 2006 through 2009.
(IV) For highway safety programs, $171,000,000 for each of
fiscal years 1998 through 2003.
(V) For highway safety research and development,
$44,000,000 for each of fiscal years 1998 through 2003.
(VI) For motor carrier safety grants, not more than
$90,000,000 for each of fiscal years 1998 through 2003.
(2) Use of payment.--
(A) In general.--The core highway programs payment for any
core program State shall be available, as provided by
appropriation Acts, to the State for any core highway program
purpose in such State.
(B) Transferability of funds.--To the extent that a core
program State determines that funds made available under this
subsection to the State for a purpose are in excess of the
needs of the State for that purpose, the State may transfer
the excess funds to, and use the excess funds for, any
surface transportation purpose in the State.
(d) Determination and Use of Non-Core Highway Programs
Block Grant.--
(1) Determination of amount of block grant.--Subject to
subsection (e), the amount of the non-core highway programs
block grant for any tier I core program State for any fiscal
year is equal to the excess of--
(A) the amount of taxes transferred to the Highway Account
and the Future Highway Investment Sub Account of the Future
Investment Account for such fiscal year which is attributable
to highway users in that State as determined by the Secretary
of the Treasury (taking into account proper reductions for
uses of such taxes for purposes other than the Federal-aid
highway program); over
(B) the core highway programs payment to such State for
such fiscal year, as determined under subsection (c).
(2) Use of block grant.--The non-core highway programs
block grant for any tier I core program State shall be
available, as provided by appropriation Acts, to the State
for any surface transportation purpose in such State. Any
project carrying out such a purpose shall be exempt from any
Federal
[[Page S1107]]
regulation other than with respect to health and safety
standards and practices.
(e) Election To Reduce Federal Fuel Tax Rate With
Corresponding Reduction in Block Grant.--
(1) In general.--With respect to fiscal years beginning
after the satisfaction year and ending with the termination
of the election period, a core program State may notify the
Secretary (in the same manner as the election described in
subsection (b)) of an election to become a tier II core
program State and to have imposed on highway users in the
State the State's core highway programs financing rate with
respect to the taxes transferred to the Highway Account and
the Future Highway Investment Sub Account of the Future
Investment Account which are attributable to such highway
users in lieu of the tax rates otherwise established in the
Internal Revenue Code of 1986 for such fiscal years.
(2) Determination of core highway programs financing
rate.--
(A) In general.--Upon notification by the Secretary of an
election by a State under paragraph (1), the Secretary of the
Treasury shall determine for each subsequent fiscal year such
State's core highway programs financing rate, taking into
account--
(i) the amount of taxes necessary to fund that State's core
highway programs payment for such fiscal year;
(ii) the uses of the taxes described in paragraph (1) for
purposes other than the Federal-aid highway program for such
fiscal year;
(iii) any adjustments necessary as a result of a
determination under this paragraph for a preceding fiscal
year; and
(iv) the rates with respect to such taxes otherwise imposed
under the Internal Revenue Code of 1986 for such fiscal year.
(B) Report.--Not later than August 1, the Secretary of the
Treasury shall submit to the Committee on Ways and Means of
the House of Representatives and the Committee on Finance of
the Senate, a report that describes the determination
required under subparagraph (A).
(C) Congressional approval required.--The Secretary of the
Treasury shall not implement the determination required to be
included in the report submitted under subparagraph (B)
unless a joint resolution is enacted, in accordance with
subparagraph (D), approving such determination before the
following October 1.
(D) Congressional consideration.--
(i) Terms of the resolution.--For purposes of subparagraph
(C), the term ``joint resolution'' means only a joint
resolution that is introduced before October 1 and--
(I) that does not have a preamble;
(II) the matter after the resolving clause of which is as
follows: ``That Congress approves the determination of the
Secretary of the Treasury regarding the imposition of the
core highway programs rate for the State of __ submitted on
__'', the blank spaces being filled in with the appropriate
State and date, respectively; and
(III) the title of which is as follows: ``Joint resolution
approving the determination of the Secretary of the Treasury
regarding the imposition of a core highway programs rate.''.
(ii) Referral.--A resolution described in clause (i) that
is introduced--
(I) in the House of Representatives, shall be referred to
the Committee on Ways and Means; and
(II) in the Senate, shall be referred to the Committee on
Finance.
(iii) Discharge.--If a committee to which a resolution
described in clause (i) is referred has not reported such
resolution by the end of the 30-day period beginning on the
date on which the Secretary of the Treasury submits the
report required under subparagraph (B), such committee shall
be, at the end of such period, discharged from further
consideration of such resolution, and such resolution shall
be placed on the appropriate calendar of the House involved.
(iv) Consideration.--Within 30 days after the date on which
the committee to which a resolution described in clause (i)
has reported, or has been discharged from further
consideration of such resolution, such resolution shall be
considered in the same manner as a resolution is considered
under subsections (d), (e), and (f) of section 2908 of the
Defense Base Closure and Realignment Act of 1990 (10 U.S.C.
2687 note).
(3) Satisfaction year.--For purposes of paragraph (1), the
term ``satisfaction year'' means the fiscal year during which
all Federal non-core highway program obligations of a core
program State payable from the Highway Account and the Future
Highway Investment Sub Account of the Future Investment
Account existing on the date of the election by such State
described in subsection (a) are paid.
SEC. __4. FUNDING OF TRANSIT PROGRAMS IN MASS TRANSIT BLOCK
GRANT STATES.
(a) Election To Become a Mass Transit Block Grant State.--A
core program State or any other State may notify the
Secretary (in the same manner as the election described in
section __3(b)) of an election to receive with respect to
each fiscal year during the State's election period a mass
transit block grant, in lieu of any other payment from the
Mass Transit Account and the Future Transit Investment Sub
Account of the Future Investment Account. An election under
this subsection shall not affect a State's continued
eligibility for revenues provided through the general fund of
the Treasury for transit programs.
(b) Determination and Use of Mass Transit Block Grant.--
(1) Determination of amount of block grant.--Subject to
subsection (c), the amount of the mass transit block grant
for any tier I mass transit State for any fiscal year is
equal to the amount of taxes transferred to the Mass Transit
Account and the Future Transit Investment Sub Account of the
Future Investment Account for such fiscal year which is
attributable to highway users in that State as determined by
the Secretary of the Treasury.
(2) Use of block grant.--The mass transit block grant for
any tier I mass transit State shall be available, as provided
by appropriation Acts, to the State for any surface
transportation purpose in such State. Any project carrying
out such a purpose shall be exempt from any Federal
regulation other than with respect to health and safety
standards and practices.
(c) Election To Eliminate Mass Transit Fuel Tax Rate With
Corresponding Elimination of Block Grant.--
(1) In general.--With respect to fiscal years beginning
after the satisfaction year and ending with the termination
of the election period, a State which has made an election
under subsection (a) may notify the Secretary (in the same
manner as such an election) of an election to become a tier
II mass transit State and to eliminate the financing rate
with respect to the taxes transferred to the Mass Transit
Account and the Future Transit Investment Sub Account of the
Future Investment Account which are attributable to the
highway users of the State in lieu of the mass transit block
grant for such fiscal years.
(2) Elimination of mass transit fuel tax rate.--
(A) In general.--Upon notification by the Secretary of an
election by a State under paragraph (1), the Secretary of the
Treasury shall, not later than August 1, submit to the
Committee on Ways and Means of the House of Representatives
and the Committee on Finance of the Senate, a report that
notifies the committees of such an election.
(B) Congressional approval required.--The Secretary of the
Treasury shall not implement the election included in the
report submitted under paragraph (1) unless a joint
resolution is enacted, in accordance with paragraph (3),
approving such election before the following October 1.
(3) Congressional consideration.--
(A) Terms of the resolution.--For purposes of paragraph
(2), the term ``joint resolution'' means only a joint
resolution that is introduced before October 1 and--
(i) that does not have a preamble;
(ii) the matter after the resolving clause of which is as
follows: ``That Congress approves the elimination of the mass
transit fuel tax rate for the State of __ submitted on __'',
the blank spaces being filled in with the appropriate State
and date, respectively; and
(iii) the title of which is as follows: ``Joint resolution
approving the elimination of the mass transit fuel tax
rate.''.
(B) Consideration.--A resolution described in subparagraph
(A) shall be considered in the same manner as a resolution is
considered under clauses (ii), (iii), and (iv) of section
__3(e)(2)(D).
(4) Satisfaction year.--For purposes of this section, the
term ``satisfaction year'' means the fiscal year during which
all Federal transit program obligations of a State payable
from the Mass Transit Account and the Future Transit
Investment Sub Account of the Future Investment Account
existing on the date of the election by such State described
in subsection (a) are paid.
SEC. __5. ENFORCEMENT.
If the Secretary determines that a core program State (or
any other State under section __4(b)(2)) has used funds under
this Act for a purpose that is not a surface transportation
purpose, the amount of the improperly used funds shall be
deducted from any amount the State would otherwise receive
from the Highway Account for the fiscal year that begins
after the date of the determination.
SEC. __6. REPORTS.
(a) Annual State Assessment.--A core program State shall--
(1) assess the operation of the State surface
transportation program funded under this Act in each fiscal
year, including the status of the core highway programs in
the State; and
(2) report to the Secretary, by January 1 following the end
of the fiscal year, on the result of the assessment.
(b) Report of the Secretary.--The Secretary shall submit to
the appropriate committees of Congress an annual report and
evaluation of the State surface transportation programs
funded under this Act based on the State assessments and
reports submitted under subsection (a). Such report shall
include any conclusions and recommendations that the
Secretary considers appropriate.
SEC. __7. INTERSTATE SURFACE TRANSPORTATION COMPACTS.
(a) Definitions.--In this section, the following
definitions apply:
(1) Infrastructure bank.--The term ``infrastructure bank''
means a surface transportation infrastructure bank
established under an interstate compact under subsection
(b)(5) and described in subsection (d).
(2) Participating states.--The term ``participating
States'' means the States that are
[[Page S1108]]
parties to an interstate compact entered into under
subsection (b).
(3) Surface transportation project.--The term ``surface
transportation project'' means a surface transportation
project, program, or activity described in subsection (b).
(b) Consent of Congress.--In order to increase public
investment, attract needed private investment, and promote an
intermodal transportation network, Congress grants consent to
States to enter into interstate compacts to--
(1) promote the continuity, quality, and safety of the
Interstate System (as defined in section 101 of title 23,
United States Code);
(2) develop programs to promote and fund surface
transportation safety initiatives and establish surface
transportation safety standards for the participating States;
(3) conduct long-term planning for surface transportation
infrastructure in the participating States;
(4) develop design and construction standards for
infrastructure described in paragraph (3) to be used by the
participating States; and
(5) establish surface transportation infrastructure banks
to promote regional or other multistate investment in
infrastructure described in paragraph (3).
(c) Financing.--An interstate compact established by
participating States under subsection (b) to carry out a
surface transportation project may provide that, in order to
carry out the compact, the participating States may--
(1) accept contributions from a unit of State or local
government or a person;
(2) use any Federal or State funds made available for that
type of surface transportation project;
(3) on such terms and conditions as the participating
States consider advisable--
(A) borrow money on a short-term basis and issue notes for
the borrowing; and
(B) issue bonds; and
(4) obtain financing by other means permitted under Federal
or State law, including surface transportation infrastructure
banks under subsection (d).
(d) Infrastructure Banks.--
(1) In general.--An infrastructure bank may--
(A) make loans;
(B) under the joint or separate authority of the
participating States with respect to the infrastructure bank,
issue such debt as the infrastructure bank and the
participating States determine appropriate; and
(C) provide other assistance to public or private entities
constructing, or proposing to construct or initiate, surface
transportation projects.
(2) Forms of assistance.--
(A) In general.--An infrastructure bank may make a loan or
provide other assistance described in subparagraph (C) to a
public or private entity in an amount equal to all or part of
the construction cost, capital cost, or initiation cost of a
surface transportation project.
(B) Subordination of assistance.--The amount of any loan or
other assistance described in subparagraph (C) that is
received for a surface transportation project under this
section may be subordinated to any other debt financing for
the surface transportation project.
(C) Other assistance.--Other assistance referred to in
subparagraphs (A) and (B) includes any use of funds for the
purpose of--
(i) credit enhancement;
(ii) a capital reserve for bond or debt instrument
financing;
(iii) bond or debt instrument financing issuance costs;
(iv) bond or debt issuance financing insurance;
(v) subsidization of interest rates;
(vi) letters of credit;
(vii) any credit instrument;
(viii) bond or debt financing instrument security; and
(ix) any other form of debt financing that relates to the
qualifying surface transportation project.
(3) No obligation of united states.--
(A) In general.--The establishment under this section of an
infrastructure bank does not constitute a commitment,
guarantee, or obligation on the part of the United States to
any third party with respect to any security or debt
financing instrument issued by the bank. No third party shall
have any right against the United States for payment solely
by reason of the establishment.
(B) Statement on instrument.--Any security or debt
financing instrument issued by an infrastructure bank shall
expressly state that the security or instrument does not
constitute a commitment, guarantee, or obligation of the
United States.
SEC. __8. FEDERAL-AID FACILITY PRIVATIZATION.
(a) Definitions.--In this section, the following
definitions apply:
(1) Executive agency.--The term ``Executive agency'' has
the meaning provided in section 105 of title 5, United States
Code.
(2) Privatization.--The term ``privatization'' means the
disposition or transfer of a transportation infrastructure
asset, whether by sale, lease, or similar arrangement, from a
State or local government to a private party.
(3) State or local government.--The term ``State or local
government'' means the government of--
(A) any State;
(B) the District of Columbia;
(C) any commonwealth, territory, or possession of the
United States;
(D) any county, municipality, city, town, township, local
public authority, school district, special district,
intrastate district, regional or interstate government
entity, council of governments, or agency or instrumentality
of a local government; or
(E) any federally recognized Indian tribe.
(4) Transportation infrastructure asset.--
(A) In general.--The term ``transportation infrastructure
asset'' means any surface-transportation-related asset
financed in whole or in part by the Federal Government,
including a road, tunnel, bridge, or mass-transit-related or
rail-related asset.
(B) Exclusion.--The term does not include any
transportation-related asset on the Interstate System (as
defined in section 101 of title 23, United States Code).
(b) Privatization initiatives by state and local
governments.--The head of each Executive agency shall--
(1) assist State and local governments in efforts to
privatize the transportation infrastructure assets of the
State and local governments; and
(2) subject to subsection (c), approve requests from State
and local governments to privatize transportation
infrastructure assets and waive or modify any condition
relating to the original Federal program that funded the
asset.
(c) Criteria.--The head of an Executive agency shall
approve a request described in subsection (b)(2) if--
(1) the State or local government demonstrates that a
market mechanism, legally enforceable agreement, or
regulatory mechanism will ensure that the transportation
infrastructure asset will continue to be used for the general
objectives of the original Federal program that funded the
asset (which shall not be considered to include every
condition required for the recipient of Federal funds to have
obtained the original Federal funds), so long as needed for
those objectives; and
(2) the private party purchasing or leasing the
transportation infrastructure asset agrees to comply with all
applicable conditions of the original Federal program.
(d) Lack of Obligation To Repay Federal Funds.--A State or
local government shall have no obligation to repay to any
agency of the Federal Government any Federal funds received
by the State or local government in connection with a
transportation infrastructure asset that is privatized under
this section.
(e) Use of proceeds.--
(1) In general.--Subject to paragraph (2), a State or local
government may use proceeds from the privatization of a
transportation infrastructure asset to the extent permitted
under applicable conditions of the original Federal program.
(2) Recovery of certain costs.--Notwithstanding any other
provision of law, the State or local government shall be
permitted to recover from the privatization of a
transportation infrastructure asset--
(A) the capital investment in the transportation
infrastructure asset made by the State or local government;
(B) an amount equal to the unreimbursed operating expenses
in the transportation infrastructure asset paid by the State
or local government; and
(C) a reasonable rate of return on the investment made
under subparagraph (A) and expenses paid under subparagraph
(B).
SEC. __9. ESTABLISHMENT OF FUTURE INVESTMENT ACCOUNT.
Section 9503 of the Internal Revenue Code of 1986 (relating
to Highway Trust Fund), as amended by this Act, is amended by
adding at the end the following:
``(f) Establishment of Future Investment Account.--
``(1) Creation of account.--There is established in the
Highway Trust Fund a separate account to be known as the
`Future Investment Account', consisting of such amounts as
may be transferred or credited to the Future Highway
Investment Sub Account and the Future Transit Investment Sub
Account of the Future Investment Account as provided in this
subsection or section 9602(b).
``(2) Transfers to future investment account.--
``(A) In general.--The Secretary of the Treasury shall
transfer to the Future Highway Investment Sub Account the
future highway investment portion and to the Future Transit
Investment Sub Account the future transit investment portion
of the amounts appropriated to the Highway Trust Fund under
subsection (b) which are attributable to taxes under sections
4041 and 4081 imposed after September 30, [1997].
``(B) Future investment portions.--For purposes of
subparagraph (A)--
``(i) the term `future highway investment portion' means an
amount determined at the rate of 3.44 cents for each gallon
with respect to which tax was imposed under section 4041 or
4081, and
``(ii) the term `future transit investment portion' means
an amount determined at the rate of .86 cent for each gallon
with respect to which tax was so imposed.
``(3) Expenditures from account.--Amounts in the Future
Investment Account shall be available, as provided by
appropriation Acts, in a Federal budget neutral manner, for
making expenditures after October 1, 2003--
``(A) in the case of the Future Highway Investment Sub
Account, in accordance with elections made under section
__3(a) of the Surface Transportation and Transit Empowerment
Act, and
[[Page S1109]]
``(B) in the case of the Future Transit Investment Sub
Account, in accordance with elections made under section
__4(a) of the Surface Transportation and Transit Empowerment
Act.''.
SEC. __10. EFFECTIVE DATE CONTINGENT UPON CERTIFICATION OF
DEFICIT NEUTRALITY.
(a) Purpose.--The purpose of this section is to ensure
that--
(1) this Act will become effective only if the Director of
the Office of Management and Budget (referred to in this
section as the ``Director'') certifies that this Act is
deficit neutral;
(2) discretionary spending limits are reduced to capture
the savings realized in devolving transportation functions to
the State level pursuant to this Act; and
(3) the tax reduction made by this Act is not scored under
pay-as-you-go and does not inadvertently trigger a
sequestration.
(b) Effective date contingency.--Notwithstanding any other
provision of this Act, this Act shall take effect only if--
(1) the Director submits the report as required in
subsection (c); and
(2) the report contains a certification by the Director
that, based on the required estimates, the reduction in
discretionary outlays resulting from the reduction in
contract authority is at least as great as the reduction in
revenues for each fiscal year through fiscal year 2009.
(c) OMB estimates and report.--
(1) Requirements.--Not later than 5 calendar days after the
date of notification by the Secretary of any election
described in section __3(b), the Director shall--
(A) estimate the net change in revenues resulting from this
Act for each fiscal year through fiscal year 2009;
(B) estimate the net change in discretionary outlays
resulting from the reduction in contract authority under this
Act for each fiscal year through fiscal year 2009;
(C) determine, based on those estimates, whether the
reduction in discretionary outlays is at least as great as
the reduction in revenues for each fiscal year through fiscal
year 2009; and
(D) submit to the Congress a report setting forth the
estimates and determination.
(2) Applicable assumptions and guidelines.--
(A) Revenue estimates.--The revenue estimates required
under paragraph (1)(B) shall be predicated on the same
economic and technical assumptions and scorekeeping
guidelines that would be used for estimates made pursuant to
section 252(d) of the Balanced Budget and Emergency Deficit
Control Act of 1985 (2 U.S.C. 902(d)).
(B) Outlay estimates.--The outlay estimates required under
paragraph (1)(B) shall be determined by comparing the level
of discretionary outlays resulting from this Act with the
corresponding level of discretionary outlays projected in the
baseline under section 257 of the Balanced Budget and
Emergency Deficit Control Act of 1985 (2 U.S.C. 907).
(d) Conforming Adjustment to Discretionary Spending
Limits.--Upon compliance with the requirements specified in
subsection (b), the Director shall adjust the adjusted
discretionary spending limits for each fiscal year through
fiscal year 2009 under section 601(a)(2) of the Congressional
Budget Act of 1974 (2 U.S.C. 665(a)(2)) by the estimated
reductions in discretionary outlays under subsection (a)(2).
(e) Paygo interaction.--Upon compliance with the
requirements specified in subsection (b), no changes in
revenues estimated to result from the enactment of this Act
shall be counted for the purposes of section 252(d) of the
Balanced Budget and Emergency Deficit Control Act of 1985 (2
U.S.C. 902(d)).
______
SA 2408. Mr. FITZGERALD (for himself and Mr. Durbin) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 738, strike lines 5 through 12 and insert the
following:
motor vehicles that became effective by December 31, 2002.
``(ii) For each of fiscal years 2004 through 2009, the
Secretary shall, after making grants under clause (i) of this
subparagraph, make a one-time grant to each State that either
enacts for the first time after December 31, 2002, and has in
effect
______
SA 2409. Mrs. BOXER (for herself, Mr. Dodd, and Mrs. Feinstein)
submitted an amendment intended to be proposed to amendment SA 2285
proposed by Mr. Inhofe to the bill S. 1072, to authorize funds for
Federal-aid highways, highway safety programs, and transit programs,
and for other purposes; which was ordered to lie on the table; as
follows:
Beginning on page 267, line 2, strike all through page 268,
line 6.
______
SA 2410. Mr. DURBIN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 1109, after line 22, add the following:
SEC. __. MODIFICATIONS TO GAS GUZZLERS TAX TO ENCOURAGE
GREATER AUTO FUEL EFFICIENCY.
(a) Increase in Tax Rate.--Subsection (a) of section 4064
(relating to gas guzzlers tax) is amended to read as follows:
``(a) Imposition of Tax.--
``(1) In general.--There is hereby imposed on the sale by
the manufacturer of each automobile a tax determined in
accordance with the following table:
If the fuel economy for the model year of the model type in which the
automobile falls is: The tax is:
Less than 5 mpg below the applicable fuel economy standard........$0
At least 5 but less than 6 mpg below such standard.............1,000
At least 6 but less than 7 mpg below such standard.............1,500
At least 7 but less than 8 mpg below such standard.............2,000
At least 8 but less than 9 mpg below such standard.............2,500
At least 9 but less than 10 mpg below such standard............3,100
At least 10 but less than 11 mpg below such standard...........3,800
At least 11 but less than 12 mpg below such standard...........4,600
At least 12 but less than 13 mpg below such standard...........5,500
At least 13 but less than 14 mpg below such standard...........6,500
At least 14 mpg below such standard............................7,700.
``(2) Inflation Adjustment.--
``(A) In general.--In the case of any taxable year
beginning after 2005, each dollar amount referred to in
paragraph (1) shall be increased by an amount equal to--
``(i) such dollar amount, multiplied by
``(ii) the cost-of-living adjustment determined under
section (1)(f)(3) for the calendar year in which the taxable
year begins, by substituting `2004' for `1992'.
``(B) Rounding.--If any amount as adjusted under
subparagraph (A) is not a multiple of $100, such amount shall
be rounded to the next lowest multiple of $50.''.
(b) Expansion of Definition of Automobile.--
(1) Increase in weight.--Section 4064(b)(1)(A)(ii)
(defining automobile) is amended by striking ``6,000 pounds''
and inserting ``12,000 pounds''.
(2) Inclusion of certain vehicles.--Subparagraph (B) of
section 4064(b)(1) is amended to read as follows:
``(B) Inclusion of certain vehicles.--The term `automobile'
includes any sport utility vehicle. For purposes of the
preceding sentence, the term `sport utility vehicle' does not
include--
``(i) a vehicle which does not have a primary load carrying
device or container attached or which is an incomplete truck
(as defined in 40 C.F.R. 86.1803-01),
``(ii) a vehicle which has a seating capacity of more than
12 persons,
``(iii) a vehicle which has a seating capacity of more than
9 persons behind the driver's seat, or
``(iv) a vehicle which is equipped with a cargo area of at
least 6 feet in interior length which is an open area or is
designed for use as an open area but is enclosed by a cap and
is not readily accessible directly from the passenger
compartment.''.
(c) Additional Definitions.--Section 4064(b) (relating to
definitions) is amended by adding at the end the following
new paragraphs:
``(8) Applicable fuel economy standard.--The term
`applicable fuel economy standard' means, with respect to any
model year--
``(A) in the case of automobiles not exceeding 6,000 pounds
in unloaded gross vehicle weight, the average fuel economy
standard as defined in section 32902 of title 49, United
States Code, for passenger automobiles for such model year,
and
``(B) in the case of automobiles exceeding 6,000 pounds in
unloaded gross vehicle weight, such automobiles shall be
considered to be 8,400 pounds in unloaded gross vehicle
weight for the purposes of determining the average fuel
economy standard as defined in such section 32902, for such
model year.
``(9) Mpg.--The term `mpg' means miles per gallon.''.
(d) Effective Date.--The amendments made by this section
shall apply to sales after October 31, 2005.
SEC. __. HIGHLY FUEL-EFFICIENT AUTOMOBILE CREDIT.
(a) In General.--Subpart C of part IV of subchapter A of
chapter 1 of the Internal Revenue Code of 1986 (relating to
refundable credits) is amended by redesignating section 36 as
section 37 and by inserting after section 35 the following
new section:
``SEC. 36. HIGHLY FUEL-EFFICIENT AUTOMOBILE CREDIT.
``(a) Allowance of Credit.--There shall be allowed as a
credit against the tax imposed by this subtitle for the
taxable year an amount equal to the new highly fuel-efficient
automobile credit determined under subsection (b).
``(b) New Highly Fuel-Efficient Automobile Credit.--For
purposes of subsection
[[Page S1110]]
(a), the new highly fuel-efficient automobile credit with
respect to any new automobile placed in service by the
taxpayer during the taxable year is determined in accordance
with the following tables:
If the fuel economy for the model year of the model type in which the
passenger automobile falls is: The credit is:
Less than 5 mpg above the applicable fuel economy standard........$0
At least 5 but less than 6 mpg above such standard...............200
At least 6 but less than 7 mpg above such standard...............250
At least 7 but less than 8 mpg above such standard...............300
At least 8 but less than 9 mpg above such standard...............350
At least 9 but less than 10 mpg above such standard..............500
At least 10 but less than 11 mpg above such standard...........1,000
At least 11 but less than 12 mpg above such standard...........1,500
At least 12 but less than 13 mpg above such standard...........2,000
At least 13 but less than 14 mpg above such standard...........2,500
At least 14 mpg above such standard............................3,000.
If the fuel economy for the model year of the model type in which the
non-passenger automobile falls is: The credit is:
Less than 5 mpg above the applicable fuel economy standard........$0
At least 5 but less than 6 mpg above such standard...............200
At least 6 but less than 7 mpg above such standard...............250
At least 7 but less than 8 mpg above such standard...............300
At least 8 but less than 9 mpg above such standard...............350
At least 9 but less than 10 mpg above such standard..............500
At least 10 but less than 11 mpg above such standard...........1,000
At least 11 but less than 12 mpg above such standard...........1,500
At least 12 but less than 13 mpg above such standard...........2,000
At least 13 but less than 14 mpg above such standard...........2,500
At least 14 mpg above such standard............................3,000.
``(c) New Automobile.--For purposes of this section, the
term `new automobile' means a passenger automobile or non-
passenger automobile--
``(1) the original use of which commences with the
taxpayer,
``(2) which is acquired for use or lease by the taxpayer
and not for resale, and
``(3) which is made by a manufacturer.
``(d) Passenger Automobile; Non-Passenger Automobile.--For
purposes of this section--
``(1) Passenger automobile.--The term `passenger
automobile' has the meaning given the term `automobile' by
section 4064(b)(1).
``(2) Non-passenger automobile.--
``(A) In general.--The term `non-passenger automobile'
means any automobile (as defined in section 4064(b)(1)(A)),
but only if such automobile is described in subparagraph (B).
``(B) Non-passenger automobiles described.--An automobile
is described in this subparagraph if such automobile is--
``(i) a vehicle which does not have a primary load carrying
device or container attached,
``(ii) a vehicle which has a seating capacity of more than
12 persons,
``(iii) a vehicle which has a seating capacity of more than
9 persons behind the driver's seat, or
``(iv) a vehicle which is equipped with a cargo area of at
least 6 feet in interior length which does not extend beyond
the frame of the vehicle and which is an open area or is
designed for use as an open area but is enclosed by a cap and
is not readily accessible directly from the passenger
compartment.
``(e) Other Definitions.--Except as provided in subsection
(d), for purposes of this section, any term used in this
section and also in section 4064 shall have the meaning given
such term by section 4064.
``(f) Special Rules.--For purposes of this section--
``(1) Reduction in basis.--For purposes of this subtitle,
the basis of any property for which a credit is allowable
under subsection (a) shall be reduced by the amount of such
credit so allowed.
``(2) No double benefit.--The amount of any deduction or
other credit allowable under this chapter with respect to an
automobile described under subsection (b), shall be reduced
by the amount of credit allowed under subsection (a) for such
automobile for the taxable year.
``(3) Property used by tax-exempt entities.--In the case of
a credit amount which is allowable with respect to an
automobile which is acquired by an entity exempt from tax
under this chapter, the person which sells or leases such
automobile to the entity shall be treated as the taxpayer
with respect to the automobile for purposes of this section
and the credit shall be allowed to such person, but only if
the person clearly discloses to the entity at the time of any
sale or lease the specific amount of any credit otherwise
allowable to the entity under this section.
``(4) Recapture.--The Secretary shall, by regulations,
provide for recapturing the benefit of any credit allowable
under subsection (a) with respect to any property which
ceases to be property eligible for such credit (including
recapture in the case of a lease period of less than the
economic life of an automobile).
``(5) Property used outside united states, etc., not
qualified.--No credit shall be allowed under subsection (a)
with respect to any property referred to in section 50(b) or
with respect to the portion of the cost of any property taken
into account under section 179.
``(6) Election to not take credit.--No credit shall be
allowed under subsection (a) for any automobile if the
taxpayer elects to not have this section apply to such
automobile.
``(7) Interaction with air quality and motor vehicle safety
standards.--Unless otherwise provided in this section, an
automobile shall not be considered eligible for a credit
under this section unless such automobile is in compliance
with--
``(A) the applicable provisions of the Clean Air Act for
the applicable make and model year of the automobile (or
applicable air quality provisions of State law in the case of
a State which has adopted such provision under a waiver under
section 209(b) of the Clean Air Act), and
``(B) the motor vehicle safety provisions of sections 30101
through 30169 of title 49, United States Code.
``(g) Regulations.--
``(1) In general.--Except as provided in paragraph (2), the
Secretary shall promulgate such regulations as necessary to
carry out the provisions of this section.
``(2) Coordination in prescription of certain
regulations.--The Secretary of the Treasury, in coordination
with the Secretary of Transportation and the Administrator of
the Environmental Protection Agency, shall prescribe such
regulations as necessary to determine whether an automobile
meets the requirements to be eligible for a credit under this
section.''.
(b) Conforming Amendments.--
(1) Section 1016(a) is amended by striking ``and'' at the
end of paragraph (27), by striking the period at the end of
paragraph (28) and inserting ``, and'', and by adding at the
end the following new paragraph:
``(29) to the extent provided in section 36(f)(1).''.
(2) Section 6501(m) is amended by inserting ``36(f)(6),''
after ``30(d)(4),''.
(3) Paragraph (2) of section 1324(b) of title 31, United
States Code, is amended by inserting before the period ``, or
from section 36 of such Code''.
(4) The table of sections for subpart C of part IV of
chapter 1 is amended by striking the last item and inserting
the following new items:
``Sec. 36. Highly fuel-efficient automobile credit.
``Sec. 37. Overpayments of tax.''.
(c) Effective Date.--The amendments made by this section
shall apply to property placed in service after October 31,
2005, in taxable years ending after such date.
______
SA 2411. Mr. McCAIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
In section 139 of title 23, United States Code, as added by
section 1201 of the amendment--
(1) strike ``Set-aside.--'' in subsection (b)(2) and insert
``Funding.--'';
(2) strike ``of the amounts made available'' in subsection
(b)(2) and insert ``the amounts made available'';
(3) strike ``$439,000,000'' in subsection (b)(2);
(4) strike ``allocated'' in subsection (c)(1)(A) and insert
``apportioned'';
(5) strike ``subsection (d),'' in subsection (c)(1)(B) and
insert ``subsection (e).'';
(6) redesignate subsections (d) and (e) as subsections (e)
and (f), respectively, and insert the following after
subsection (c):
``(d) Distribution of Funds.--
``(1) Infrastructure performance and maintenance program
distribution.--Notwithstanding section 1101(13) of the Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2004, and in lieu of the amounts authorized by that
section, there are authorized to be appropriated out of the
Highway Trust Fund (other than the Mass Transit Account) for
carrying out the infrastructure performance and maintenance
program under this section--
``(A) $2,000,000,000 for each of fiscal years 2004 and
2005; and
``(B) $1,750,000,000 for each of fiscal years 2006, 2007,
and 2008.
``(2) Equity distribution.--On October 1 of each fiscal
year, the Secretary shall reserve a sufficient amount of the
funding available to carry out this section to provide a
final equity adjustment, after making the apportionment under
section 105 of this title, for each State to increase the
percentage return of all highway apportionments, as compared
to the tax payments attributable to the States paid into the
Highway Trust Fund (other than the Mass Transit Account),
to--
``(A) for fiscal year 2005, 91 percent;
[[Page S1111]]
``(B) for fiscal year 2006, 92 percent;
``(C) for fiscal year 2007, 93 percent;
``(D) for fiscal year 2008, 94 percent; and
``(E) for fiscal year 2009, 95 percent.
``(3) Remainder distribution.--On October 1 of each fiscal
year, the Secretary shall apportion the funds available for
allocation under this section among the several States, after
the application of paragraph (1), according to the ratio
that--
``(1) the percentage of tax payments attributable to
highway users in each State paid into the Highway Trust Fund
(other than the Mass Transit Account), bears to
``(2) 100 percent of tax payments attributable to highway
users in all States paid into the Highway Trust Fund (other
than the Mass Transit Account).''; and
(7) strike subsection (e), as redesignated, and insert the
following:
``(e) Redistribution of Allocated Funds and Obligation
Authority.--On the date that is 180 days after the date of
apportionment, or as soon thereafter as practicable, for each
fiscal year, the Secretary shall--
``(1) withdraw--
``(A) any funds allocated to a State under this section
that remain unobligated; and
``(B) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(a)(13)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003; and
``(2) reallocate the funds and redistribute the obligation
authority to those States that--
``(A) have fully obligated all amounts allocated under this
section for the fiscal year; and
``(B) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.
``(f) Application With Section 105.--Nothwithstanding
section 105(a)(2)(H) of this title, section 105(a) shall not
apply to funds apportioned under this section.''.
(e) Funding Cap From Highway Trust Fund.--Prior to making
any apportionments or allocations under Chapter 1 of USC 23
for fiscal year 2009, the Secretary shall compare the sum of
all apportionments and allocations for fiscal years 2004
through 2008 plus the projected apportionments and
allocations for fiscal year 2009 to the funding cap of
$255,000,000,000. If the total sum of such apportionments and
allocations exceeds the funding cap of $255,000,000,000, the
Secretary shall proportionally reduce all apportionments and
allocations for fiscal year 2009 so the total sum equals
$255,000,000,000.
______
SA 2412. Mr. INHOFE submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end of section 4522, insert the following:
(b) Conforming Amendments.--
(1) In general.--Section 3 of the Dingell-Johnson Sport
Fish Restoration Act (16 U.S.C. 777b) is amended--
(A) by striking ``Sport Fish Restoration Account'' and
inserting ``Sport Fish Restoration Trust Fund''; and
(B) by striking ``that Account'' and inserting ``that Trust
Fund, except as provided in section 9504(c) of the Internal
Revenue Code of 1986''.
(2) Effective date.--The amendments made by paragraph (1)
take effect on October 1, 2004.
______
SA 2413. Mr. INHOFE submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 115, between lines 9 and 10, insert the following:
SEC. 13__. HIGHWAY USE TAX EVASION PROJECTS.
(a) Projects.--Section 143(b) of title 23, United States
Code, is amended--
(1) in paragraph (2), by inserting before the period at the
end the following: ``, except that, for each of fiscal years
2004 through 2009, $2,000,000 shall be available only to
carry out intergovernmental enforcement efforts, including
research and training'';
(2) in paragraph (3), by inserting before the period at the
end the following: ``, except as otherwise provided in this
section'';
(3) in paragraph (4)--
(A) in subparagraph (F), by striking ``and'' at the end;
(B) in subparagraph (G), by striking the period at the end
and inserting a semicolon; and
(C) by adding at the end the following:
``(H) to support efforts between States and Indian tribes
to address issues relating to State motor fuel taxes; and
``(I) to analyze and implement programs to reduce tax
evasion associated with foreign imported fuel.''; and
(4) by adding at the end the following:
``(9) Reports.--
``(A) In general.--The Commissioner of the Internal Revenue
Service and participating States shall submit to the
Secretary annual reports that describe the projects,
examinations, and criminal investigations funded by and
carried out under this section.
``(B) Yield.--The reports shall specify the annual yield
estimated for each project funded under this section.''.
(b) Excise Summary Terminal Activity Reporting System.--
Section 143(c) of title 23, United States Code, is amended--
(1) in paragraph (1)--
(A) by striking ``Not later than August 1, 1998,'' and
inserting ``Not later than 90 days after the date of
enactment of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004,'';
(B) by striking ``development'' and inserting ``completion,
operation,'';
(C) by striking ``an excise fuel reporting system'' and
inserting ``the excise summary terminal activity reporting
system''; and
(D) by striking ``(in this subsection referred to as the
`system')'';
(2) in paragraph (2)--
(A) by striking ``the system'' each place it appears and
inserting ``the excise summary terminal activity reporting
system'';
(B) in subparagraph (A), by striking ``develop'' and
inserting ``complete, operate,'';
(C) in subparagraph (B), by striking ``and'' at the end;
(D) in subparagraph (C), by striking the period at the end
and inserting ``; and''; and
(E) by adding at the end the following:
``(D) the Commissioner of the Internal Revenue Service
shall submit to the Secretary, and the Secretary shall
approve, a budget and project plan for the completion,
operation, and maintenance of the excise summary terminal
activity reporting system.''; and
(3) by striking paragraph (3) and inserting the following:
``(3) Funding.--Of the amounts made available to carry out
this section for each of fiscal years 2004 through 2009, the
Secretary shall make funds available to the Internal Revenue
Service to complete, operate, and maintain the excise summary
terminal activity reporting system in accordance with this
subsection.''.
(c) Registration System and Electronic Database.--Section
143 of title 23, United States Code, is amended by adding at
the end the following:
``(d) Pipeline, Vessel, and Barge Registration System.--
``(1) In general.--Not later than 90 days after the date of
enactment of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004, the Secretary shall enter
into a memorandum of understanding with the Commissioner of
the Internal Revenue Service for the purposes of the
development, operation, and maintenance of a registration
system for pipelines, vessels, and barges, and operators of
the pipelines, vessels, and barges, that make bulk transfers
of taxable fuel.
``(2) Elements of memorandum of understanding.--The
memorandum of understanding shall provide that--
``(A) the Internal Revenue Service shall develop, operate,
and maintain the registration system through contracts;
``(B) the Commissioner of the Internal Revenue Service
shall submit to the Secretary, and the Secretary shall
approve, a budget and project plan for development,
operation, and maintenance of the registration system;
``(C) the registration system shall be under the control of
the Internal Revenue Service; and
``(D) the registration system shall be made available for
use by appropriate State and Federal revenue, tax, and law
enforcement authorities, subject to section 6103 of the
Internal Revenue Code of 1986.
``(3) Funding.--Of the amounts made available to carry out
this section for each of fiscal years 2004 through 2009, the
Secretary shall make funds available to the Internal Revenue
Service to complete, operate, and maintain in accordance with
this subsection the registration system described in
paragraph (1).
``(e) Heavy Vehicle Use Tax Payment Database.--
``(1) In general.--Not later than 90 days after the date of
enactment of Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004, the Secretary shall enter
into a memorandum of understanding with the Commissioner of
the Internal Revenue Service for the purposes of the
development, operation, and maintenance of an electronic
database for heavy vehicle highway use tax payments.
``(2) Elements of memorandum of understanding.--The
memorandum of understanding shall provide that--
``(A) the Internal Revenue Service shall develop, operate,
and maintain the electronic database through contracts;
``(B) the Commissioner of the Internal Revenue Service
shall submit and the Secretary shall approve a budget and
project plan for establishment, operation, and maintenance of
the electronic database;
``(C) the electronic database shall be under the control of
the Internal Revenue Service; and
``(D) the electronic database shall be made available for
use by appropriate State and Federal revenue, tax, and law
enforcement authorities, subject to section 6103 of the
Internal Revenue Code of 1986.
``(3) Funding.--Of the amounts made available to carry out
this section for each of fiscal years 2004 through 2009, the
Secretary shall make funds available to the Internal Revenue
Service to establish, operate, and maintain in accordance
with this subsection
[[Page S1112]]
the electronic database described in paragraph (1).
``(f) Reports.--Not later than March 30 and September 30 of
each year, the Internal Revenue Service shall submit to the
Secretary reports on the status of the Internal Revenue
Service projects funded under this section relating to--
``(1) the excise summary terminal activity reporting system
under subsection (c);
``(2) the pipeline, vessel, and barge registration system
under subsection (d); and
``(3) the heavy vehicle use tax electronic database under
subsection (e).''.
(d) Allocations.--Of the amounts made available under
section 104(a)(1) of title 23, United States Code, there
shall made available for highway use tax evasion projects the
following amounts:
(1) For each of fiscal years 2004 through 2009, $4,500,000
shall be allocated to the States.
(2) For fiscal year 2004, $20,050,000 shall be allocated to
the Internal Revenue Service, of which $10,500,000 shall be
used for the excise summary terminal activity reporting
system.
(3) For each of fiscal years 2005 and 2006, $48,000,000
shall be allocated to the Internal Revenue Service, of which
$4,500,000 shall be used for the excise summary terminal
activity reporting system.
(4) For fiscal year 2007, $38,000,000 shall be allocated to
the Internal Revenue Service, of which $4,500,000 shall be
used for the excise summary terminal activity reporting
system.
(5) For each of fiscal years 2008 and 2009, $4,500,000
shall be allocated to the Internal Revenue Service, which
shall be used for the excise summary terminal activity
reporting system.
______
SA 2414. Mr. NICKLES submitted an amendment intended to be proposed
by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 1298, strike lines 16 through 24, and insert:
PART IV--SENSE OF SENATE
It is the sense of the Senate that highway spending should
not be funded using a shift in corporate estimated tax
receipts.
______
SA 2415. Mr. BURNS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 737, between lines 17 and 18, insert the following
new paragraph:
(4) by inserting after subsection (e), as redesignated, the
following:
``(f) Minimum Apportionment and Criteria.--
``(1) Minimum apportionment.--Notwithstanding any other
provision of this section, the Secretary shall grant to any
State that qualifies under paragraph (2) and has not
received, as a result of other provisions of this section, at
least \1/2\ of 1 percent of the total funds authorized for a
fiscal year for grants under this section, such additional
funds as are necessary to result in such State receiving \1/
2\ of 1 percent of the total funds authorized for grants
under this section for that fiscal year. Funds for grants
under this subsection shall be derived from pro-rata
reduction of grant amounts that otherwise would be awarded
pursuant to other subsections of this section.
``(2) Criteria.--To qualify for a grant under this
subsection, a State--
``(A) shall meet the requirements of subsection (a)(2) of
this section; and
``(B) shall--
``(i) meet 3 of the 6 criteria for qualifying for grants
under this section (as this section was in effect for fiscal
year 2003 funding); or
``(ii) for the most recent year for which data is
available, have a seat belt utilization rate that is either
higher than the national average for that year or higher than
the utilization rate in that State in the second most recent
year for which data is available.
``(3) Uses of funds.--Grants under this subsection may be
used for--
``(A) any activity that was an eligible use of grants under
this section for fiscal year 2003;
``(B) any activity otherwise eligible under this section,
other than activities that are made eligible only for those
States that meet the criteria set forth in subparagraph
(b)(2)(A) of this section; and
``(C) any other activity undertaken by the State for the
purpose of increasing seat belt utilization unless
disapproved by the Secretary on the basis that it bears no
relation to that objective.''.
______
SA 2416. Mr. BAYH (for himself, Mr. Lugar, and Mrs. Clinton)
submitted an amendment intended to be proposed to amendment SA 2285
proposed by Mr. Inhofe to the bill S. 1072, to authorize funds for
Federal-aid highways, highway safety programs, and transit programs,
and for other purposes; which was ordered to lie on the table; as
follows:
On page 393, after line 19, add the following:
Subtitle J--Clean School Buses
SEC. 1911. DEFINITIONS.
In this subtitle:
(1) Administrator.--The term ``Administrator'' means the
Administrator of the Environmental Protection Agency.
(2) Alternative fuel.--The term ``alternative fuel'' means
liquefied natural gas, compressed natural gas, liquefied
petroleum gas, hydrogen, propane, or methanol or ethanol at
no less than 85 percent by volume.
(3) Alternative fuel school bus.--The term ``alternative
fuel school bus'' means a school bus that meets all of the
requirements of this subtitle and is operated solely on an
alternative fuel.
(4) Emissions control retrofit technology.--The term
``emissions control retrofit technology'' means a particulate
filter or other emissions control equipment that is verified
or certified by the Administrator or the California Air
Resources Board as an effective emission reduction technology
when installed on an existing school bus.
(5) Idling.--The term ``idling'' means operating an engine
while remaining stationary for more than approximately 15
minutes, except that the term does not apply to routine
stoppages associated with traffic movement or congestion.
(6) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(7) Ultra-low sulfur diesel fuel.--The term ``ultra-low
sulfur diesel fuel'' means diesel fuel that contains sulfur
at not more than 15 parts per million.
(8) Ultra-low sulfur diesel fuel school bus.--The term
``ultra-low sulfur diesel fuel school bus'' means a school
bus that meets all of the requirements of this subtitle and
is operated solely on ultra-low sulfur diesel fuel.
SEC. 1912. PROGRAM FOR REPLACEMENT OF CERTAIN SCHOOL BUSES
WITH CLEAN SCHOOL BUSES.
(a) Establishment.--The Administrator, in consultation with
the Secretary and other appropriate Federal departments and
agencies, shall establish a program for awarding grants on a
competitive basis to eligible entities for the replacement of
existing school buses manufactured before model year 1991
with alternative fuel school buses and ultra-low sulfur
diesel fuel school buses.
(b) Requirements.--
(1) In general.--Not later than 90 days after the date of
enactment of this Act, the Administrator shall establish and
publish in the Federal Register grant requirements on
eligibility for assistance, and on implementation of the
program established under subsection (a), including
instructions for the submission of grant applications and
certification requirements to ensure compliance with this
subtitle.
(2) Application deadlines.--The requirements established
under paragraph (1) shall require submission of grant
applications not later than--
(A) in the case of the first year of program
implementation, the date that is 180 days after the
publication of the requirements in the Federal Register; and
(B) in the case of each subsequent year, June 1 of the
year.
(c) Eligible Recipients.--A grant shall be awarded under
this section only--
(1) to 1 or more local or State governmental entities
responsible for providing school bus service to 1 or more
public school systems or responsible for the purchase of
school buses;
(2) to 1 or more contracting entities that provide school
bus service to 1 or more public school systems, if the grant
application is submitted jointly with the 1 or more school
systems to be served by the buses, except that the
application may provide that buses purchased using funds
awarded shall be owned, operated, and maintained exclusively
by the 1 or more contracting entities; or
(3) to a nonprofit school transportation association
representing private contracting entities, if the association
has notified and received approval from the 1 or more school
systems to be served by the buses.
(d) Award Deadlines.--
(1) In general.--Subject to paragraph (2), the
Administrator shall award a grant made to a qualified
applicant for a fiscal year--
(A) in the case of the first fiscal year of program
implementation, not later than the date that is 90 days after
the application deadline established under subsection (b)(2);
and
(B) in the case of each subsequent fiscal year, not later
than August 1 of the fiscal year.
(2) Insufficient number of qualified grant applications.--
If the Administrator does not receive a sufficient number of
qualified grant applications to meet the requirements of
subsection (i)(1) for a fiscal year, the Administrator shall
award a grant made to a qualified applicant under subsection
(i)(2) not later than September 30 of the fiscal year.
(e) Types of Grants.--
(1) In general.--A grant under this section shall be used
for the replacement of school buses manufactured before model
year 1991 with alternative fuel school buses and ultra-low
sulfur diesel fuel school buses.
(2) No economic benefit.--Other than the receipt of the
grant, a recipient of a grant under this section may not
receive any economic benefit in connection with the receipt
of the grant.
[[Page S1113]]
(3) Priority of grant applications.--The Administrator
shall give priority to applicants that propose to replace
school buses manufactured before model year 1977.
(f) Conditions of Grant.--A grant provided under this
section shall include the following conditions:
(1) School bus fleet.--All buses acquired with funds
provided under the grant shall be operated as part of the
school bus fleet for which the grant was made for a minimum
of 5 years.
(2) Use of funds.--Funds provided under the grant may only
be used--
(A) to pay the cost, except as provided in paragraph (3),
of new alternative fuel school buses or ultra-low sulfur
diesel fuel school buses, including State taxes and contract
fees associated with the acquisition of such buses; and
(B) to provide--
(i) up to 20 percent of the price of the alternative fuel
school buses acquired, for necessary alternative fuel
infrastructure if the infrastructure will only be available
to the grant recipient; and
(ii) up to 25 percent of the price of the alternative fuel
school buses acquired, for necessary alternative fuel
infrastructure if the infrastructure will be available to the
grant recipient and to other bus fleets.
(3) Grant recipient funds.--The grant recipient shall be
required to provide at least--
(A) in the case of a grant recipient described in paragraph
(1) or (3) of subsection (c), the lesser of--
(i) an amount equal to 15 percent of the total cost of each
bus received; or
(ii) $15,000 per bus; and
(B) in the case of a grant recipient described in
subsection (c)(2), the lesser of--
(i) an amount equal to 20 percent of the total cost of each
bus received; or
(ii) $20,000 per bus.
(4) Ultra-low sulfur diesel fuel.--In the case of a grant
recipient receiving a grant for ultra-low sulfur diesel fuel
school buses, the grant recipient shall be required to
provide documentation to the satisfaction of the
Administrator that diesel fuel containing sulfur at not more
than 15 parts per million is available for carrying out the
purposes of the grant, and a commitment by the applicant to
use such fuel in carrying out the purposes of the grant.
(5) Timing.--All alternative fuel school buses, ultra-low
sulfur diesel fuel school buses, or alternative fuel
infrastructure acquired under a grant awarded under this
section shall be purchased and placed in service as soon as
practicable.
(g) Buses.--
(1) In general.--Except as provided in paragraph (2),
funding under a grant made under this section for the
acquisition of new alternative fuel school buses or ultra-low
sulfur diesel fuel school buses shall only be used to acquire
school buses--
(A) with a gross vehicle weight of greater than 14,000
pounds;
(B) that are powered by a heavy duty engine;
(C) in the case of alternative fuel school buses
manufactured in model years 2004 through 2006, that emit not
more than 1.8 grams per brake horsepower-hour of nonmethane
hydrocarbons and oxides of nitrogen and .01 grams per brake
horsepower-hour of particulate matter; and
(D) in the case of ultra-low sulfur diesel fuel school
buses manufactured in model years 2004 through 2006, that
emit not more than 2.5 grams per brake horsepower-hour of
nonmethane hydrocarbons and oxides of nitrogen and .01 grams
per brake horsepower-hour of particulate matter.
(2) Limitations.--A bus shall not be acquired under this
section that emits nonmethane hydrocarbons, oxides of
nitrogen, or particulate matter at a rate greater than the
best performing technology of the same class of ultra-low
sulfur diesel fuel school buses commercially available at the
time the grant is made.
(h) Deployment and Distribution.--The Administrator shall--
(1) seek, to the maximum extent practicable, to achieve
nationwide deployment of alternative fuel school buses and
ultra-low sulfur diesel fuel school buses through the program
under this section; and
(2) ensure a broad geographic distribution of grant awards,
with a goal of no State receiving more than 10 percent of the
grant funding made available under this section for a fiscal
year.
(i) Allocation of Funds.--
(1) In general.--Subject to paragraph (2), of the amount of
grant funding made available to carry out this section for
any fiscal year, the Administrator shall use--
(A) 70 percent for the acquisition of alternative fuel
school buses or supporting infrastructure; and
(B) 30 percent for the acquisition of ultra-low sulfur
diesel fuel school buses.
(2) Insufficient number of qualified grant applications.--
After the first fiscal year in which this program is in
effect, if the Administrator does not receive a sufficient
number of qualified grant applications to meet the
requirements of subparagraph (A) or (B) of paragraph (1) for
a fiscal year, effective beginning on August 1 of the fiscal
year, the Administrator shall make the remaining funds
available to other qualified grant applicants under this
section.
(j) Reduction of School Bus Idling.--Each local educational
agency (as defined in section 9101 of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 7801)) that
receives Federal funds under the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 6301 et seq.) is encouraged
to develop a policy, consistent with the health, safety, and
welfare of students and the proper operation and maintenance
of school buses, to reduce the incidence of unnecessary
school bus idling at schools when picking up and unloading
students.
(k) Annual Report.--
(1) In general.--Not later than January 31 of each year,
the Administrator shall transmit to Congress a report
evaluating implementation of the programs under this section
and section 1913.
(2) Components.--The reports shall include a description
of--
(A) the total number of grant applications received;
(B) the number and types of alternative fuel school buses,
ultra-low sulfur diesel fuel school buses, and retrofitted
buses requested in grant applications;
(C) grants awarded and the criteria used to select the
grant recipients;
(D) certified engine emission levels of all buses purchased
or retrofitted under the programs under this section and
section 1913;
(E) an evaluation of the in-use emission level of buses
purchased or retrofitted under the programs under this
section and section 1913; and
(F) any other information the Administrator considers
appropriate.
(l) Authorization of Appropriations.--There are authorized
to be appropriated to the Administrator to carry out this
section, to remain available until expended--
(1) $45,000,000 for fiscal year 2005;
(2) $65,000,000 for fiscal year 2006;
(3) $90,000,000 for fiscal year 2007; and
(4) such sums as are necessary for each of fiscal years
2008 and 2009.
SEC. 1913. DIESEL RETROFIT PROGRAM.
(a) Establishment.--The Administrator, in consultation with
the Secretary, shall establish a program for awarding grants
on a competitive basis to entities for the installation of
retrofit technologies for diesel school buses.
(b) Eligible Recipients.--A grant shall be awarded under
this section only--
(1) to a local or State governmental entity responsible for
providing school bus service to 1 or more public school
systems;
(2) to 1 or more contracting entities that provide school
bus service to 1 or more public school systems, if the grant
application is submitted jointly with the 1 or more school
systems that the buses will serve, except that the
application may provide that buses purchased using funds
awarded shall be owned, operated, and maintained exclusively
by the 1 or more contracting entities; or
(3) to a nonprofit school transportation association
representing private contracting entities, if the association
has notified and received approval from the 1 or more school
systems to be served by the buses.
(c) Awards.--
(1) In general.--The Administrator shall seek, to the
maximum extent practicable, to ensure a broad geographic
distribution of grants under this section.
(2) Preferences.--In making awards of grants under this
section, the Administrator shall give preference to proposals
that--
(A) will achieve the greatest reductions in emissions of
nonmethane hydrocarbons, oxides of nitrogen, or particulate
matter per proposal or per bus; or
(B) involve the use of emissions control retrofit
technology on diesel school buses that operate solely on
ultra-low sulfur diesel fuel.
(d) Conditions of Grant.--A grant shall be provided under
this section on the conditions that--
(1) buses on which retrofit emissions-control technology
are to be demonstrated--
(A) will operate on ultra-low sulfur diesel fuel where such
fuel is reasonably available or required for sale by State or
local law or regulation;
(B) were manufactured in model year 1991 or later; and
(C) will be used for the transportation of school children
to and from school for a minimum of 5 years;
(2) grant funds will be used for the purchase of emission
control retrofit technology, including State taxes and
contract fees; and
(3) grant recipients will provide at least 15 percent of
the total cost of the retrofit, including the purchase of
emission control retrofit technology and all necessary labor
for installation of the retrofit.
(e) Verification.--Not later than 90 days after the date of
enactment of this Act, the Administrator shall publish in the
Federal Register procedures to verify--
(1) the retrofit emissions-control technology to be
demonstrated;
(2) that buses powered by ultra-low sulfur diesel fuel on
which retrofit emissions-control technology are to be
demonstrated will operate on diesel fuel containing not more
than 15 parts per million of sulfur; and
(3) that grants are administered in accordance with this
section.
(f) Authorization of Appropriations.--There are authorized
to be appropriated to the Administrator to carry out this
section, to remain available until expended--
(1) $20,000,000 for fiscal year 2005;
(2) $35,000,000 for fiscal year 2006;
(3) $45,000,000 for fiscal year 2007; and
(4) such sums as are necessary for each of fiscal years
2008 and 2009.
[[Page S1114]]
______
SA 2417. Mr. HARKIN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 730, strike line 18 and insert the following:
``(4) Use of simulation technology.--The Secretary shall
use simulation studies to better understand the human factors
involved in the research areas described in paragraph (1) and
to find possible accident reducing methods where practical.
``(5) Reports.--
On page 734, line 8, insert ``, including simulation
studies,'' after ``activities''.
______
SA 2418. Mr. CARPER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 527, line 1, strike ``intercity passenger rail,''.
______
SA 2419. Mr. CARPER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 524, line 16, insert ``and intercity rail'' after
``intercity bus''.
______
SA 2420. Mr. CARPER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 522, line 21, insert ``, which are coordinated with
other modes of transportation,'' after ``systems''.
______
SA 2421. Mr. CARPER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 590, strike line 9, and insert the following:
subrecipient of assistance under section 5310.
``(D) Statewide transit provider grantees.--A statewide
transit provider that receives a grant under this section
shall be subject to the terms, conditions, requirements, and
provisions of this section or section 5311, consistent with
the scope and purpose of the grant and the location of the
project.'';
______
SA 2422. Mr. CARPER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 594, strike lines 15 through 17, and insert the
following:
``(E) reductions in local infrastructure costs achieved
through compact land use development and positive impacts on
the capacity, utilization, or longevity of other surface
transportation assets and facilities;
______
SA 2423. Mr. CARPER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 542, strike line 24 and all that follows
through page 543, line 6, and insert the following:
``(A) an identification of transportation facilities,
including major roadways, transit, multimodal and intermodal
facilities, intermodal connectors, and other relevant
facilities identified by the metropolitan planning
organization, which should function as an integrated
metropolitan transportation system, emphasizing those
facilities that serve important national and regional
transportation functions;
______
SA 2424. Mr. ROCKEFELLER submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
Strike section 4152 and insert the following:
SEC. 4152. VEHICLE CRASH EJECTION PREVENTION.
(a) In General.--Subchapter II of chapter 301 is amended by
adding at the end the following:
``Sec. 30128. Vehicle accident ejection protection
``(a) In General.--The Secretary shall issue a safety
standard to reduce complete and partial ejection from
passenger motor vehicles with a gross vehicle weight rating
of up to 10,000 pounds that are involved in accidents that
present a risk of occupant ejection. The reduction in such
ejections shall be based on the combined ejection-mitigation
capabilities of safety technologies, such as advanced side
glazing, side curtains, and side impact air bags.
``(b) Door Lock and Retention Standard.--The Secretary
shall issue a rule to require manufacturers of new passenger
motor vehicles distributed in commerce for sale in the United
States to make such modifications to door locks, door
latches, and retention components of doors in such vehicles
as the Secretary determines to be necessary to prevent
occupant ejection in vehicle accidents.''.
(b) Rulemaking Deadlines.--
(1) Rulemaking.--The Secretary of Transportation shall
issue--
(A) a notice of a proposed rulemaking under section 30128
of title 49, United States Code, not later than June 30,
2005; and
(B) a final rule under that section not later than June 30,
2006.
(2) Effective date of requirements.--Any requirement
imposed under the final rule issued under paragraph (1) shall
become fully effective no later than December 31, 2008.
(c) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Transportation
$500,000 for each of fiscal years 2004 and 2005 to promulgate
rules under section 30128 of title 49, United States Code.
(d) Conforming Amendment.--The chapter analysis for chapter
301 is amended by inserting after the item relating to
section 30127 the following:
``30128. Vehicle accident ejection protection.''.
______
SA 2425. Mr. LOTT submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. MULTISTATE INTERNATIONAL CORRIDOR DEVELOPMENT
PROGRAM.
(a) Establishment.--The Secretary shall establish a program
to develop international trade corridors to facilitate the
movement of freight from international ports of entry through
and to the interior of the United States.
(b) Eligible Recipients.--State transportation departments
and metropolitan planning organizations shall be eligible to
receive and administer funds provided under the program.
(c) Eligible Activities.--The Secretary shall make
allocations under this program for any activity eligible for
funding under title 23, United States Code, including
multistate highway and multistate multimodal planning and
project construction.
(d) Other Provisions Regarding Eligibility.--All activities
funded under this program shall be consistent with the
continuing, cooperative, and comprehensive planning processes
required by sections 134 and 135 of title 23, United States
Code.
(e) Selection Criteria.--The Secretary shall only select
projects for corridors--
(1) that have significant levels or increases in truck and
traffic volume relating to international freight movement;
(2) connect to at least 1 international terminus;
(3) traverse at least 3 States; and
(4) are identified by section 115(c) of the Intermodal
Transportation Efficiency Act of 1991 (Public Law 102-240;
105 Stat. 2032).
(f) Program Priorities.--In administering the program, the
Secretary shall--
(1) encourage and enable States and other jurisdictions to
work together to develop plans for multimodal and
multijurisdictional transportation decisionmaking; and
(2) give priority to studies that emphasize multimodal
planning, including planning for operational improvements
that increase mobility, freight productivity, access to
marine ports, safety, and security while enhancing the
environment.
(g) Federal Share.--The Federal share required for any
study carried out under this section shall be available for
obligation in the same manner as if the funds were
apportioned under chapter I of title 23, United States Code.
______
SA 2426. Mr. DASCHLE submitted an amendment intended to be proposed
to
[[Page S1115]]
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the appropriate place, insert the following:
SEC. ____. SENIOR TRANSPORTATION DEMONSTRATION PROJECT
GRANTS.
(a) Definitions.--As used in this section, the following
definitions shall apply:
(1) Eligible entity.--The term ``eligible entity''
includes--
(A) States;
(B) units of local government;
(C) local transportation organizations;
(D) nonprofit organizations;
(E) Indian tribes; and
(F) institutions of higher learning.
(2) Senior citizen.--The term ``senior citizen'' means any
individual who has reached 65 years of age.
(b) Grants Authorized.--The Secretary of Transportation
shall award demonstration project grants to 10 eligible
entities to establish mass transportation assistance pilot
programs to plan and provide adequate and appropriate
transportation for senior citizens.
(c) Use of Funds.--Grant funds received under this section
may be used to--
(1) evaluate the state of transportation services for
senior citizens;
(2) recognize barriers to mobility that senior citizens
encounter in their communities;
(3) establish partnerships and promote coordination among
community stakeholders, including public, not-for-profit, and
for-profit providers of transportation services for senior
citizens;
(4) identify future transportation needs of senior citizens
within local communities;
(5) establish strategies to meet the unique needs of
healthy and frail senior citizens; and
(6) facilitate funding for operating expenses under section
5310 of title 49, United States Code.
(d) Application.--
(1) In general.--Each eligible entity desiring a grant
under this section shall submit an application to the
Secretary at such time, at such place, and containing such
information as the Secretary may reasonably require.
(2) Selection of grantees.--
(A) In general.--The Secretary shall establish a committee,
comprised of transportation providers, transportation
planners, academicians, and consumers, who are interested in
and knowledgeable of senior transportation issues, to select
the eligible entities that will receive planning and direct
service transportation demonstration project grants under
this section.
(B) Geographical representation.--Except as provided under
subparagraph (C), the committee described in subparagraph (A)
shall base its selection of grantees based on a fair
representation of various geographical locations throughout
the United States.
(C) Pilot program states.--Not less than 1 grant shall be
awarded to eligible entities within each of the following
States:
(i) Connecticut.
(ii) South Dakota.
(iii) Alabama.
(e) Authorization of Appropriations.--There are authorized
to be appropriated $10,000,000 for fiscal year 2005 to carry
out this section, which shall remain available until
expended.
______
SA 2427. Mr. DASCHLE submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 36, strikes lines 11 through 20 and insert the
following:
(i) $325,000,000 for fiscal year 2004;
(ii) $350,000,000 for fiscal year 2005;
(iii) $375,000,000 for fiscal year 2006;
(iv) $400,000,000 for fiscal year 2007;
(v) $425,000,000 for fiscal year 2008; and
(vi) $425,000,000 for fiscal year 2009.
______
SA 2428. Mr. DASCHLE submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 48, between lines 16 and 17, insert the following:
(k) Amount of Obligation Limitation for Indian Reservation
Roads.--The amount of any obligation limitation for the
Indian reservation roads program shall be equal to the total
amount of contract authority made available for the Indian
reservation roads program for fiscal years 2004 through 2009.
______
SA 2429. Mr. DASCHLE submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 398 at the appropriate place insert the following:
(H) $2,000,000 for fiscal year 2005 shall remain available
until expended for asphalt and asphalt-related reclamation
research at the South Dakota School of Mines.
______
SA 2430. Mr. DORGAN submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 147, after the item following line 24, add the
following:
SEC. 1409. OPEN CONTAINER REQUIREMENTS.
Section 154 of title 23, United States Code, is amended by
striking subsection (c) and inserting the following:
``(c) Transfer of Funds.--
``(1) In general.--The Secretary shall withhold the
applicable percentage for the fiscal year of the amount
required to be apportioned for Federal-aid highways to any
State under each of paragraphs (1), (3), and (4) of section
104(b), if a State has not enacted or is not enforcing a
provision described in subsection (b), as follows:
``For: The applicable percentage is:
Fiscal year 2008.............................................2 percent.
Fiscal year 2009.............................................2 percent.
Fiscal year 2010.............................................2 percent.
Fiscal year 2011 and each subsequent fiscal year.............2 percent.
``(2) Restoration.--If (during the 4-year period beginning
on the date the apportionment for any State is reduced in
accordance with this subsection) the Secretary determines
that the State has enacted and is enforcing a provision
described in subsection (b), the apportionment of the State
shall be increased by an amount equal to the amount of the
reduction made during the 4-year period.''.
______
SA 2431. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning on page 56, strike line 16 and all that follows
through page 57, line 2, and insert the following:
``(3) Minimum share of tax payments.--
``(A) In general.--Notwithstanding subsection (d), for each
fiscal year, the Secretary shall allocate among the States
amounts sufficient to ensure that no State receives a
percentage of apportionments for the fiscal year for the
programs specified in subsection (a)(2) that is less than the
applicable percentage under subparagraph (B) of estimated tax
payments attributable to highway users in the State paid into
the Highway Trust Fund (other than the Mass Transit Account)
in the most recent fiscal year for which data are available.
``(B) Minimum percentages.--The percentage referred to in
subparagraph (A) shall be--
``(i) for fiscal year 2004, 90.5 percent;
``(ii) for fiscal year 2005, 91 percent;
``(iii) for fiscal year 2006, 92 percent;
``(iv) for fiscal year 2007, 93 percent;
``(v) for fiscal year 2008, 94 percent; and
``(vi) for fiscal year 2009, 95 percent.
``(C) Adjustment.--Funding for the programs under
subsection (a)(2) shall be adjusted proportionately so that
the total funding proportioned complies with the obligation
limitations under section 1102 of the Safe, Accountable,
Flexible, and Efficient Equity Act of 2003.
______
SA 2432. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe, to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
Beginning on page 52, strike line 1 and all that follows
through page 58, line 21, and insert the following:
``(1) In general.--Subject to subsections (c) and (e), for
each of fiscal years 2004 through 2009, the Secretary shall
allocate among the States amounts sufficient to ensure that
no State receives a percentage of the total apportionments
for the fiscal year for the programs specified in paragraph
(2) that is less than the percentage calculated under
subsection (b).
``(2) Specific programs.--The programs referred to in
subsection (a) are--
``(A) the Interstate maintenance program under section 119;
``(B) the national highway system program under section
103;
``(C) the bridge program under section 144;
``(D) the surface transportation program under section 133;
``(E) the highway safety improvement program under section
148;
``(F) the congestion mitigation and air quality improvement
program under section 149;
[[Page S1116]]
``(G) metropolitan planning programs under section 104(f)
(other than planning programs funded by amounts provided
under the equity bonus program under this section);
``(H) the infrastructure performance and maintenance
program under section 139;
``(I) the equity bonus program under this section;
``(J) the Appalachian development highway system program
under subtitle IV of title 40;
``(K) the recreational trails program under section 206;
``(L) the safe routes to schools program under section 150;
and
``(M) the rail-highway grade crossing program under section
130.
``(b) State Percentage.--
``(1) In general.--The percentage referred to in subsection
(a) for each State shall be--
``(A) 95 percent of the quotient obtained by dividing--
``(i) the estimated tax payments attributable to highway
users in the State paid into the Highway Trust Fund (other
than the Mass Transit Account) in the most recent fiscal year
for which data are available; by
``(ii) the estimated tax payments attributable to highway
users in all States paid into the Highway Trust Fund (other
than the Mass Transit Account) for the fiscal year; or
``(B) for a State with a total population density of less
than 20 persons per square mile, as reported in the decennial
census conducted by the Federal Government in 2000, a total
population of less than 1,000,000, as reported in that
decennial census, or a median household income of less than
$35,000, as reported in that decennial census, the greater
of--
``(i) the percentage under paragraph (1); or
``(ii) the average percentage of the State's share of total
apportionments for the period of fiscal years 1998 through
2003 for the programs specified in paragraph (2).
``(2) Specific programs.--The programs referred to in
paragraph (1)(B)(ii) are (as in effect on the day before the
date of enactment of the Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2004)--
``(A) the Interstate maintenance program under section 119;
``(B) the national highway system program under section
103;
``(C) the bridge program under section 144;
``(D) the surface transportation program under section 133;
``(E) the recreational trails program under section 206;
``(F) the high priority projects program under section 117;
``(G) the minimum guarantee provided under this section;
``(H) revenue aligned budget authority amounts provided
under section 110;
``(I) the congestion mitigation and air quality improvement
program under section 149;
``(J) the Appalachian development highway system program
under subtitle IV of title 40; and
``(K) metropolitan planning programs under section 104(f).
``(c) Special Rules.--
``(1) Minimum combined allocation.--For each fiscal year,
before making the allocations under subsection (a)(1), the
Secretary shall allocate among the States amounts sufficient
to ensure that no State receives a combined total of amounts
allocated under subsection (a)(1), apportionments for the
programs specified in subsection (a)(2), and amounts
allocated under this subsection, that is less than 110
percent of the average for fiscal years 1998 through 2003 of
the annual apportionments for the State for all programs
specified in subsection (b)(2).
``(2) No negative adjustment.--Notwithstanding subsection
(e), no negative adjustment shall be made under subsection
(a)(1) to the apportionment of any State.
``(3) Minimum share of tax payments.--Notwithstanding
subsection (e), for each fiscal year, the Secretary shall
allocate among the States amounts sufficient to ensure that
no State receives a percentage of apportionments for the
fiscal year for the programs specified in subsection (a)(2)
that is less than 90.5 percent of the percentage share of the
State of estimated tax payments attributable to highway users
in the State paid into the Highway Trust Fund (other than the
Mass Transit Account) in the most recent fiscal year for
which data are available.
``(d) Final Equity Bonus.--A final equity adjustment shall
be made for all States to raise the percentage return of all
highway apportionments and allocations, as compared with the
tax payments attributable to that State paid into the Highway
Trust Fund (other than the Mass Transit Account), to the
following percentages:
``(1) Fiscal year 2005, 91 percent.
``(2) Fiscal year 2006, 92 percent.
``(3) Fiscal year 2007, 93 percent.
``(4) Fiscal year 2008, 94 percent.
``(5) Fiscal year 2009, 95 percent.
``(e) Limitation on Adjustments.--
``(1) In general.--Except as provided in paragraphs (2) and
(3) of subsection (c), no State shall receive, for any fiscal
year, additional amounts under subsection (a)(1) if--
``(A) the total apportionments of the State for the fiscal
year for the programs specified in subsection (a)(2); exceed
``(B) the percentage of the average, for the period of
fiscal years 1998 through 2003, of the annual apportionments
of the State for all programs specified in subsection (b)(2),
as specified in paragraph (2).
``(2) Percentages.--The percentages referred to in
paragraph (1)(B) are--
``(A) for fiscal year 2004, 120 percent;
``(B) for fiscal year 2005, 130 percent;
``(C) for fiscal year 2006, 134 percent;
``(D) for fiscal year 2007, 137 percent;
``(E) for fiscal year 2008, 145 percent; and
``(F) for fiscal year 2009, 250 percent.
``(f) Programmatic Distribution of Funds.--The Secretary
shall apportion the amounts made available under this section
so that the amount apportioned to each State under this
section for each program referred to in subparagraphs (A)
through (G) of subsection (a)(2) is equal to the amount
determined by multiplying the amount to be apportioned under
this section by the proportion that--
``(1) the amount of funds apportioned to each State for
each program referred to in subparagraphs (A) through (G) of
subsection (a)(2) for a fiscal year; bears to
``(2) the total amount of funds apportioned to each State
for all such programs for the fiscal year.
``(g) Metro Planning Set Aside.--Notwithstanding section
104(f), no set aside provided for under that section shall
apply to funds allocated under this section.
``(h) Authorization of Appropriations.--There are
authorized to be appropriated from the Highway Trust Fund
(other than the Mass Transit Account) such sums as are
necessary to carry out this section for each of fiscal years
2004 through 2009.''.
______
SA 2433. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe, to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
Beginning on page 63, strike line 23 and all that follows
through page 64, line 2, and insert the following:
``(2) Equity bonus.--A sufficient amount of funding
available to carry out this section shall be reserved to
provide a final equity adjustment for each State to increase
the percentage return of all highway apportionments and
allocations, as compared to the tax payments attributable to
the State paid into the Highway Trust Fund (other than the
Mass Transit Account), to--
``(A) for fiscal year 2005, 91 percent;
``(B) for fiscal year 2006, 92 percent;
``(C) for fiscal year 2007, 93 percent;
``(D) for fiscal year 2008, 94 percent; and
``(E) for fiscal year 2009, 95 percent.
______
SA 2435. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe, to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
On page 57, strike line 6 and all that follows through line
23 and insert the following:
receive, for any of fiscal years 2004 through 2008,
additional amounts under subsection (a)(1) if--
``(A) the total apportionments of the State for the fiscal
year for the programs specified in subsection (a)(2); exceed
``(B) the percentage of the average, for the period of
fiscal years 1998 through 2003, of the annual apportionments
of the State for all programs specified in subsection (b)(2),
as specified in paragraph (2).
``(2) Percentages.--The percentages referred to in
paragraph (1)(B) are--
``(A) for fiscal year 2004, 120 percent;
``(B) for fiscal year 2005, 130 percent;
``(C) for fiscal year 2006, 134 percent;
``(D) for fiscal year 2007, 137 percent; and
``(E) for fiscal year 2008, 145 percent.
______
SA 2431. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 1030, after line 21, add the following:
SEC. 5004. INCREASE IN HIGHWAY FUELS TAX RATE.
(a) In General.--Section 4081(a)(2)(A) (relating to rates
of tax) is amended--
(1) by striking ``18.3 cents'' in clause (i) and inserting
``23.1 cents'', and
(2) by striking ``24.3 cents'' in clause (ii) and inserting
``30.7 cents''.
(b) Secretarial Adjustment.--Notwithstanding any provision
of the Internal Revenue Code of 1986 to the contrary, not
later than 30 days before the tax increase date (as defined
in subsection (d)(3)(F)), the Secretary of the Treasury shall
determine and provide for the proper rate, exemption, and
credit adjustments necessary to maintain a comparable rate
reduction to the rate imposed such date on gasoline, diesel
fuel, or kerosene under section 4081 of the Internal Revenue
Code of 1986 for any fuel, fuel mixture, or fuel use with
respect to which such a reduction is in effect on such date.
(c) Floor Stocks Tax.--
(1) In general.--There is hereby imposed on highway fuel
held on a tax increase date, by any person a tax equal to--
(A) the tax which would have been imposed on the day before
such date on such fuel had
[[Page S1117]]
the amendments made by this section been in effect at all
times before such date, reduced by
(B) the tax imposed before such date under section 4081 of
the Internal Revenue Code of 1986, as in effect on the day
before such tax increase date.
(2) Liability for tax and method of payment.--
(A) Liability for tax.--A person holding gasoline, diesel
fuel, or kerosene on a tax increase date, to which the tax
imposed by paragraph (1) applies shall be liable for such
tax.
(B) Method of payment.--The tax imposed by paragraph (1)
shall be paid in such manner as the Secretary shall
prescribe.
(C) Time for payment.--The tax imposed by paragraph (1)
shall be paid on or before the date which is 3 months after
the tax increase date.
(3) Definitions.--For purposes of this subsection--
(A) Held by a person.--Highway fuel shall be considered as
``held by a person'' if title thereto has passed to such
person (whether or not delivery to the person has been made).
(B) Highway fuel.--The term ``highway fuel'' means
gasoline, diesel fuel, and kerosene.
(C) Gasoline.--The term ``gasoline'' has the meaning given
such term by section 4083(a)(2) of such Code.
(D) Diesel fuel.--The term ``diesel fuel'' has the meaning
given such term by section 4083(a)(3) of such Code.
(E) Secretary.--The term ``Secretary'' means the Secretary
of the Treasury or the Secretary's delegate.
(F) Tax increase date.--The term ``tax increase date''
means July 1, 2004.
(4) Exception for exempt uses.--The tax imposed by
paragraph (1) shall not apply to highway fuel held by any
person exclusively for any use to the extent a credit or
refund of the tax imposed by section 4081 of such Code, as
the case may be, is allowable for such use.
(5) Exception for fuel held in vehicle tank.--No tax shall
be imposed by paragraph (1) on highway fuel held in the tank
of a motor vehicle, motorboat, train, or aircraft.
(6) Other law applicable.--All provisions of law, including
penalties, applicable with respect to the taxes imposed by
section 4081 of such Code shall, insofar as applicable and
not inconsistent with the provisions of this subsection,
apply with respect to the floor stock taxes imposed by
paragraph (1) to the same extent as if such taxes were
imposed by such section 4081.
(d) Effective Date.--The amendments made by this section
shall take effect on July 1, 2004.
______
SA 2436. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 1030, after line 21, add the following:
SEC. 5004. INCREASE IN HIGHWAY FUELS TAX RATE.
(a) In General.--Section 4081(a)(2)(A) (relating to rates
of tax) is amended--
(1) by striking ``18.3 cents'' in clause (i) and inserting
``22 cents'', and
(2) by striking ``24.3 cents'' in clause (ii) and inserting
``29.2 cents''.
(b) Inflation Adjustment.--Section 4081(a) is amended by
adding at the end the following new paragraph:
``(3) Inflation adjustment of highway motor fuels excise
tax rates.--In the case of any calendar year beginning after
2004, each of the rates of tax specified in clauses (i) and
(ii) of paragraph (2)(A) shall be increased by an amount
equal to--
``(1) such rate of tax, multiplied by
``(2) the cost-of-living adjustment determined under
section 1(f)(3) for such calendar year, by substituting
`calendar year 2003' for `calendar year 1992' in subparagraph
(B) thereof.''.
(c) Secretarial Adjustment.--Notwithstanding any provision
of the Internal Revenue Code of 1986 to the contrary, not
later than 30 days before any tax increase date (as defined
in subsection (d)(3)(F)), the Secretary of the Treasury shall
determine and provide for the proper rate, exemption, and
credit adjustments necessary to maintain a comparable rate
reduction to the rate imposed such date on gasoline, diesel
fuel, or kerosene under section 4081 of the Internal Revenue
Code of 1986 for any fuel, fuel mixture, or fuel use with
respect to which such a reduction is in effect on such date.
(d) Floor Stocks Tax.--
(1) In general.--There is hereby imposed on highway fuel
held on a tax increase date, by any person a tax equal to--
(A) the tax which would have been imposed on the day before
such date on such fuel had the amendments made by this
section been in effect at all times before such date, reduced
by
(B) the tax imposed before such date under section 4081 of
the Internal Revenue Code of 1986, as in effect on the day
before such tax increase date.
(2) Liability for tax and method of payment.--
(A) Liability for tax.--A person holding gasoline, diesel
fuel, or kerosene on a tax increase date, to which the tax
imposed by paragraph (1) applies shall be liable for such
tax.
(B) Method of payment.--The tax imposed by paragraph (1)
shall be paid in such manner as the Secretary shall
prescribe.
(C) Time for payment.--The tax imposed by paragraph (1)
shall be paid on or before the date which is 3 months after
the tax increase date.
(3) Definitions.--For purposes of this subsection--
(A) Held by a person.--Highway fuel shall be considered as
``held by a person'' if title thereto has passed to such
person (whether or not delivery to the person has been made).
(B) Highway fuel.--The term ``highway fuel'' means
gasoline, diesel fuel, and kerosene.
(C) Gasoline.--The term ``gasoline'' has the meaning given
such term by section 4083(a)(2) of such Code.
(D) Diesel fuel.--The term ``diesel fuel'' has the meaning
given such term by section 4083(a)(3) of such Code.
(E) Secretary.--The term ``Secretary'' means the Secretary
of the Treasury or the Secretary's delegate.
(F) Tax increase date.--The term ``tax increase date''
means July 1, 2004, and January 1 of each calendar year
beginning after 2004.
(4) Exception for exempt uses.--The tax imposed by
paragraph (1) shall not apply to highway fuel held by any
person exclusively for any use to the extent a credit or
refund of the tax imposed by section 4081 of such Code, as
the case may be, is allowable for such use.
(5) Exception for fuel held in vehicle tank.--No tax shall
be imposed by paragraph (1) on highway fuel held in the tank
of a motor vehicle, motorboat, train, or aircraft.
(6) Other law applicable.--All provisions of law, including
penalties, applicable with respect to the taxes imposed by
section 4081 of such Code shall, insofar as applicable and
not inconsistent with the provisions of this subsection,
apply with respect to the floor stock taxes imposed by
paragraph (1) to the same extent as if such taxes were
imposed by such section 4081.
(e) Effective Date.--The amendments made by this section
shall take effect on July 1, 2004.
______
SA 2437. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
On page 346, line 13, strike ``and Washington'' and insert
``Washington, and any State with a seaport affected by
increased trade volume due to the North American Free Trade
Agreement''.
______
SA 2438. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
On page 288, strike line 16 and all that follows through
page 289, line 18.
On page 293, after the matter following line 22, add the
following:
(d) Traffic Incident Management Program.--
(1) In general.--Subchapter I of chapter 1 of title 23,
United States Code, as amended by this Act, is further
amended by adding at the end the following new section:
``Sec. 168a. Traffic incident management program
``(a) In General.--The Secretary shall establish and
implement a traffic incident management program in accordance
with this section to assist States and localities in--
``(1) regional traffic incident management program
planning; and
``(2) carrying out projects to mitigate the effects of
traffic delays due to accidents, breakdowns, and other non-
recurring incidents on highways.
``(b) Use of Funds.--Funds apportioned to a State under
this section may be used for--
``(1) regional collaboration and coordination activities
that lead to regional traffic incident management policies,
programs, plans, procedures, and agreements;
``(2) purchase or lease of telecommunications equipment for
first responders as part of the development of a regional
traffic incident management program;
``(3) purchase or lease of equipment to support the
clearance of traffic incidents;
``(4) payments to contractors for towing and recovery
services as part of a regional traffic incident management
program;
``(5) rental of vehicle storage or staging areas
immediately adjacent to roadways as part of a regional
traffic incident management program;
``(6) traffic service patrols as part of a regional traffic
incident management program;
``(7) enhanced hazardous materials incident response;
``(8) traffic management systems in support of traffic
incident management;
``(9) traffic incident management training;
``(10) crash investigation equipment;
[[Page S1118]]
``(11) other activities under a regional traffic incident
management plan; and
``(12) Statewide incident reporting systems as described in
section 169.
``(c) Regional Traffic Incident Management Plan.--
``(1) In general.--Funds apportioned under this section may
not be obligated for an urbanized area with a population
greater than 200,000 until a regional traffic incident
management plan is developed for such urbanized area.
``(2) Plan development.--
``(A) Collaboration.--Any urbanized area described in
paragraph (1) that receives funds apportioned under this
section shall engage in regional collaboration and
coordination activities to develop the regional traffic
incident management plan required for such area under that
paragraph.
``(B) Plan elements.--The regional traffic incident
management plan for an urbanized area under paragraph (1)
shall include--
``(i) a strategy, adopted by transportation, public safety,
and appropriate private sector participants, for funding,
implementing, managing, operating, and evaluating the traffic
incident management program initiatives and activities for
the urbanized area in manner that ensures regional
coordination of such initiatives and activities;
``(ii) an estimate of the impact of the plan on traffic
delays; and
``(iii) a description of the means by which traffic
incident management information will be shared among
operators, service providers, public safety officials, and
the general public.
``(C) Availability of funds.--The development of a regional
traffic incident management plan shall constitute regional
collaboration and coordination activities for purposes of
subsection (b)(1) for which funds apportioned under this
section may be obligated.
``(d) Funding.--
``(1) In general.--There is hereby made available from the
Highway Trust Fund (other than the Mass Transit Account) for
obligation without further appropriation, $500,000,000 for
each of fiscal years 2004 through 2009 to carry out this
section.
``(2) Apportionment among states.--Funds made available
under paragraph (1) shall be apportioned among the States
according to the ratio by which the aggregate population of
each State, or part thereof, in urbanized areas with a
population greater than 200,000 bears to the total population
of all States, or parts thereof, in such urbanized areas.
``(3) Distribution within states.--Funds apportioned to a
State under paragraph (2) shall be made available to carry
out projects and activities under regional traffic incident
managements plans in each urbanized area in the State with a
population greater than 200,000 according to the ratio by
which the population of such urbanized area, or part thereof,
in the State bears to the total population of all such
urbanized areas in the State.
``(e) Determination of Populations.--For purposes of
determining populations of areas under this section, the
Secretary shall use information from the most current
decennial census, as supplied by the Secretary of
Commerce.''.
(2) Conforming amendment.--The analysis for chapter 1 of
title 23, United States Code, as amended by this Act, is
further amended by inserting after the item relating to
section 168 the following new item:
``168a. Traffic incident management program.''.
(3) Equity bonus.--Section 105(a)(2) of title 23, United
States Code, as amended by section 1104 of this Act, is
further amended--
(A) in subparagraph (L), by striking ``and'' at the end;
(B) in subparagraph (M), by striking the period at the end
and inserting ``; and''; and
(C) by adding at the end the following new subparagraph:
``(N) the traffic incident management program under section
168a.''.
(4) Offset.--The amount available for the infrastructure
performance and maintenance plan required by section 139 of
title 23, United States Code, as added by section 1201, is
hereby reduced by $3,000,000,000 in order to provide an
offset for the costs of the traffic incident management
program required by section 168a of title 23, United States
Code, as added by paragraph (1).
On page 295, beginning on line 4, strike ``section
1701(c)(1))'' and insert ``section 1701(d)(1))''.
______
SA 2439. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
On page 460, strike lines 18 through 23.
______
SA 2440. Mr. GRAHAM of Florida submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
On page 186, between lines 7 and 8, insert the following:
(c) Savings Provision.--
(1) No effect on existing environmental review processes.--
Nothing in this section--
(A) affects any environmental review process developed and
approved under section 1309 of the Transportation Equity Act
for the 21st Century (112 Stat. 232), as in effect on the day
before the date of enactment of this Act; or
(B) prevents the Secretary, with the concurrence of any
cooperating agencies, from developing environmental review
processes that are consistent with the provisions of that
section.
(2) Eligibility for assistance.--Agencies that participated
in an environmental review process under section 1309 of the
Transportation Equity Act for the 21st Century that is
continued under section 326 of title 23, United States Code,
shall be eligible for assistance under subsection (j) of the
latter section.
______
SA 2441. Ms. STABENOW (for herself and Mr. Levin) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 611, strike line 21 and all that follows through
page 613, line 9, and insert the following:
``(B)(i) $101,800,000 of the amounts made available under
section 5338(b)(4) shall be allocated for the Bus Transit
Equity Subaccount, established under paragraph (7); and
``(i) the remaining amounts made available under section
5338(b)(4) shall be allocated for capital projects for buses
and bus-related equipment and facilities.
``(3) Fixed guideway modernization.--The amounts made
available for fixed guideway modernization under section
5338(b)(2)(K) for fiscal year 2005 and each fiscal year
thereafter shall be allocated in accordance with section
5337.
``(4) Preliminary engineering.--Not more that 8 percent of
the allocation described in paragraphs (1)(A) and (2)(A) may
be expended on preliminary engineering.
``(5) Funding for ferry boats.--Of the amounts described in
paragraphs (1)(A) and (2)(A), $10,400,000 shall be available
in each of the fiscal years 2004 through 2009 for capital
projects in Alaska and Hawaii for new fixed guideway systems
and extension projects utilizing ferry boats, ferry boat
terminals, or approaches to ferry boat terminals.
``(6) Bus and bus facility grants.--
``(A) Considerations.--In making grants under paragraphs
(1)(C) and (2)(B), the Secretary shall consider the age and
condition of buses, bus fleets, related equipment, and bus-
related facilities.
``(B) Projects not in urbanized areas.--Of the amounts made
available under paragraphs (1)(C) and (2)(B), not less than
5.5 percent shall be available in each fiscal year for
projects that are not in urbanized areas.
``(C) Intermodal terminals.--Of the amounts made available
under paragraphs (1)(C) and (2)(B), not less than $75,000,000
shall be available in each fiscal year for intermodal
terminal projects, including the intercity bus portion of
such projects.
``(7) Bus transit equity subaccount.--
``(A) Establishment.--There is established a Bus Transit
Equity Subaccount within the Mass Transit Account of the
Highway Trust Fund.
``(B) Eligibility.--Any of the 50 States shall be eligible
for funding under the Bus Transit Equity Subaccount if the
State--
``(i) is otherwise scheduled to receive under sections
5307, 5309, 5310, and 5311, for fiscal years 2004 through
2009, an amount that is less than 175 percent of the amount
the State received under sections 5307, 5309, 5310, and 5311,
for fiscal years 1998 through 2003; and
``(ii) received less than 1.25 percent of the total amount
allocated to the 50 States in fiscal year 2002 for fixed
guideways modernization and new starts.
``(C) Allocation.--Each eligible State under subparagraph
(B) shall be allocated from the Bus Transit Equity
Subaccount, for each of the fiscal years 2005 through 2009,
an amount that is equal to 20 percent of the difference
between the amount the State is otherwise scheduled to
receive under sections 5307, 5309, 5310, and 5311, for fiscal
years 2004 through 2009, and the amount which is equal to 175
percent of the amount the State received under sections 5307,
5309, 5310, and 5311 for fiscal years 1998 through 2003.''.
______
SA 2442. Mr. SARBANES (for himself, Ms. Mikulski, and Mr. Allen)
submitted an amendment intended to be proposed by him to the bill S.
1072, to authorize funds for Federal-aid highways, highway safety
programs, and transit programs, and for other purposes; which was
ordered to lie on the table; as follows:
On page 1168, insert between lines 16 and 17 the following:
SEC. 5507A. FEDERAL EMPLOYEE COMMUTER BENEFITS.
(a) Short Title.--This section may be cited as the
``Federal Employee Commuter Benefits Act of 2004''.
[[Page S1119]]
(b) Transit Pass Transportation Fringe Benefits.--
(1) In general.--Effective as of the first day of the next
fiscal year beginning after the date of the enactment of this
Act, each covered agency shall implement a program under
which all qualified Federal employees serving in or under
such agency shall be offered transit pass transportation
fringe benefits, as described in paragraph (2).
(2) Benefits described.--The benefits described in this
paragraph are, as of any given date, the transit pass
transportation fringe benefits which, under section 2 of
Executive Order 13150, are then currently required to be
offered by Federal agencies in the National Capital Region.
(3) Definitions.--In this subsection--
(A) the term ``covered agency'' means any agency, to the
extent of its facilities in the National Capital Region;
(B) the term ``agency'' means any agency (as defined by
7905(a)(2) of title 5, United States Code) not otherwise
covered by section 2 of Executive Order 13150, the United
States Postal Service, the Postal Rate Commission, and the
Smithsonian Institution;
(C) the term ``National Capital Region'' includes the
District of Columbia and every county or other geographic
area covered by section 2 of Executive Order 13150;
(D) the term ``Executive Order 13150'' refers to Executive
Order 13150 (5 U.S.C. 7905 note);
(E) the term ``Federal agency'' is used in the same way as
under section 2 of Executive Order 13150; and
(F) any determination as to whether or not one is a
``qualified Federal employee'' shall be made applying the
same criteria as would apply under section 2 of Executive
Order 13150.
(4) Rule of construction.--Nothing in this subsection shall
be considered to require that a covered agency--
(A) terminate any program or benefits in existence on the
date of the enactment of this Act, or postpone any plans to
implement (before the effective date referred to in paragraph
(1)) any program or benefits permitted or required under any
other provision of law; or
(B) discontinue (on or after the effective date referred to
in paragraph (1)) any program or benefits referred to in
subparagraph (A), so long as such program or benefits satisfy
the requirements of paragraphs (1) through (3).
(c) Authority To Use Government Vehicles to Transport
Federal Employees Between Their Place of Employment and Mass
Transit Facilities.--
(1) In general.--Section 1344 of title 31, United States
Code, is amended--
(A) by redesignating subsections (g) and (h) as subsections
(h) and (i), respectively; and
(B) by inserting after subsection (f) the following:
``(g)(1) A passenger carrier may be used to transport an
officer or employee of a Federal agency between the officer's
or employee's place of employment and a mass transit facility
(whether or not publicly owned) in accordance with succeeding
provisions of this subsection.
``(2) Notwithstanding section 1343, a Federal agency that
provides transportation services under this subsection
(including by passenger carrier) shall absorb the costs of
such services using any funds available to such agency,
whether by appropriation or otherwise.
``(3) In carrying out this subsection, a Federal agency
shall--
``(A) to the maximum extent practicable, use alternative
fuel vehicles to provide transportation services;
``(B) to the extent consistent with the purposes of this
subsection, provide transportation services in a manner that
does not result in additional gross income for Federal income
tax purposes; and
``(C) coordinate with other Federal agencies to share, and
otherwise avoid duplication of, transportation services
provided under this subsection.
``(4) For purposes of any determination under chapter 81 of
title 5, an individual shall not be considered to be in the
`performance of duty' by virtue of the fact that such
individual is receiving transportation services under this
subsection.
``(5)(A) The Administrator of General Services, after
consultation with the National Capital Planning Commission
and other appropriate agencies, shall prescribe any
regulations necessary to carry out this subsection.
``(B) Transportation services under this subsection shall
be subject neither to the last sentence of subsection (d)(3)
nor to any regulations under the last sentence of subsection
(e)(1).
``(6) In this subsection, the term `passenger carrier'
means a passenger motor vehicle, aircraft, boat, ship, or
other similar means of transportation that is owned or leased
by the United States Government or the government of the
District of Columbia.''.
(2) Funds for maintenance, repair, etc.--Subsection (a) of
section 1344 of title 31, United States Code, is amended by
adding at the end the following:
``(3) For purposes of paragraph (1), the transportation of
an individual between such individual's place of employment
and a mass transit facility pursuant to subsection (g) is
transportation for an official purpose.''.
(3) Coordination.--The authority to provide transportation
services under section 1344(g) of title 31, United States
Code (as amended by paragraph (1)) shall be in addition to
any authority otherwise available to the agency involved.
______
SA 2443. Mr. DODD (for himself and Mr. Lieberman) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 58, strike line 17 and insert the following:
``(g) High Population Density Equity Adjustment.--
``(1) In general.--In addition to other amounts received
under this section and section 1101 of the Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004,
the Secretary shall allocate to each State (other than the
District of Columbia) with a population density of greater
than 250 individuals per square mile, as determined by the
2000 decennial census, a high density State bonus in the
proportion that--
``(A) the average population density of the State; bears to
``(B) the average population density all such States.
``(2) Funding.--
``(A) In general.--There shall be made available to the
Secretary to carry out this subsection, from amounts made
available to carry out section 139, $500,000,000 for each of
fiscal years 2004 through 2009.
``(B) Apportionment.--Funds made available to carry out
this subsection shall be apportioned in accordance with
section 104(b).
``(3) No effect on equity bonus.--The calculation and
distribution of funds under other provisions of this section
shall not be adjusted as a result of the allocation of funds
under this subsection.
``(h) Authorization of Appropriations.--There
______
SA 2444. Mr. DODD (for himself and Mr. Lieberman) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end of section 105 of title 23, United States Code
(as amended by section 1104), add the following:
``(_) Special Rules.--For each fiscal year, before making
the allocations under subsection (a)(1), the Secretary shall
allocate among the States amounts sufficient to ensure that
no State receives a combined total of amounts allocated under
subsection (a)(1), apportionments for the programs specified
in subsection (a)(2), and amounts allocated under this
subsection, that is less than 125 percent of the average for
fiscal years 1998 through 2003 of the annual apportionments
for the State for all programs specified in subsection
(b)(2).''.
______
SA 2445. Mr. DODD (for himself and Mr. Lieberman) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 61, strike line 2 and all that follows
through the matter following line 8 on page 64, and insert
the following:
SEC. 1201. HIGH TRAFFIC DENSITY EQUITY ADJUSTMENT PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code, is amended by inserting after section 138
the following:
``Sec. 139. High traffic density equity adjustment program
``(a) Establishment of Program.--The Secretary shall
establish and implement a high traffic density equity
adjustment program in accordance with this section.
``(b) Eligible Projects.--
``(1) In general.--A State may obligate funds allocated to
the State under this section only for projects eligible under
the Interstate maintenance program under section 119, the
National Highway System program under section 103, the
surface transportation program under section 133, the highway
safety improvement program under section 148, the highway
bridge replacement and rehabilitation program under section
144, and the congestion mitigation and air quality
improvement program under section 149 that will--
``(A) preserve, maintain, or otherwise extend, in a cost-
effective manner, the useful life of existing highway
infrastructure elements; or
``(B) provide operational improvements (including traffic
management and intelligent transportation system strategies
and limited capacity enhancements) at points of recurring
highway congestion.
``(2) Set-aside.--Notwithstanding any other provision of
law, of the amounts made available under section 1101(a)(14)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003, $439,000,000 shall be
available for obligation to carry out this section without
further appropriation.
``(3) High traffic density equity adjustment program.--
[[Page S1120]]
``(A) In general.--The Secretary shall allocate the amounts
made available under paragraph (2) in the ratio that--
``(i) the ratio of annual vehicle miles traveled to lane
miles of each State greater than the ratio of total vehicle
miles traveled to total lane miles of all States; bears to
``(ii) the ratio of total vehicle miles traveled to total
lane miles of all States.
``(B) Determination of annual vehicle miles travel.--In
determining annual vehicle miles per lane mile for purposes
of this paragraph, the Secretary shall use the latest
available annual estimates prepared by the Secretary of
Transportation.
``(c) Period of Availability.--
``(1) Obligation within 180 days.--
``(A) In general.--Funds allocated to a State under this
section shall be obligated by the State not later than 180
days after the date of apportionment.
``(B) Unobligated funds.--Any amounts that remain
unobligated at the end of that period shall be allocated in
accordance with subsection (d).
``(2) Obligation by end of fiscal year.--
``(A) In general.--All funds allocated or reallocated under
this section shall remain available for obligation until the
last day of the fiscal year for which the funds are
apportioned.
``(B) Unobligated funds.--Any amounts allocated that remain
unobligated at the end of the fiscal year shall lapse.
``(d) Redistribution of Allocated Funds and Obligation
Authority.--
``(1) In general.--On the date that is 180 days after the
date of allocation, or as soon thereafter as practicable, for
each fiscal year, the Secretary shall -
``(A) withdraw--
``(i) any funds allocated to a State under this section
that remain unobligated; and
``(ii) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(a)(14)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003; and
``(B) reallocate the funds and redistribute the obligation
authority to States that--
``(i) have fully obligated all amounts allocated under this
section for the fiscal year; and
(ii) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.
``(2) Equity bonus.--The calculation and distribution of
funds under section 105 shall not be adjusted as a result of
the allocation of funds under this subsection.
``(e) Federal Share Payable.--The Federal share payable for
a project funded under this section shall be determined in
accordance with section 120.
(b) Conforming Amendment.--The chapter analysis for chapter
1 of title 23, United States Code, is amended by adding after
the item relating to section 138 the following:
``139. High traffic density equity adjustment program.''.
______
SA 2446. Mr. STEVENS (for himself and Mr. Inouye) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning with line 21 on page 71, strike through the
matter between lines 6 and 7 on page 80 and insert the
following:
SEC. 1203. FREIGHT TRANSPORTATION GATEWAYS; FREIGHT
INTERMODAL CONNECTIONS.
(a) Freight Transportation Gateways.--Chapter 3 of title
23, United States Code, is amended by adding at the end the
following:
``Sec. 325. Freight transportation gateways
``(a) In General.--
``(1) Establishment.--The Secretary shall establish a
freight transportation gateways program to improve
productivity, security, and safety of freight transportation
gateways, while mitigating congestion and community impacts
in the area of the gateways.
``(2) Purposes.--The purposes of the freight transportation
gateways program shall be--
``(A) to facilitate and support multimodal freight
transportation initiatives at the State and local levels in
order to improve freight transportation gateways and mitigate
the impact of congestion on the environment in the area, of
the gateways;
``(B) to provide capital funding to address infrastructure
and freight operational needs at freight transportation
gateways;
``(C) to encourage adoption of new financing strategies to
leverage State, local, and private investment in freight
transportation gateways;
``(D) to facilitate access to intermodal freight transfer
facilities; and
``(E) to increase economic efficiency by facilitating the
movement of goods.
``(b) State Responsibilities.--
``(1) Project Development Process.--Each State, in
coordination with metropolitan planning organizations, shall
ensure that intermodal freight transportation, trade
facilitation, and economic development needs are adequately
considered and fully integrated into the project development
process, including transportation planning through final
design and construction of freight-related transportation
projects.
``(2) Freight Transportation Coordinator.--
``(A) In General.--Each State shall designate a freight
transportation coordinator and, where appropriate, a maritime
transportation system coordinator.
``(B) Duties.--Each coordinator shall--
``(i) foster public and private sector collaboration needed
to implement complex solutions to freight transportation and
the facilitation of transportation throughout the maritime
transportation system, including--
``(I) coordination of metropolitan and statewide
transportation activities with trade and economics interests;
``(II) coordination with other States, agencies, and
organizations to find regional solutions to freight
transportation problems; and
``(III) coordination with local officials of the Department
of Defense and the Department of Homeland Security, and with
other organizations, to develop regional solutions to
military and homeland security transportation needs; and
``(ii) promote programs that build professional capacity to
better plan, coordinate, integrate, and understand freight
transportation needs for the State.
``(c) MARAD Responsibilities.--
``(1) Purposes.--The purposes of the maritime
transportation system enhancements implemented under this
section are--
``(A) to develop a clearly defined freight program to
implement a comprehensive program of intermodal solutions to
freight needs;
``(B) to promote efficiencies in the transportation of
intermodal freight by increasing the awareness of the
economic importance of freight;
``(C) to create a national intermodal planning and
development initiative to provide for strategic investments
that need to be made for transportation projects of national
significance;
``(D) to create a gateways of national significance program
by restructuring the TEA-21 corridors and borders program to
distribute funds where cohesive regional planning groups are
already in place with plans to address infrastructure
transportation infrastructure choke points;
``(E) to improve productivity of freight terminals by
connecting those terminals to the nation's transportation
infrastructure and dedicating resources to the efficiencies
of these connectors;
``(F) to enhance productivity and efficiency of the United
States economy through infrastructure improvements that
facilitate just-in-time delivery and eliminate surface
transportation congestion;
``(G) to improve air quality and transportation safety; and
``(H) to enhance freight movement security.
``(2) Duties.--The Maritime Administration shall prepare
and maintain a national maritime transportation system and
shall--
``(1) recognize designated State marine transportation
system coordinators to foster public and private
collaboration and coordinate regional solutions to freight
transportation and gateway issues, and require States with
port facilities, marine terminals, and viable commercial
inland waterway systems to ensure that the coordinators
duties include the consideration of comprehensive intermodal
transportation needs in the planning process and coordinate
with adjacent states to ensure intermodal solutions that
maximize water transportation options in the movement of
freight;
``(2) review and comment on each State marine
transportation system submitted to the Secretary under this
section;
``(3) compile all State plans and incorporate them into the
national marine transportation system plan;
``(4) evaluate, every 2 years, marine transportation system
enhancements to address freight movement congestion,
security, and safety through the increased use of water
transportation alternatives;
``(5) prioritize short sea shipping projects and programs
in accordance with a national evaluation study and analysis
of infrastructure needs and forecasted increases in trade
demand;
``(6) integrate short sea shipping services with existing
surface transportation projects;
``(7) foster the utilization of container-on-barge as a
means of alleviating congestion in and around congested
metropolitan areas;
``(8) foster brownfield development for the expansion of
marine transportation system capacity to augment the limited
amount of sustainable land available for competing
transportation related uses;
``(9) support improvements to landside infrastructure that
connects highways and railways to the marine transportation
system;
``(10) promote accident prevention and protection of the
environment as top marine transportation system priorities;
``(11) develop methods of streamlining project-planning
processes to eliminate delays in marine transportation system
improvements;
``(12) develop a coherent environmental regulatory process
to streamline permitting; and
``(13) promote the increased use of on-dock and near-dock
rail usage.
``(d) Innovative Finance Strategies.--
``(1) In general.--States and localities are encouraged to
adopt innovative financing strategies for freight
transportation gateway improvements, including--
[[Page S1121]]
``(A) new user fees;
``(B) modifications to existing user fees, including trade
facilitation charges;
``(C) revenue options that incorporate private sector
investment; and
``(D) a blending of Federal-aid and innovative finance
programs.
``(2) Technical assistance.--The Secretary shall provide
technical assistance to States and localities with respect to
the strategies.
``(e) Intermodal Freight Transportation Projects.--
``(1) Use of surface transportation program funds.--A State
may obligate funds apportioned to the State under section
104(b)(3) for publicly-owned intermodal freight
transportation projects that provide community and highway
benefits by addressing economic, congestion, system
reliability, security, safety, or environmental issues
associated with freight transportation gateways.
``(2) Eligible projects.--A project eligible for funding
under this section--
``(A) may include publicly-owned intermodal freight
transfer facilities, access to the facilities, and
operational improvements for the facilities (including
capital investment for intelligent transportation systems),
except that projects located within the boundaries of port
terminals shall only include the transportation
infrastructure modifications necessary to facilitate direct
intermodal interchange, transfer, and access into and out of
the port; and
``(B) may involve the combining of private andd public
funds.''.
(b) Eligibility for Surface Transportation Program Funds.--
Section 133(b) of title 23, United States Code, is amended by
inserting after paragraph (11) the following:
``(12) Intermodal freight transportation projects in
accordance with section 325(e)(2).'.
(c) Freight Intermodal Connections to NHS.--Section 103(b)
of title 23, United States Code, is amended by adding at the
end the following:
``(7) Freight intermodal connections to the nhs.--
``(A) Funding set-aside.--Of the funds apportioned to a
State for each fiscal year under section 104(b)(1), an amount
determined in accordance with subparagraph (B) shall only be
available to the State to be obligated for projects on--
``(1) National Highway System routes connecting to
intermodal freight terminals identified according to criteria
specified in the report to Congress entitled `Pulling
Together: The National Highway System and its Connections to
Major Intermodal Terminals' dated May 24, 1996, referred to
in paragraph (1), and any modifications to the connections
that are consistent with paragraph (4);
``(ii) strategic. highway network connectors to strategic
military deployment ports;
``(iii) projects to eliminate railroad crossings or make
railroad crossing improvements; and
``(iv) any intermodal project in the State of Alaska, or
Hawaii that, the State determines to be vital to State
transportation needs.
``(B) Determination of amount.--The amount of funds for
each State for a fiscal year that shall be set aside under
subparagraph (A) shall be equal to the greater of--
``(i) the product obtained by multiplying--
``(I) the total amount of funds apportioned to the State
under section 104(b)(1); by
``(II) the percentage of miles that routes specified in
subparagraph (A) constitute of the total miles on the
National Highway System in the State; or
``(ii) 2 percent of the annual apportionment to the State
of funds under 104(b)(1).
``(C) Exemption from set-aside.--For any fiscal year, a
State may obligate the funds otherwise set aside by this
paragraph for any project that is eligible under paragraph
(6) and is located in the State on a segment of the National
Highway System specified in paragraph (2), if the State
certifies and the Secretary concurs that--
``(1) the designated National Highway System intermodal
connectors described in subparagraph (A) are in good
condition and provide an adequate level of service for
military vehicle and civilian commercial vehicle use; and
``(ii) significant needs on the designated National Highway
System intermodal connectors are being met or do not exist.
``(D) Flexibility.---Port projects eligible for funding
under this section may be transferred and administered by the
Administrator of the Maritime Administration under the terms
and conditions provided in section 626 of the Consolidated
Appropriations Resolution, 2003.''.
(d) Federal Share Payable.--Section 120 of title 23, United
States Code, is amended by adding at the end the following:
``(m) Increased Federal Share for Connectors.--In the case
of a project to support a National Highway System intermodal
freight connection or strategic highway network connector to
a strategic military deployment port described in section
103(b)(7), the Federal share of the total cost of the project
shall be 90 percent.''.
(e) Length Limitations.--Section 31111(e) of title 49,
United States Code, is amended--
(1) by striking ``The'' and inserting the following:
``(1) In general.--The''; and
(2) by adding at the end the following:
``(2) Length limitations.--In the interests of economic
competitiveness, security, and intermodal connectivity, not
later than 3 years after the date of enactment of this
paragraph, States shall update the list of Federal-aid system
highways to include--
``(A) strategic highway network connectors to strategic
military deployment ports; and
``(B) National Highway System intermodal freight
connections serving military and commercial truck traffic
going to major intermodal terminals as described in section
103(b)(7)(A)(i).''.
(f) Conforming Amendment.--The analysis of chapter 3 of
title 23, United States Code, is amended by adding at the end
the following:
``325. Freight transportation gateways.''.
______
SA 2447. Mr. BURNS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 420, line 23, strike ``enhanced'' and insert
``integrated, interoperable emergency''.
______
SA 2448. Mr. BURNS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 120, line 18, after ``elements'' insert ``,
including integrated, interoperable emergency
communications,''.
______
SA 2449. Mr. BURNS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 118, line 3, before ``equipment'' insert
``intergrated, interoperable emergency communications,''.
______
SA 2450. Mr. BURNS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 404, line 7, before ``communication'' insert
``integrated, interoperable emergency''.
______
SA 2451. Mr. BURNS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 260, after line 9, insert the following:
``(7) if the project or program involves the purchase of
integrated, interoperable emergency communications
equipment.''.
______
SA 2452. Mr. CONRAD submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 923, strike lines 8 through 10 and insert the
following:
(a) Funding.--Section 125(c)(1) of title 23, United States
Code, is amended by striking ``$100,000,000'' and inserting
``$300,000,000''.
(b) Roads in Closed Basins.--Section 125 of title 23,
United States Code, is amended by adding at the end the
following:
``(g) Roads in Closed Basins.--
``(1) Definition of construction.--In this subsection, the
term `construction' includes--
``(A) monitoring, studies, evaluations, design, or
preliminary engineering relating to construction; and
``(B) monitoring and evaluations relating to proposed
construction.
``(2) Funding.--Subject to paragraph (3), the Secretary
shall use amounts made available to carry out this section,
through advancement or reimbursement, without further
emergency declaration, for construction--
``(A) necessary for the continuation of roadway services
and the impoundment of water, as the Secretary determines to
be appropriate, in accordance with--
``(i) options and needs identified in the report of the
Devils Lake Surface Transportation Task Force, Federal
Highway Administration, entitled `Roadways Serving as Water
Barriers' and dated May 4, 2000 (referred to in this
subsection as the `report'); and
[[Page S1122]]
``(ii) any needs identified after publication of the
report; or
``(B) for a grade raise to permanently restore a roadway
identified in the report the use of which is lost or reduced,
or could be lost or reduced, as a result of an actual or
predicted water level that is within 3 feet of causing
inundation of the roadway.
``(3) Requirement.--To be eligible for funding under
paragraph (1), construction or a grade raise shall be carried
out in an area that has been the subject of an emergency
declaration issued during or after 1993.''.
______
SA 2453. Mr. LEVIN submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 1298, after line 24, add the following:
PART VI--TAX SHELTER AND TAX HAVEN REFORMS
SEC. 5671. PENALTY FOR PROMOTING ABUSIVE TAX SHELTERS.
(a) Penalty for Promoting Abusive Tax Shelters.--Section
6700 (relating to promoting abusive tax shelters, etc.) is
amended--
(1) by redesignating subsections (b) and (c) as subsections
(d) and (e), respectively,
(2) by striking ``a penalty'' and all that follows through
the period in the first sentence of subsection (a) and
inserting ``a penalty determined under subsection (b)'', and
(3) by inserting after subsection (a) the following new
subsections:
``(b) Amount of Penalty; Calculation of Penalty; Liability
for Penalty.--
``(1) Amount of penalty.--The amount of the penalty imposed
by subsection (a) shall not exceed the greater of--
``(A) 150 percent of the gross income derived (or to be
derived) from such activity by the person or persons subject
to such penalty, and
``(B) if readily subject to calculation, the total amount
of underpayment by the taxpayer (including penalties,
interest, and taxes) in connection with such activity.
``(2) Calculation of penalty.--The penalty amount
determined under paragraph (1) shall be calculated with
respect to each instance of an activity described in
subsection (a), each instance in which income was derived by
the person or persons subject to such penalty, and each
person who participated in such an activity.
``(3) Liability for penalty.--If more than 1 person is
liable under subsection (a) with respect to such activity,
all such persons shall be jointly and severally liable for
the penalty under such subsection.
``(c) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(b) Effective Date.--The amendments made by this section
shall apply to activities after the date of the enactment of
this Act.
(c) Prior Section To Have No Effect.--Notwithstanding
section 5626 of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5672. PENALTY FOR AIDING AND ABETTING THE UNDERSTATEMENT
OF TAX LIABILITY.
(a) In General.--Section 6701(a) (relating to imposition of
penalty) is amended--
(1) by inserting ``the tax liability or'' after ``respect
to,'' in paragraph (1),
(2) by inserting ``aid, assistance, procurement, or advice
with respect to such'' before ``portion'' both places it
appears in paragraphs (2) and (3), and
(3) by inserting ``instance of aid, assistance,
procurement, or advice or each such'' before ``document'' in
the matter following paragraph (3).
(b) Amount of Penalty.--Subsection (b) of section 6701
(relating to penalties for aiding and abetting understatement
of tax liability) is amended to read as follows:
``(b) Amount of Penalty; Calculation of Penalty; Liability
for Penalty.--
``(1) Amount of penalty.--The amount of the penalty imposed
by subsection (a) shall not exceed the greater of--
``(i) 150 percent of the gross income derived (or to be
derived) from such aid, assistance, procurement, or advice
provided by the person or persons subject to such penalty,
and
``(ii) if readily subject to calculation, the total amount
of underpayment by the taxpayer (including penalties,
interest, and taxes) in connection with the understatement of
the liability for tax.
``(2) Calculation of penalty.--The penalty amount
determined under paragraph (1) shall be calculated with
respect to each instance of aid, assistance, procurement, or
advice described in subsection (a), each instance in which
income was derived by the person or persons subject to such
penalty, and each person who made such an understatement of
the liability for tax.
``(3) Liability for penalty.--If more than 1 person is
liable under subsection (a) with respect to providing such
aid, assistance, procurement, or advice, all such persons
shall be jointly and severally liable for the penalty under
such subsection.''.
(c) Penalty Not Deductible.--Section 6701 is amended by
adding at the end the following new subsection:
``(g) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(d) Effective Date.--The amendments made by this section
shall apply to activities after the date of the enactment of
this Act.
SEC. 5673. PENALTY FOR FAILURE TO REGISTER TAX SHELTER.
(a) In General.--Section 6707 (relating to failure to
furnish information regarding tax shelters) is amended to
read as follows:
``SEC. 6707. FAILURE TO FURNISH INFORMATION ON POTENTIALLY
ABUSIVE TAX SHELTER OR LISTED TRANSACTION.
``(a) In General.--If a person who is required to file a
return under section 6111 with respect to any potentially
abusive tax shelter--
``(1) fails to file such return on or before the date
prescribed therefor, or
``(2) files false or incomplete information with the
Secretary with respect to such shelter,
such person shall pay a penalty with respect to such return
in the amount determined under subsection (b).
``(b) Amount of Penalty.--
``(1) In general.--Except as provided in paragraph (2), the
penalty imposed under subsection (a) with respect to any
failure shall be not less than $50,000 and not more than
$100,000.
``(2) Listed transactions.--The penalty imposed under
subsection (a) with respect to any listed transaction shall
be an amount equal to the greater of--
``(A) $200,000, or
``(B) 100 percent of the gross income derived by such
person for providing aid, assistance, procurement, advice, or
other services with respect to the listed transaction before
the date the return including the transaction is filed under
section 6111.
Subparagraph (B) shall be applied by substituting `150
percent' for `100 percent' in the case of an intentional
failure or act described in subsection (a).
``(c) Certain Rules To Apply.--The provisions of section
6707A(d) allowing the Commissioner of Internal Revenue to
rescind a penalty under certain circumstances shall apply to
any penalty imposed under this section.
``(d) Potentially Abusive Tax Shelters and Listed
Transactions.--The terms `potentially abusive tax shelter'
and `listed transaction' have the respective meanings given
to such terms by section 6707A(c).
``(e) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(b) Clerical Amendment.--The item relating to section 6707
in the table of sections for part I of subchapter B of
chapter 68 is amended by striking ``regarding tax shelters''
and inserting ``on potentially abusive tax shelter or listed
transaction''.
(c) Effective Date.--The amendments made by this section
shall apply to returns the due date for which is after the
date of the enactment of this Act.
(d) Prior Section To Have No Effect.--Notwithstanding
section 5618(c) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5674. PENALTY FOR FAILING TO MAINTAIN CLIENT LIST.
(a) In General.--Subsection (a) of section 6708 (relating
to failure to maintain lists of investors in potentially
abusive tax shelters) is amended to read as follows:
``(a) Imposition of Penalty.--
``(1) In general.--If any person who is required to
maintain a list under section 6112(a) fails to make such list
available upon written request to the Secretary in accordance
with section 6112(b)(1)(A) within 20 business days after the
date of the Secretary's request, such person shall pay a
penalty of $10,000 for each day of such failure after such
20th day. If such person makes available an incomplete list
upon such request, such person shall pay a penalty of $100
per each omitted name for each day of such omission after
such 20th day.
``(2) Good cause exception.--No penalty shall be imposed by
paragraph (1) with respect to the failure on any day if, in
the judgment of the Secretary, such failure is due to good
cause.''.
(b) Penalty Not Deductible.--Section 6708 is amended by
adding at the end the following new subsection:
``(c) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(c) Effective Date.--The amendments made by this section
shall apply to requests made by the Secretary of the Treasury
after the date of the enactment of this Act.
(d) Prior Section To Have No Effect.--Notwithstanding
section 5619(b) of this Act,
[[Page S1123]]
such section, and the amendments made by such section, shall
not take effect.
SEC. 5675. PENALTY FOR FAILING TO DISCLOSE POTENTIALLY
ABUSIVE TAX SHELTER.
(a) In General.--Part I of subchapter B of chapter 68
(relating to assessable penalties) is amended by inserting
after section 6707 the following new section:
``SEC. 6707A. PENALTY FOR FAILURE TO INCLUDE POTENTIALLY
ABUSIVE TAX SHELTER INFORMATION WITH RETURN OR
STATEMENT.
``(a) Imposition of Penalty.--Any person who fails to
include on any return or statement any information with
respect to a potentially abusive tax shelter which is
required under section 6011 to be included with such return
or statement shall pay a penalty in the amount determined
under subsection (b).
``(b) Amount of Penalty.--
``(1) In general.--Except as provided in paragraphs (2) and
(3), the amount of the penalty under subsection (a) shall be
$50,000.
``(2) Listed transaction.--Except as provided in paragraph
3, the amount of the penalty under subsection (a) with
respect to a listed transaction shall be $100,000.
``(3) Increase in penalty for intentional nondisclosure.--
In the case of an intentional failure by any person under
subsection (a), the penalty under paragraph (1) shall be
$100,000 and the penalty under paragraph (2) shall be
$200,000.
``(c) Definitions.--For purposes of this section--
``(1) Potentially abusive tax shelter.--The term
`potentially abusive tax shelter' means any transaction with
respect to which information is required to be included with
a return or statement, because the Secretary has determined
by regulation or otherwise that such transaction has a
potential for tax avoidance or evasion.
``(2) Listed transaction.--Except as provided in
regulations, the term `listed transaction' means a
potentially abusive tax shelter which is the same as, or
substantially similar to, a transaction specifically
identified by the Secretary as a tax avoidance transaction
for purposes of section 6011.
``(d) Authority To Rescind Penalty.--
``(1) In general.--The Commissioner of Internal Revenue may
rescind all or any portion of a penalty imposed by this
section with respect to any violation if--
``(A) the violation is with respect to a potentially
abusive tax shelter other than a listed transaction,
``(B) the person on whom the penalty is imposed has a
history of complying with the requirements of this title,
``(C) it is shown that the violation is due to an
unintentional mistake of fact,
``(D) imposing the penalty would be against equity and good
conscience, and
``(E) rescinding the penalty would promote compliance with
the requirements of this title and effective tax
administration.
``(2) Discretion.--The exercise of authority under
paragraph (1) shall be at the sole discretion of the
Commissioner and may be delegated only to the head of the
Office of Tax Shelter Analysis. The Commissioner, in the
Commissioner's sole discretion, may establish a procedure to
determine if a penalty should be referred to the Commissioner
or the head of such Office for a determination under
paragraph (1).
``(3) No appeal.--Notwithstanding any other provision of
law, any determination under this subsection may not be
reviewed in any administrative or judicial proceeding.
``(4) Records.--If a penalty is rescinded under paragraph
(1), the Commissioner shall place in the file in the Office
of the Commissioner the opinion of the Commissioner or the
head of the Office of Tax Shelter Analysis with respect to
the determination, including--
``(A) the facts and circumstances of the transaction,
``(B) the reasons for the rescission, and
``(C) the amount of the penalty rescinded.
A copy of such opinion shall be provided upon written request
to the Committee on Ways and Means of the House of
Representatives, the Committee on Finance of the Senate, the
Joint Committee on Taxation, or the General Accounting
Office.
``(5) Report.--The Commissioner shall each year report to
the Committee on Ways and Means of the House of
Representatives and the Committee on Finance of the Senate--
``(A) a summary of the total number and aggregate amount of
penalties imposed, and rescinded, under this section, and
``(B) a description of each penalty rescinded under this
subsection and the reasons therefor.
``(e) Penalty Reported to SEC.--In the case of a person--
``(1) which is required to file periodic reports under
section 13 or 15(d) of the Securities Exchange Act of 1934 or
is required to be consolidated with another person for
purposes of such reports, and
``(2) which--
``(A) is required to pay a penalty under this section with
respect to a listed transaction,
``(B) is required to pay a penalty under section 6662A with
respect to any potentially abusive tax shelter at a rate
prescribed under section 6662A(c), or
``(C) is required to pay a penalty under section 6662B with
respect to any noneconomic substance transaction,
the requirement to pay such penalty shall be disclosed in
such reports filed by such person for such periods as the
Secretary shall specify. Failure to make a disclosure in
accordance with the preceding sentence shall be treated as a
failure to which the penalty under subsection (b)(2) applies.
``(f) Penalty in Addition to Other Penalties.--The penalty
imposed by this section shall be in addition to any other
penalty provided by law.
``(g) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(b) Conforming Amendment.--The table of sections for part I
of subchapter B of chapter 68 is amended by inserting after
the item relating to section 6707 the following:
``Sec. 6707A. Penalty for failure to include potentially abusive tax
shelter information with return or statement.''.
(c) Effective Date.--The amendments made by this section
shall apply to returns and statements the due date for which
is after the date of the enactment of this Act.
(d) Prior Section To Have No Effect.--Notwithstanding
section 5612(c) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5676. IMPROVED DISCLOSURE OF POTENTIALLY ABUSIVE TAX
SHELTERS.
(a) In General.--Section 6111 (relating to registration of
tax shelters) is amended to read as follows:
``SEC. 6111. DISCLOSURE OF POTENTIALLY ABUSIVE TAX SHELTERS.
``(a) In General.--Each material advisor with respect to
any potentially abusive tax shelter shall make a return (in
such form as the Secretary may prescribe) setting forth--
``(1) information identifying and describing such shelter,
``(2) information describing any potential tax benefits
expected to result from the shelter, and
``(3) such other information as the Secretary may
prescribe.
Such return shall be filed not later than the date which is
30 days before the date on which the first sale of such
shelter occurs or on any other date specified by the
Secretary.
``(b) Definitions.--For purposes of this section--
``(1) Material advisor.--
``(A) In general.--The term `material advisor' means any
person--
``(i) who provides any material aid, assistance, or advice
with respect to designing, organizing, managing, promoting,
selling, implementing, or carrying out any potentially
abusive tax shelter, and
``(ii) who directly or indirectly derives gross income in
excess of the threshold amount for such aid, assistance, or
advice.
``(B) Threshold amount.--For purposes of subparagraph (A),
the threshold amount is--
``(i) $50,000 in the case of a potentially abusive tax
shelter substantially all of the tax benefits from which are
provided to natural persons, and
``(ii) $100,000 in any other case.
``(2) Potentially abusive tax shelter.--The term
`potentially abusive tax shelter' has the meaning given to
such term by section 6707A(c).
``(c) Regulations.--The Secretary may prescribe regulations
which provide--
``(1) that only 1 person shall be required to meet the
requirements of subsection (a) in cases in which 2 or more
persons would otherwise be required to meet such
requirements,
``(2) exemptions from the requirements of this section, and
``(3) such rules as may be necessary or appropriate to
carry out the purposes of this section.''.
(b) Conforming Amendments.--
(1) The item relating to section 6111 in the table of
sections for subchapter B of chapter 61 is amended to read as
follows:
``Sec. 6111. Disclosure of potentially abusive tax shelters.''.
(2)(A) So much of section 6112 as precedes subsection (c)
thereof is amended to read as follows:
``SEC. 6112. MATERIAL ADVISORS OF POTENTIALLY ABUSIVE TAX
SHELTERS MUST KEEP CLIENT LISTS.
``(a) In General.--Each material advisor (as defined in
section 6111) with respect to any potentially abusive tax
shelter (as defined in section 6707A(c)) shall maintain, in
such manner as the Secretary may by regulations prescribe, a
list--
``(1) identifying each person with respect to whom such
advisor acted as such a material advisor with respect to such
shelter, and
``(2) containing such other information as the Secretary
may by regulations require.
This section shall apply without regard to whether a material
advisor is required to file a return under section 6111 with
respect to such transaction.''.
(B) Section 6112 is amended by redesignating subsection (c)
as subsection (b).
(C) Section 6112(b), as redesignated by subparagraph (B),
is amended--
(i) by inserting ``written'' before ``request'' in
paragraph (1)(A), and
(ii) by striking ``shall prescribe'' in paragraph (2) and
inserting ``may prescribe''.
(D) The item relating to section 6112 in the table of
sections for subchapter B of chapter 61 is amended to read as
follows:
[[Page S1124]]
``Sec. 6112. Material advisors of potentially abusive tax shelters must
keep client lists.''.
(3)(A) The heading for section 6708 is amended to read as
follows:
``SEC. 6708. FAILURE TO MAINTAIN CLIENT LISTS WITH RESPECT TO
POTENTIALLY ABUSIVE TAX SHELTERS.''.
(B) The item relating to section 6708 in the table of
sections for part I of subchapter B of chapter 68 is amended
to read as follows:
``Sec. 6708. Failure to maintain client lists with respect to
potentially abusive tax shelters.''.
(c) Required Disclosure Not Subject to Claim of
Confidentiality.--Section 6112(b)(1), as redesignated by
subsection (b)(2)(B), is amended by adding at the end the
following new flush sentence:
``For purposes of this section, the identity of any person on
such list shall not be privileged.''.
(d) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to transactions
with respect to which material aid, assistance, or advice
referred to in section 6111(b)(1)(A)(i) of the Internal
Revenue Code of 1986 (as added by this section) is provided
after the date of the enactment of this Act.
(2) No claim of confidentiality against disclosure.--The
amendment made by subsection (c) shall take effect as if
included in the amendments made by section 142 of the Deficit
Reduction Act of 1984.
(e) Prior Section To Have No Effect.--Notwithstanding
section 5617(d) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5677. EXTENSION OF STATUTE OF LIMITATIONS FOR
UNDISCLOSED TAX SHELTER.
(a) In General.--Section 6501(c) (relating to exceptions)
is amended by adding at the end the following new paragraph:
``(10) Potentially abusive tax shelters.--If a taxpayer
fails to include on any return or statement for any taxable
year any information with respect to a potentially abusive
tax shelter (as defined in section 6707A(c)) which is
required under section 6011 to be included with such return
or statement, the time for assessment of any tax imposed by
this title with respect to such transaction shall not expire
before the date which is 2 years after the earlier of--
``(A) the date on which the Secretary is furnished the
information so required; or
``(B) the date that a material advisor (as defined in
section 6111) meets the requirements of section 6112 with
respect to a request by the Secretary under section 6112(b)
relating to such transaction with respect to such
taxpayer.''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years with respect to which the period
for assessing a deficiency did not expire before the date of
the enactment of this Act.
(c) Prior Section To Have No Effect.--Notwithstanding
section 5626(b) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5678. PENALTY FOR FAILING TO REPORT INTERESTS IN FOREIGN
FINANCIAL ACCOUNTS.
(a) In General.--Section 5321(a)(5) of title 31, United
States Code, is amended to read as follows:
``(5) Foreign financial agency transaction violation.--
``(A) Penalty authorized.--The Secretary of the Treasury
may impose a civil money penalty on any person who violates,
or causes any violation of, any provision of section 5314.
``(B) Amount of penalty.--
``(i) In general.--Except as provided in subparagraph (C),
the amount of any civil penalty imposed under subparagraph
(A) shall not exceed $10,000.
``(ii) Reasonable cause exception.--No penalty shall be
imposed under subparagraph (A) with respect to any violation
if--
``(I) such violation was due to reasonable cause, and
``(II) the amount of the transaction or the balance in the
account at the time of the transaction was properly reported.
``(C) Willful violations.--In the case of any person
willfully violating, or willfully causing any violation of,
any provision of section 5314, the amount of the civil
penalty imposed under subparagraph (A) shall be--
``(i) not less than $5,000,
``(ii) not more than 50 percent of the amount determined
under subparagraph (D), and
``(iii) subparagraph (B)(ii) shall not apply.
``(D) Amount.--The amount determined under this
subparagraph is--
``(i) in the case of a violation involving a transaction,
the amount of the transaction, or
``(ii) in the case of a violation involving a failure to
report the existence of an account or any identifying
information required to be provided with respect to an
account, the balance in the account at the time of the
violation.''.
(b) Effective Date.--The amendment made by this section
shall apply to violations occurring after the date of the
enactment of this Act.
(c) Prior Section To Have No Effect.--Notwithstanding
section 5622(b) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5679. CENSURE, CIVIL FINES, AND TAX OPINION STANDARDS
FOR TAX PRACTITIONERS.
(a) Censure; Imposition of Monetary Penalty.--
(1) In general.--Section 330(b) of title 31, United States
Code, is amended--
(A) by inserting ``, or censure,'' after ``Department'',
and
(B) by adding at the end the following new flush sentence:
``The Secretary may impose a monetary penalty on any
representative described in the preceding sentence. If the
representative was acting on behalf of an employer or any
firm or other entity in connection with the conduct giving
rise to such penalty, the Secretary may impose a monetary
penalty on such employer, firm, or entity if it knew, or
reasonably should have known, of such conduct. Such penalty
may be in addition to, or in lieu of, any suspension,
disbarment, or censure of the representative.''.
(2) Effective date.--The amendments made by this subsection
shall apply to actions taken after the date of the enactment
of this Act.
(b) Tax Opinion Standards.--Section 330 of such title 31 is
amended by adding at the end the following new subsection:
``(d) The Secretary of the Treasury shall impose standards
applicable to the rendering of written advice with respect to
any potentially abusive tax shelter or any entity, plan,
arrangement, or transaction which has a potential for tax
avoidance or evasion. Such standards shall address, but not
be limited to, the following issues:
``(1) Independence of the practitioner issuing such written
advice from persons promoting, marketing, or recommending the
subject of the advice.
``(2) Collaboration among practitioners, or between a
practitioner and other party, which could result in such
collaborating parties having a joint financial interest in
the subject of the advice.
``(3) Avoidance of conflicts of interest which would impair
auditor independence.
``(4) For written advice issued by a firm, standards for
reviewing the advice and ensuring the consensus support of
the firm for positions taken.
``(5) Reliance on reasonable factual representations by the
taxpayer and other parties.
``(6) Appropriateness of the fees charged by the
practitioner for the written advice.''.
(c) Prior Section To Have No Effect.--Notwithstanding
section 5624(a)(2) of this Act, such section, and the
amendments made by such section, shall not take effect.
SEC. 5680. PREVENTING CORPORATE EXPATRIATION TO AVOID UNITED
STATES INCOME TAX.
(a) In General.--Paragraph (4) of section 7701(a) (defining
domestic) is amended to read as follows:
``(4) Domestic.--
``(A) In general.--Except as provided in subparagraph (B),
the term `domestic' when applied to a corporation or
partnership means created or organized in the United States
or under the law of the United States or of any State unless,
in the case of a partnership, the Secretary provides
otherwise by regulations.
``(B) Certain corporations treated as domestic.--
``(i) In general.--The acquiring corporation in a corporate
expatriation transaction shall be treated as a domestic
corporation.
``(ii) Corporate expatriation transaction.--For purposes of
this subparagraph, the term `corporate expatriation
transaction' means any transaction if--
``(I) a nominally foreign corporation (referred to in this
subparagraph as the `acquiring corporation') acquires, as a
result of such transaction, directly or indirectly
substantially all of the properties held directly or
indirectly by a domestic corporation, and
``(II) immediately after the transaction, more than 80
percent of the stock (by vote or value) of the acquiring
corporation is held by former shareholders of the domestic
corporation by reason of holding stock in the domestic
corporation.
``(iii) Lower stock ownership requirement in certain
cases.--Subclause (II) of clause (ii) shall be applied by
substituting `50 percent' for `80 percent' with respect to
any nominally foreign corporation if--
``(I) such corporation does not have substantial business
activities (when compared to the total business activities of
the expanded affiliated group) in the foreign country in
which or under the law of which the corporation is created or
organized, and
``(II) the stock of the corporation is publicly traded and
the principal market for the public trading of such stock is
in the United States.
``(iv) Partnership transactions.--The term `corporate
expatriation transaction' includes any transaction if--
``(I) a nominally foreign corporation (referred to in this
subparagraph as the `acquiring corporation') acquires, as a
result of such transaction, directly or indirectly properties
constituting a trade or business of a domestic partnership,
``(II) immediately after the transaction, more than 80
percent of the stock (by vote or value) of the acquiring
corporation is held by former partners of the domestic
partnership or related foreign partnerships (determined
without regard to stock of the acquiring corporation which is
sold in a public offering related to the transaction), and
``(III) the acquiring corporation meets the requirements of
subclauses (I) and (II) of clause (iii).
[[Page S1125]]
``(v) Special rules.--For purposes of this subparagraph--
``(I) a series of related transactions shall be treated as
1 transaction, and
``(II) stock held by members of the expanded affiliated
group which includes the acquiring corporation shall not be
taken into account in determining ownership.
``(vi) Other definitions.--For purposes of this
subparagraph--
``(I) Nominally foreign corporation.--The term `nominally
foreign corporation' means any corporation which would (but
for this subparagraph) be treated as a foreign corporation.
``(II) Expanded affiliated group.--The term `expanded
affiliated group' means an affiliated group (as defined in
section 1504(a) without regard to section 1504(b)).
``(III) Related foreign partnership.--A foreign partnership
is related to a domestic partnership if they are under common
control (within the meaning of section 482), or they shared
the same trademark or tradename.''
(b) Effective Dates.--
(1) In general.--The amendment made by this section shall
apply to corporate expatriation transactions completed after
September 11, 2001.
(2) Special rule.--The amendment made by this section shall
also apply to corporate expatriation transactions completed
on or before September 11, 2001, but only with respect to
taxable years of the acquiring corporation beginning after
December 31, 2003.
(c) Prior Section To Have No Effect.--Section 5651(a)(2) of
this Act, and the amendments made by such section, shall not
take effect.
______
SA 2454. Mr. LEVIN (for himself and Ms. Stabenow) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1298, after line 24, add the following:
Subtitle H--Incentives for Alternative Motor Vehicles
PART I--INCENTIVES
SEC. 5671. ALTERNATIVE MOTOR VEHICLE CREDIT.
(a) In General.--Subpart B of part IV of subchapter A of
chapter 1 (relating to foreign tax credit, etc.) is amended
by adding at the end the following new section:
``SEC. 30B. ALTERNATIVE MOTOR VEHICLE CREDIT.
``(a) Allowance of Credit.--There shall be allowed as a
credit against the tax imposed by this chapter for the
taxable year an amount equal to the sum of--
``(1) the new qualified fuel cell motor vehicle credit
determined under subsection (b),
``(2) the new qualified hybrid motor vehicle credit
determined under subsection (c), and
``(3) the new qualified advanced lean burn technology motor
vehicle credit determined under subsection (f).
``(b) New Qualified Fuel Cell Motor Vehicle Credit.--
``(1) In general.--For purposes of subsection (a), the new
qualified fuel cell motor vehicle credit determined under
this subsection with respect to a new qualified fuel cell
motor vehicle placed in service by the taxpayer during the
taxable year is--
``(A) $4,000, if such vehicle has a gross vehicle weight
rating of not more than 8,500 pounds, and
``(B) $10,000, if such vehicle has a gross vehicle weight
rating of more than 8,500 pounds but not more than 14,000
pounds.
``(2) Increase for fuel efficiency.--
``(A) In general.--The amount determined under paragraph
(1)(A) with respect to a new qualified fuel cell motor
vehicle which is a passenger automobile or light truck shall
be increased by--
``(i) $1,000, if such vehicle achieves at least 150 percent
but less than 175 percent of the 2002 model year city fuel
economy,
``(ii) $1,500, if such vehicle achieves at least 175
percent but less than 200 percent of the 2002 model year city
fuel economy,
``(iii) $2,000, if such vehicle achieves at least 200
percent but less than 225 percent of the 2002 model year city
fuel economy,
``(iv) $2,500, if such vehicle achieves at least 225
percent but less than 250 percent of the 2002 model year city
fuel economy,
``(v) $3,000, if such vehicle achieves at least 250 percent
but less than 275 percent of the 2002 model year city fuel
economy,
``(vi) $3,500, if such vehicle achieves at least 275
percent but less than 300 percent of the 2002 model year city
fuel economy, and
``(vii) $4,000, if such vehicle achieves at least 300
percent of the 2002 model year city fuel economy.
``(B) 2002 model year city fuel economy.--For purposes of
subparagraph (A), the 2002 model year city fuel economy with
respect to a vehicle shall be determined in accordance with
the following tables:
``(i) In the case of a passenger automobile:
``If vehicle inertia weight clThe 2002 model year city fuel economy is:
1,500 or 1,750 lbs..........................................45.2 mpg
2,000 lbs...................................................39.6 mpg
2,250 lbs...................................................35.2 mpg
2,500 lbs...................................................31.7 mpg
2,750 lbs...................................................28.8 mpg
3,000 lbs...................................................26.4 mpg
3,500 lbs...................................................22.6 mpg
4,000 lbs...................................................19.8 mpg
4,500 lbs...................................................17.6 mpg
5,000 lbs...................................................15.9 mpg
5,500 lbs...................................................14.4 mpg
6,000 lbs...................................................13.2 mpg
6,500 lbs...................................................12.2 mpg
7,000 to 8,500 lbs..........................................11.3 mpg.
``(ii) In the case of a light truck:
``If vehicle inertia weight clThe 2002 model year city fuel economy is:
1,500 or 1,750 lbs..........................................39.4 mpg
2,000 lbs...................................................35.2 mpg
2,250 lbs...................................................31.8 mpg
2,500 lbs...................................................29.0 mpg
2,750 lbs...................................................26.8 mpg
3,000 lbs...................................................24.9 mpg
3,500 lbs...................................................21.8 mpg
4,000 lbs...................................................19.4 mpg
4,500 lbs...................................................17.6 mpg
5,000 lbs...................................................16.1 mpg
5,500 lbs...................................................14.8 mpg
6,000 lbs...................................................13.7 mpg
6,500 lbs...................................................12.8 mpg
7,000 to 8,500 lbs..........................................12.1 mpg.
``(C) Vehicle inertia weight class.--For purposes of
subparagraph (B), the term `vehicle inertia weight class' has
the same meaning as when defined in regulations prescribed by
the Administrator of the Environmental Protection Agency for
purposes of the administration of title II of the Clean Air
Act (42 U.S.C. 7521 et seq.).
``(3) New qualified fuel cell motor vehicle.--For purposes
of this subsection, the term `new qualified fuel cell motor
vehicle' means a motor vehicle--
``(A) which is propelled by power derived from 1 or more
cells which convert chemical energy directly into electricity
by combining oxygen with hydrogen fuel which is stored on
board the vehicle in any form and may or may not require
reformation prior to use,
``(B) which, in the case of a passenger automobile or light
truck for 2004 and later model vehicles, has received a
certificate that such vehicle meets or exceeds the Bin 5 Tier
II emission level established in regulations prescribed by
the Administrator of the Environmental Protection Agency
under section 202(i) of the Clean Air Act for that make and
model year vehicle,
``(C) the original use of which commences with the
taxpayer,
``(D) which is acquired for use or lease by the taxpayer
and not for resale, and
``(E) which is made by a manufacturer.
``(c) New Qualified Hybrid Motor Vehicle Credit.--
``(1) In general.--For purposes of subsection (a), the new
qualified hybrid motor vehicle credit determined under this
subsection with respect to a new qualified hybrid motor
vehicle placed in service by the taxpayer during the taxable
year is the credit amount determined under paragraph (2).
``(2) Credit amount.--
``(A) In general.--The credit amount determined under this
paragraph shall be determined in accordance with the
following table:
``In the case of a new qualified hybrid motor vehicle which
is a passenger automobile, medium duty passenger vehicle, or
light truck and which provides the following percentage of
the maximum available power:
``If percentage of the maximum available power is:The credit amount is:
At least 4 percent but less than 10 percent.................$350 ....
At least 10 percent but less than 20 percent................$600 ....
At least 20 percent but less than 30 percent................$850 ....
At least 30 percent.......................................$1,100.....
``(B) Increase for fuel efficiency.--
``(i) Amount.--The amount determined under subparagraph (A)
with respect to a new qualified hybrid motor vehicle which is
a passenger automobile or light truck shall be increased by--
``(I) $600, if such vehicle achieves at least 125 percent
but less than 150 percent of the 2002 model year city fuel
economy,
``(II) $1,100, if such vehicle achieves at least 150
percent but less than 175 percent of the 2002 model year city
fuel economy,
``(III) $1,600, if such vehicle achieves at least 175
percent but less than 200 percent of the 2002 model year city
fuel economy,
``(IV) $2,100, if such vehicle achieves at least 200
percent but less than 225 percent of the 2002 model year city
fuel economy,
``(V) $2,600, if such vehicle achieves at least 225 percent
but less than 250 percent of the 2002 model year city fuel
economy, and
``(VI) $3,100, if such vehicle achieves at least 250
percent of the 2002 model year city fuel economy.
``(ii) 2002 model year city fuel economy.--For purposes of
clause (i), the 2002 model year city fuel economy with
respect to a vehicle shall be determined on a gasoline gallon
equivalent basis as determined by the Administrator of the
Environmental Protection Agency using the tables provided in
subsection (b)(2)(B) with respect to such vehicle.
``(iii) Option to use like vehicle.--For purposes of clause
(i), at the option of the vehicle manufacturer, the increase
for fuel efficiency may be calculated by comparing the new
qualified hybrid motor vehicle to a `like vehicle'.
``(C) Conservation credit.--
``(i) Amount.--The amount determined under subparagraph (A)
with respect to a
[[Page S1126]]
passenger automobile, medium duty passenger vehicle, or light
truck shall be increased by--
``(I) $350, if such vehicle achieves a lifetime fuel
savings of at least 1,200 but less than 1,800 gallons of
gasoline,
``(II) $600, if such vehicle achieves a lifetime fuel
savings of at least 1,800 but less than 2,400 gallons of
gasoline,
``(III) $850, if such vehicle achieves a lifetime fuel
savings of at least 2,400 but less than 3,000 gallons of
gasoline, and
``(IV) $1,100, if such vehicle achieves a lifetime fuel
savings of at least 3,000 gallons of gasoline.
``(ii) Lifetime fuel savings for like vehicle.--For
purposes of clause (i), at the option of the vehicle
manufacturer, the lifetime fuel savings fuel may be
calculated by comparing the new qualified hybrid motor
vehicle to a `like vehicle'.
``(D) Definitions relating to credit amount.--
``(i) Maximum available power.--For purposes of
subparagraph (A), the term `maximum available power' means
the maximum power available from the rechargeable energy
storage system, during a standard 10 second pulse power or
equivalent test, divided by such maximum power and the SAE
net power of the heat engine.
``(ii) Like vehicle.--For purposes of subparagraph
(B)(iii), the term `like vehicle' for a new qualified hybrid
motor vehicle derived from a conventional production vehicle
produced in the same model year means a model that is
equivalent in the following areas:
``(I) Body style (2-door or 4-door).
``(II) Transmission (automatic or manual).
``(III) Acceleration performance ( 0.05 seconds).
``(IV) Drivetrain (2-wheel drive or 4-wheel drive).
``(V) Certification by the Administrator of the
Environmental Protection Agency.
``(iii) Lifetime fuel savings.--For purposes of
subparagraph (C), the term `lifetime fuel savings' shall be
calculated by dividing 120,000 by the difference between the
2002 model year city fuel economy for the vehicle inertia
weight class (as defined in subsection (b)(2)(C)) and the
city fuel economy for the new qualified hybrid motor vehicle.
``(3) New qualified hybrid motor vehicle.--For purposes of
this subsection--
``(A) In general.--The term `new qualified hybrid motor
vehicle' means a motor vehicle--
``(i) which draws propulsion energy from onboard sources of
stored energy which are both--
``(I) an internal combustion or heat engine using
consumable fuel, and
``(II) a rechargeable energy storage system,
``(ii) which, in the case of a passenger automobile, medium
duty passenger vehicle, or light truck--
``(I) for 2002 and later model vehicles, has received a
certificate of conformity under the Clean Air Act and meets
or exceeds the equivalent qualifying California low emission
vehicle standard under section 243(e)(2) of the Clean Air Act
for that make and model year, and
``(II) for 2004 and later model vehicles, has received a
certificate that such vehicle meets or exceeds the Bin 5 Tier
II emission level established in regulations prescribed by
the Administrator of the Environmental Protection Agency
under section 202(i) of the Clean Air Act for that make and
model year vehicle,
``(iii) the original use of which commences with the
taxpayer,
``(iv) which is acquired for use or lease by the taxpayer
and not for resale, and
``(v) which is made by a manufacturer.
``(B) Consumable fuel.--For purposes of subparagraph
(A)(i)(I), the term `consumable fuel' means any solid,
liquid, or gaseous matter which releases energy when consumed
by an auxiliary power unit.
``(d) New Qualified Advanced Lean Burn Technology Motor
Vehicle Credit.--
``(1) In general.--For purposes of subsection (a), the new
qualified advanced lean burn technology motor vehicle credit
determined under this subsection with respect to a new
qualified advanced lean burn technology motor vehicle placed
in service by the taxpayer during the taxable year is the
credit amount determined under paragraph (2).
``(2) Credit amount.--
``(A) Increase for fuel efficiency.--The credit amount
determined under this paragraph shall be--
``(i) $350, if such vehicle achieves at least 125 percent
but less than 150 percent of the 2002 model year city fuel
economy,
``(ii) $600, if such vehicle achieves at least 150 percent
but less than 175 percent of the 2002 model year city fuel
economy,
``(iii) $850, if such vehicle achieves at least 175 percent
but less than 200 percent of the 2002 model year city fuel
economy, and
``(iv) $1,100, if such vehicle achieves at least 200
percent of the 2002 model year city fuel economy.
For purposes of clause (i), the 2002 model year city fuel
economy with respect to a vehicle shall be determined using
the tables provided in subsection (b)(2)(B) with respect to
such vehicle.
``(B) Conservation credit.--The amount determined under
subparagraph (A) with respect to a new qualified advanced
lean burn technology motor vehicle shall be increased by--
``(i) $350, if such vehicle achieves a lifetime fuel
savings of at least 1,200 but less than 1,800 gallons of
gasoline,
``(ii) $600, if such vehicle achieves a lifetime fuel
savings of at least 1,800 but less than 2,400 gallons of
gasoline,
``(iii) $850, if such vehicle achieves a lifetime fuel
savings of at least 2,400 but less than 3,000 gallons of
gasoline, and
``(iv) $1,100, if such vehicle achieves a lifetime fuel
savings of at least 3,000 gallons of gasoline.
``(C) Option to use like vehicle.--At the option of the
vehicle manufacturer, the increase for fuel efficiency and
conservation credit may be calculated by comparing the new
qualified advanced lean burn technology motor vehicle to a
like vehicle.
``(3) Definitions.--For purposes of this subsection--
``(A) New qualified advanced lean burn technology motor
vehicle.--The term `new qualified advanced lean burn
technology motor vehicle' means a motor vehicle with an
internal combustion engine--
``(i) which is designed to operate primarily using more air
than is necessary for complete combustion of the fuel,
``(ii) which incorporates direct injection,
``(iii) which achieves at least 125 percent of the 2002
model year city fuel economy,
``(iv) which, for 2005 and later model vehicles, has
received a certificate that such vehicle meets or exceeds the
Bin 5 Tier II emission levels for passenger vehicles
established in regulations prescribed by the Administrator of
the Environmental Protection Agency under section 202(i) of
the Clean Air Act for that make and model year vehicle,
except any manufacturer may provide not to exceed 5,000
passenger vehicles per year which are Tier II compliant,
``(v) the original use of which commences with the
taxpayer,
``(vi) which is acquired for use or lease by the taxpayer
and not for resale, and
``(vii) which is made by a manufacturer.
``(B) Like vehicle.--The term `like vehicle' for a new
qualified advanced lean burn technology motor vehicle derived
from a conventional production vehicle produced in the same
model year means a model that is equivalent in the following
areas:
``(i) Body style (2-door or 4-door),
``(ii) Transmission (automatic or manual),
``(iii) Acceleration performance ( 0.05 seconds).
``(iv) Drivetrain (2-wheel drive or 4-wheel drive).
``(v) Certification by the Administrator of the
Environmental Protection Agency.
``(C) Lifetime fuel savings.--The term `lifetime fuel
savings' shall be calculated by dividing 120,000 by the
difference between the 2002 model year city fuel economy for
the vehicle inertia weight class (as defined in subsection
(b)(2)(C)) and the city fuel economy for the new qualified
hybrid motor vehicle.
``(e) Application With Other Credits.--The credit allowed
under subsection (a) for any taxable year shall not exceed
the excess (if any) of--
``(1) the regular tax for the taxable year reduced by the
sum of the credits allowable under subpart A and sections 27,
29, and 30, over
``(2) the tentative minimum tax for the taxable year.
``(f) Limitation on Number of New Qualified Hybrid and
Advanced Lean-Burn Technology Vehicles Eligible for Credit.--
``(1) In general.--In the case of a qualified vehicle sold
during the phaseout period, only the applicable percentage of
the credit otherwise allowable under subsection (c) or (d)
shall be allowed.
``(2) Phaseout period.--For purposes of this subsection,
the phaseout period is the period beginning with the second
calendar quarter following the calendar quarter which
includes the first date on which the number of qualified
vehicles manufactured by the manufacturer of the vehicle
referred to in paragraph (1) sold for use in the United
States after the date of the enactment of this section is at
least 80,000.
``(3) Applicable percentage.--For purposes of paragraph
(1), the applicable percentage is--
``(A) 50 percent for the first 2 calendar quarters of the
phaseout period,
``(B) 25 percent for the 3d and 4th calendar quarters of
the phaseout period, and
``(C) 0 percent for each calendar quarter thereafter.
``(4) Controlled groups.--
``(A) In general.--For purposes of this subsection, all
persons treated as a single employer under subsection (a) or
(b) of section 52 or subsection (m) or (o) of section 414
shall be treated as a single manufacturer.
``(B) Inclusion of foreign corporations.--For purposes of
subparagraph (A), in applying subsections (a) and (b) of
section 52 to this section, section 1563 shall be applied
without regard to subsection (b)(2)(C) thereof.
``(5) Qualified vehicle.--For purposes of this subsection,
the term `qualified vehicle' means any new qualified hybrid
motor vehicle and any new advanced lean burn technology motor
vehicle.
``(g) Other Definitions and Special Rules.--For purposes of
this section--
``(1) Motor vehicle.--The term `motor vehicle' has the
meaning given such term by section 30(c)(2).
``(2) City fuel economy.--The city fuel economy with
respect to any vehicle shall be measured in a manner which is
substantially similar to the manner city fuel economy is
measured in accordance with procedures under part 600 of
subchapter Q of chapter I of
[[Page S1127]]
title 40, Code of Federal Regulations, as in effect on the
date of the enactment of this section.
``(3) Other terms.--The terms `automobile', `passenger
automobile', `medium duty passenger vehicle', `light truck',
and `manufacturer' have the meanings given such terms in
regulations prescribed by the Administrator of the
Environmental Protection Agency for purposes of the
administration of title II of the Clean Air Act (42 U.S.C.
7521 et seq.).
``(4) Reduction in basis.--For purposes of this subtitle,
the basis of any property for which a credit is allowable
under subsection (a) shall be reduced by the amount of such
credit so allowed (determined without regard to subsection
(e)).
``(5) No double benefit.--The amount of any deduction or
other credit allowable under this chapter with respect to a
vehicle described under subsection (b) or (c), shall be
reduced by the amount of credit allowed under subsection (a)
for such vehicle for the taxable year.
``(6) Property used by tax-exempt entities.--In the case of
a credit amount which is allowable with respect to a motor
vehicle which is acquired by an entity exempt from tax under
this chapter, the person which sells or leases such vehicle
to the entity shall be treated as the taxpayer with respect
to the vehicle for purposes of this section and the credit
shall be allowed to such person, but only if the person
clearly discloses to the entity at the time of any sale or
lease the specific amount of any credit otherwise allowable
to the entity under this section.
``(7) Recapture.--The Secretary shall, by regulations,
provide for recapturing the benefit of any credit allowable
under subsection (a) with respect to any property which
ceases to be property eligible for such credit (including
recapture in the case of a lease period of less than the
economic life of a vehicle).
``(8) Property used outside united states, etc., not
qualified.--No credit shall be allowed under subsection (a)
with respect to any property referred to in section 50(b) or
with respect to the portion of the cost of any property taken
into account under section 179.
``(9) Election to not take credit.--No credit shall be
allowed under subsection (a) for any vehicle if the taxpayer
elects to not have this section apply to such vehicle.
``(10) Carryback and carryforward allowed.--
``(A) In general.--If the credit allowable under subsection
(a) for a taxable year exceeds the amount of the limitation
under subsection (e) for such taxable year (in this paragraph
referred to as the `unused credit year'), such excess shall
be a credit carryback to each of the 3 taxable years
preceding the unused credit year and a credit carryforward to
each of the 20 taxable years following the unused credit
year, except that no excess may be carried to a taxable year
beginning before the date of the enactment of this paragraph.
``(B) Rules.--Rules similar to the rules of section 39
shall apply with respect to the credit carryback and credit
carryforward under subparagraph (A).
``(11) Interaction with air quality and motor vehicle
safety standards.--Unless otherwise provided in this section,
a motor vehicle shall not be considered eligible for a credit
under this section unless such vehicle is in compliance
with--
``(A) the applicable provisions of the Clean Air Act for
the applicable make and model year of the vehicle (or
applicable air quality provisions of State law in the case of
a State which has adopted such provision under a waiver under
section 209(b) of the Clean Air Act), and
``(B) the motor vehicle safety provisions of sections 30101
through 30169 of title 49, United States Code.
``(h) Regulations.--
``(1) In general.--Except as provided in paragraph (2), the
Secretary shall promulgate such regulations as necessary to
carry out the provisions of this section.
``(2) Coordination in prescription of certain
regulations.--The Secretary of the Treasury, in coordination
with the Secretary of Transportation and the Administrator of
the Environmental Protection Agency, shall prescribe such
regulations as necessary to determine whether a motor vehicle
meets the requirements to be eligible for a credit under this
section.
``(i) Application of Section.--This section shall apply
to----
``(1) any new qualified fuel cell motor vehicle (as
described in subsection (b)) placed in service after December
31, 2004, and purchased before January 1, 2015, and
``(2) any new qualified hybrid motor vehicle (as described
in subsection (c)) or new qualified advanced lean burn
technology motor vehicle (as described in subsection (d))
placed in service after December 31, 2004, and purchased
before January 1, 2010.''.
(b) Conforming Amendments.--
(1) Section 1016(a) is amended by striking ``and'' at the
end of paragraph (27), by striking the period at the end of
paragraph (28) and inserting ``, and'', and by adding at the
end the following new paragraph:
``(29) to the extent provided in section 30B(g)(4).''.
(2) Section 55(c)(2) is amended by inserting ``30B(e),''
after ``30(b)(3),''.
(3) Section 6501(m) is amended by inserting ``30B(g)(9),''
after ``30(d)(4),''.
(4) The table of sections for subpart B of part IV of
subchapter A of chapter 1 is amended by inserting after the
item relating to section 30A the following new item:
``Sec. 30B. Alternative motor vehicle credit.''.
(c) Effective Date.--The amendments made by this section
shall apply to property placed in service after the date of
the enactment of this Act, in taxable years ending after such
date.
SEC. 5672. CREDIT FOR INSTALLATION OF ALTERNATIVE FUELING
STATIONS.
(a) In General.--Subpart B of part IV of subchapter A of
chapter 1 (relating to foreign tax credit, etc.), as amended
by this Act, is amended by adding at the end the following
new section:
``SEC. 30C. CLEAN-FUEL VEHICLE REFUELING PROPERTY CREDIT.
``(a) Credit Allowed.--There shall be allowed as a credit
against the tax imposed by this chapter for the taxable year
an amount equal to 50 percent of the amount paid or incurred
by the taxpayer during the taxable year for the installation
of qualified clean-fuel vehicle refueling property.
``(b) Limitation.--The credit allowed under subsection
(a)--
``(1) with respect to any retail clean-fuel vehicle
refueling property, shall not exceed $30,000, and
``(2) with respect to any residential clean-fuel vehicle
refueling property, shall not exceed $1,000.
``(c) Year Credit Allowed.--Notwithstanding subsection (a),
no credit shall be allowed under subsection (a) with respect
to any qualified clean-fuel vehicle refueling property before
the taxable year in which the property is placed in service
by the taxpayer.
``(d) Definitions.--For purposes of this section--
``(1) Qualified clean-fuel vehicle refueling property.--The
term `qualified clean-fuel vehicle refueling property' has
the same meaning given such term by section 179A(d).
``(2) Residential clean-fuel vehicle refueling property.--
The term `residential clean-fuel vehicle refueling property'
means qualified clean-fuel vehicle refueling property which
is installed on property which is used as the principal
residence (within the meaning of section 121) of the
taxpayer.
``(3) Retail clean-fuel vehicle refueling property.--The
term `retail clean-fuel vehicle refueling property' means
qualified clean-fuel vehicle refueling property which is
installed on property (other than property described in
paragraph (2)) used in a trade or business of the taxpayer.
``(e) Application With Other Credits.--The credit allowed
under subsection (a) for any taxable year shall not exceed
the excess (if any) of--
``(1) the regular tax for the taxable year reduced by the
sum of the credits allowable under subpart A and sections 27,
29, 30, and 30B, over
``(2) the tentative minimum tax for the taxable year.
``(f) Basis Reduction.--For purposes of this title, the
basis of any property shall be reduced by the portion of the
cost of such property taken into account under subsection
(a).
``(g) No Double Benefit.--
``(1) Coordination with other deductions and credits.--
Except as provided in paragraph (2), the amount of any
deduction or other credit allowable under this chapter for
any cost taken into account in computing the amount of the
credit determined under subsection (a) shall be reduced by
the amount of such credit attributable to such cost.
``(2) No deduction allowed under section 179a.--No
deduction shall be allowed under section 179A with respect to
any property with respect to which a credit is allowed under
subsection (a).
``(h) Refueling Property Installed for Tax-Exempt
Entities.--In the case of qualified clean-fuel vehicle
refueling property installed on property owned or used by an
entity exempt from tax under this chapter, the person which
installs such refueling property for the entity shall be
treated as the taxpayer with respect to the refueling
property for purposes of this section (and such refueling
property shall be treated as retail clean-fuel vehicle
refueling property) and the credit shall be allowed to such
person, but only if the person clearly discloses to the
entity in any installation contract the specific amount of
the credit allowable under this section.
``(i) Carryforward Allowed.--
``(1) In general.--If the credit allowable under subsection
(a) for a taxable year exceeds the amount of the limitation
under subsection (e) for such taxable year, such excess shall
be a credit carryforward to each of the 20 taxable years
following such taxable year.
``(2) Rules.--Rules similar to the rules of section 39
shall apply with respect to the credit carryforward under
paragraph (1).
``(j) Special Rules.--Rules similar to the rules of
paragraphs (4) and (5) of section 179A(e) shall apply.
``(k) Regulations.--The Secretary shall prescribe such
regulations as necessary to carry out the provisions of this
section.
``(l) Termination.--This section shall not apply to any
property placed in service--
``(1) in the case of property relating to hydrogen, after
December 31, 2011, and
``(2) in the case of any other property, after December 31,
2007.''.
(b) Modifications to Extension of Deduction for Certain
Refueling Property.--
[[Page S1128]]
(1) Increase in deduction for hydrogen infrastructure.--
Section 179A(b)(2)(A)(i) is amended by inserting ``($200,000
in the case of property relating to hydrogen)'' after
``$100,000''.
(2) Extension of deduction.--Subsection (f) of section 179A
is amended to read as follows:
``(f) Termination.--This section shall not apply to any
property placed in service--
``(1) in the case of property relating to hydrogen, after
December 31, 2011, and
``(2) in the case of any other property, after December 31,
2007.''.
(3) Extension of phaseout.--Section 179A(b)(1)(B) is
amended--
(A) by striking ``calendar year 2004'' in clause (i) and
inserting ``calendar years 2004 and 2005 (calendar years 2004
through 2009 in the case of property relating to hydrogen)'',
(B) by striking ``2005'' in clause (ii) and inserting
``2006 (calendar year 2010 in the case of property relating
to hydrogen)'', and
(C) by striking ``2006'' in clause (iii) and inserting
``2007 (calendar year 2011 in the case of property relating
to hydrogen)''.
(c) Incentive for Production of Hydrogen at Qualified
Clean-Fuel Vehicle Refueling Property.--Section 179A(d)
(defining qualified clean-fuel vehicle refueling property) is
amended by adding at the end the following new flush
sentence:
``In the case of clean-burning fuel which is hydrogen
produced from another clean-burning fuel, paragraph (3)(A)
shall be applied by substituting `production, storage, or
dispensing' for `storage or dispensing' both places it
appears.''.
(d) Conforming Amendments.--
(1) Section 1016(a), as amended by this Act, is amended by
striking ``and'' at the end of paragraph (28), by striking
the period at the end of paragraph (29) and inserting ``,
and'', and by adding at the end the following new paragraph:
``(30) to the extent provided in section 30C(f).''.
(2) Section 55(c)(2), as amended by this Act, is amended by
inserting ``30C(e),'' after ``30B(e),''.
(3) The table of sections for subpart B of part IV of
subchapter A of chapter 1, as amended by this Act, is amended
by inserting after the item relating to section 30B the
following new item:
``Sec. 30C. Clean-fuel vehicle refueling property credit.''.
(e) Effective Date.--The amendments made by this section
shall apply to property placed in service after the date of
the enactment of this Act, in taxable years ending after such
date.
SEC. 5673. BIODIESEL CREDIT EXPANSION.
Section 312(b) of the Energy Policy Act of 1992 (42 U.S.C.
13220(b)) is amended--
(1) by striking ``Credits.--'' and all that follows through
``At the request'' and inserting ``Credits.--At the
request''; and
(2) by striking paragraph (2).
PART II--REVENUE PROVISIONS
SEC. 5675. PENALTY FOR PROMOTING ABUSIVE TAX SHELTERS.
(a) Penalty for Promoting Abusive Tax Shelters.--Section
6700 (relating to promoting abusive tax shelters, etc.) is
amended--
(1) by redesignating subsections (b) and (c) as subsections
(d) and (e), respectively,
(2) by striking ``a penalty'' and all that follows through
the period in the first sentence of subsection (a) and
inserting ``a penalty determined under subsection (b)'', and
(3) by inserting after subsection (a) the following new
subsections:
``(b) Amount of Penalty; Calculation of Penalty; Liability
for Penalty.--
``(1) Amount of penalty.--The amount of the penalty imposed
by subsection (a) shall not exceed the greater of--
``(A) 150 percent of the gross income derived (or to be
derived) from such activity by the person or persons subject
to such penalty, and
``(B) if readily subject to calculation, the total amount
of underpayment by the taxpayer (including penalties,
interest, and taxes) in connection with such activity.
``(2) Calculation of penalty.--The penalty amount
determined under paragraph (1) shall be calculated with
respect to each instance of an activity described in
subsection (a), each instance in which income was derived by
the person or persons subject to such penalty, and each
person who participated in such an activity.
``(3) Liability for penalty.--If more than 1 person is
liable under subsection (a) with respect to such activity,
all such persons shall be jointly and severally liable for
the penalty under such subsection.
``(c) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(b) Effective Date.--The amendments made by this section
shall apply to activities after the date of the enactment of
this Act.
(c) Prior Section To Have No Effect.--Notwithstanding
section 5625 of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5676. PENALTY FOR AIDING AND ABETTING THE UNDERSTATEMENT
OF TAX LIABILITY.
(a) In General.--Section 6701(a) (relating to imposition of
penalty) is amended--
(1) by inserting ``the tax liability or'' after ``respect
to,'' in paragraph (1),
(2) by inserting ``aid, assistance, procurement, or advice
with respect to such'' before ``portion'' both places it
appears in paragraphs (2) and (3), and
(3) by inserting ``instance of aid, assistance,
procurement, or advice or each such'' before ``document'' in
the matter following paragraph (3).
(b) Amount of Penalty.--Subsection (b) of section 6701
(relating to penalties for aiding and abetting understatement
of tax liability) is amended to read as follows:
``(b) Amount of Penalty; Calculation of Penalty; Liability
for Penalty.--
``(1) Amount of penalty.--The amount of the penalty imposed
by subsection (a) shall not exceed the greater of--
``(i) 150 percent of the gross income derived (or to be
derived) from such aid, assistance, procurement, or advice
provided by the person or persons subject to such penalty,
and
``(ii) if readily subject to calculation, the total amount
of underpayment by the taxpayer (including penalties,
interest, and taxes) in connection with the understatement of
the liability for tax.
``(2) Calculation of penalty.--The penalty amount
determined under paragraph (1) shall be calculated with
respect to each instance of aid, assistance, procurement, or
advice described in subsection (a), each instance in which
income was derived by the person or persons subject to such
penalty, and each person who made such an understatement of
the liability for tax.
``(3) Liability for penalty.--If more than 1 person is
liable under subsection (a) with respect to providing such
aid, assistance, procurement, or advice, all such persons
shall be jointly and severally liable for the penalty under
such subsection.''.
(c) Penalty Not Deductible.--Section 6701 is amended by
adding at the end the following new subsection:
``(g) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(d) Effective Date.--The amendments made by this section
shall apply to activities after the date of the enactment of
this Act.
SEC. 5677. PENALTY FOR FAILURE TO REGISTER TAX SHELTER.
(a) In General.--Section 6707 (relating to failure to
furnish information regarding tax shelters) is amended to
read as follows:
``SEC. 6707. FAILURE TO FURNISH INFORMATION ON POTENTIALLY
ABUSIVE TAX SHELTER OR LISTED TRANSACTION.
``(a) In General.--If a person who is required to file a
return under section 6111 with respect to any potentially
abusive tax shelter--
``(1) fails to file such return on or before the date
prescribed therefor, or
``(2) files false or incomplete information with the
Secretary with respect to such shelter,
such person shall pay a penalty with respect to such return
in the amount determined under subsection (b).
``(b) Amount of Penalty.--
``(1) In general.--Except as provided in paragraph (2), the
penalty imposed under subsection (a) with respect to any
failure shall be not less than $50,000 and not more than
$100,000.
``(2) Listed transactions.--The penalty imposed under
subsection (a) with respect to any listed transaction shall
be an amount equal to the greater of--
``(A) $200,000, or
``(B) 100 percent of the gross income derived by such
person for providing aid, assistance, procurement, advice, or
other services with respect to the listed transaction before
the date the return including the transaction is filed under
section 6111.
Subparagraph (B) shall be applied by substituting `150
percent' for `100 percent' in the case of an intentional
failure or act described in subsection (a).
``(c) Certain Rules To Apply.--The provisions of section
6707A(d) allowing the Commissioner of Internal Revenue to
rescind a penalty under certain circumstances shall apply to
any penalty imposed under this section.
``(d) Potentially Abusive Tax Shelters and Listed
Transactions.--The terms `potentially abusive tax shelter'
and `listed transaction' have the respective meanings given
to such terms by section 6707A(c).
``(e) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(b) Clerical Amendment.--The item relating to section 6707
in the table of sections for part I of subchapter B of
chapter 68 is amended by striking ``regarding tax shelters''
and inserting ``on potentially abusive tax shelter or listed
transaction''.
(c) Effective Date.--The amendments made by this section
shall apply to returns the due date for which is after the
date of the enactment of this Act.
(d) Prior Section To Have No Effect.--Notwithstanding
section 5618(c) of this Act,
[[Page S1129]]
such section, and the amendments made by such section, shall
not take effect.
SEC. 5678. PENALTY FOR FAILING TO MAINTAIN CLIENT LIST.
(a) In General.--Subsection (a) of section 6708 (relating
to failure to maintain lists of investors in potentially
abusive tax shelters) is amended to read as follows:
``(a) Imposition of Penalty.--
``(1) In general.--If any person who is required to
maintain a list under section 6112(a) fails to make such list
available upon written request to the Secretary in accordance
with section 6112(b)(1)(A) within 20 business days after the
date of the Secretary's request, such person shall pay a
penalty of $10,000 for each day of such failure after such
20th day. If such person makes available an incomplete list
upon such request, such person shall pay a penalty of $100
per each omitted name for each day of such omission after
such 20th day.
``(2) Good cause exception.--No penalty shall be imposed by
paragraph (1) with respect to the failure on any day if, in
the judgment of the Secretary, such failure is due to good
cause.''.
(b) Penalty Not Deductible.--Section 6708 is amended by
adding at the end the following new subsection:
``(c) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(c) Effective Date.--The amendments made by this section
shall apply to requests made by the Secretary of the Treasury
after the date of the enactment of this Act.
(d) Prior Section To Have No Effect.--Notwithstanding
section 5619(b) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5679. PENALTY FOR FAILING TO DISCLOSE POTENTIALLY
ABUSIVE TAX SHELTER.
(a) In General.--Part I of subchapter B of chapter 68
(relating to assessable penalties) is amended by inserting
after section 6707 the following new section:
``SEC. 6707A. PENALTY FOR FAILURE TO INCLUDE POTENTIALLY
ABUSIVE TAX SHELTER INFORMATION WITH RETURN OR
STATEMENT.
``(a) Imposition of Penalty.--Any person who fails to
include on any return or statement any information with
respect to a potentially abusive tax shelter which is
required under section 6011 to be included with such return
or statement shall pay a penalty in the amount determined
under subsection (b).
``(b) Amount of Penalty.--
``(1) In general.--Except as provided in paragraphs (2) and
(3), the amount of the penalty under subsection (a) shall be
$50,000.
``(2) Listed transaction.--Except as provided in paragraph
3, the amount of the penalty under subsection (a) with
respect to a listed transaction shall be $100,000.
``(3) Increase in penalty for intentional nondisclosure.--
In the case of an intentional failure by any person under
subsection (a), the penalty under paragraph (1) shall be
$100,000 and the penalty under paragraph (2) shall be
$200,000.
``(c) Definitions.--For purposes of this section--
``(1) Potentially abusive tax shelter.--The term
`potentially abusive tax shelter' means any transaction with
respect to which information is required to be included with
a return or statement, because the Secretary has determined
by regulation or otherwise that such transaction has a
potential for tax avoidance or evasion.
``(2) Listed transaction.--Except as provided in
regulations, the term `listed transaction' means a
potentially abusive tax shelter which is the same as, or
substantially similar to, a transaction specifically
identified by the Secretary as a tax avoidance transaction
for purposes of section 6011.
``(d) Authority To Rescind Penalty.--
``(1) In general.--The Commissioner of Internal Revenue may
rescind all or any portion of a penalty imposed by this
section with respect to any violation if--
``(A) the violation is with respect to a potentially
abusive tax shelter other than a listed transaction,
``(B) the person on whom the penalty is imposed has a
history of complying with the requirements of this title,
``(C) it is shown that the violation is due to an
unintentional mistake of fact,
``(D) imposing the penalty would be against equity and good
conscience, and
``(E) rescinding the penalty would promote compliance with
the requirements of this title and effective tax
administration.
``(2) Discretion.--The exercise of authority under
paragraph (1) shall be at the sole discretion of the
Commissioner and may be delegated only to the head of the
Office of Tax Shelter Analysis. The Commissioner, in the
Commissioner's sole discretion, may establish a procedure to
determine if a penalty should be referred to the Commissioner
or the head of such Office for a determination under
paragraph (1).
``(3) No appeal.--Notwithstanding any other provision of
law, any determination under this subsection may not be
reviewed in any administrative or judicial proceeding.
``(4) Records.--If a penalty is rescinded under paragraph
(1), the Commissioner shall place in the file in the Office
of the Commissioner the opinion of the Commissioner or the
head of the Office of Tax Shelter Analysis with respect to
the determination, including--
``(A) the facts and circumstances of the transaction,
``(B) the reasons for the rescission, and
``(C) the amount of the penalty rescinded.
A copy of such opinion shall be provided upon written request
to the Committee on Ways and Means of the House of
Representatives, the Committee on Finance of the Senate, the
Joint Committee on Taxation, or the General Accounting
Office.
``(5) Report.--The Commissioner shall each year report to
the Committee on Ways and Means of the House of
Representatives and the Committee on Finance of the Senate--
``(A) a summary of the total number and aggregate amount of
penalties imposed, and rescinded, under this section, and
``(B) a description of each penalty rescinded under this
subsection and the reasons therefor.
``(e) Penalty Reported to SEC.--In the case of a person--
``(1) which is required to file periodic reports under
section 13 or 15(d) of the Securities Exchange Act of 1934 or
is required to be consolidated with another person for
purposes of such reports, and
``(2) which--
``(A) is required to pay a penalty under this section with
respect to a listed transaction,
``(B) is required to pay a penalty under section 6662A with
respect to any potentially abusive tax shelter at a rate
prescribed under section 6662A(c), or
``(C) is required to pay a penalty under section 6662B with
respect to any noneconomic substance transaction,
the requirement to pay such penalty shall be disclosed in
such reports filed by such person for such periods as the
Secretary shall specify. Failure to make a disclosure in
accordance with the preceding sentence shall be treated as a
failure to which the penalty under subsection (b)(2) applies.
``(f) Penalty in Addition to Other Penalties.--The penalty
imposed by this section shall be in addition to any other
penalty provided by law.
``(g) Penalty Not Deductible.--The payment of any penalty
imposed under this section or the payment of any amount to
settle or avoid the imposition of such penalty shall not be
considered an ordinary and necessary expense in carrying on a
trade or business for purposes of this title and shall not be
deductible by the person who is subject to such penalty or
who makes such payment.''.
(b) Conforming Amendment.--The table of sections for part I
of subchapter B of chapter 68 is amended by inserting after
the item relating to section 6707 the following:
``Sec. 6707A. Penalty for failure to include potentially abusive tax
shelter information with return or statement.''.
(c) Effective Date.--The amendments made by this section
shall apply to returns and statements the due date for which
is after the date of the enactment of this Act.
(d) Prior Section To Have No Effect.--Notwithstanding
section 5612(c) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5680. IMPROVED DISCLOSURE OF POTENTIALLY ABUSIVE TAX
SHELTERS.
(a) In General.--Section 6111 (relating to registration of
tax shelters) is amended to read as follows:
``SEC. 6111. DISCLOSURE OF POTENTIALLY ABUSIVE TAX SHELTERS.
``(a) In General.--Each material advisor with respect to
any potentially abusive tax shelter shall make a return (in
such form as the Secretary may prescribe) setting forth--
``(1) information identifying and describing such shelter,
``(2) information describing any potential tax benefits
expected to result from the shelter, and
``(3) such other information as the Secretary may
prescribe.
Such return shall be filed not later than the date which is
30 days before the date on which the first sale of such
shelter occurs or on any other date specified by the
Secretary.
``(b) Definitions.--For purposes of this section--
``(1) Material advisor.--
``(A) In general.--The term `material advisor' means any
person--
``(i) who provides any material aid, assistance, or advice
with respect to designing, organizing, managing, promoting,
selling, implementing, or carrying out any potentially
abusive tax shelter, and
``(ii) who directly or indirectly derives gross income in
excess of the threshold amount for such aid, assistance, or
advice.
``(B) Threshold amount.--For purposes of subparagraph (A),
the threshold amount is--
``(i) $50,000 in the case of a potentially abusive tax
shelter substantially all of the tax benefits from which are
provided to natural persons, and
``(ii) $100,000 in any other case.
``(2) Potentially abusive tax shelter.--The term
`potentially abusive tax shelter' has the meaning given to
such term by section 6707A(c).
``(c) Regulations.--The Secretary may prescribe regulations
which provide--
``(1) that only 1 person shall be required to meet the
requirements of subsection (a) in cases in which 2 or more
persons would otherwise be required to meet such
requirements,
[[Page S1130]]
``(2) exemptions from the requirements of this section, and
``(3) such rules as may be necessary or appropriate to
carry out the purposes of this section.''.
(b) Conforming Amendments.--
(1) The item relating to section 6111 in the table of
sections for subchapter B of chapter 61 is amended to read as
follows:
``Sec. 6111. Disclosure of potentially abusive tax shelters.''.
(2)(A) So much of section 6112 as precedes subsection (c)
thereof is amended to read as follows:
``SEC. 6112. MATERIAL ADVISORS OF POTENTIALLY ABUSIVE TAX
SHELTERS MUST KEEP CLIENT LISTS.
``(a) In General.--Each material advisor (as defined in
section 6111) with respect to any potentially abusive tax
shelter (as defined in section 6707A(c)) shall maintain, in
such manner as the Secretary may by regulations prescribe, a
list--
``(1) identifying each person with respect to whom such
advisor acted as such a material advisor with respect to such
shelter, and
``(2) containing such other information as the Secretary
may by regulations require.
This section shall apply without regard to whether a material
advisor is required to file a return under section 6111 with
respect to such transaction.''.
(B) Section 6112 is amended by redesignating subsection (c)
as subsection (b).
(C) Section 6112(b), as redesignated by subparagraph (B),
is amended--
(i) by inserting ``written'' before ``request'' in
paragraph (1)(A), and
(ii) by striking ``shall prescribe'' in paragraph (2) and
inserting ``may prescribe''.
(D) The item relating to section 6112 in the table of
sections for subchapter B of chapter 61 is amended to read as
follows:
``Sec. 6112. Material advisors of potentially abusive tax shelters must
keep client lists.''.
(3)(A) The heading for section 6708 is amended to read as
follows:
``SEC. 6708. FAILURE TO MAINTAIN CLIENT LISTS WITH RESPECT TO
POTENTIALLY ABUSIVE TAX SHELTERS.''.
(B) The item relating to section 6708 in the table of
sections for part I of subchapter B of chapter 68 is amended
to read as follows:
``Sec. 6708. Failure to maintain client lists with respect to
potentially abusive tax shelters.''.
(c) Required Disclosure Not Subject to Claim of
Confidentiality.--Section 6112(b)(1), as redesignated by
subsection (b)(2)(B), is amended by adding at the end the
following new flush sentence:
``For purposes of this section, the identity of any person on
such list shall not be privileged.''.
(d) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to transactions
with respect to which material aid, assistance, or advice
referred to in section 6111(b)(1)(A)(i) of the Internal
Revenue Code of 1986 (as added by this section) is provided
after the date of the enactment of this Act.
(2) No claim of confidentiality against disclosure.--The
amendment made by subsection (c) shall take effect as if
included in the amendments made by section 142 of the Deficit
Reduction Act of 1984.
(e) Prior Section To Have No Effect.--Notwithstanding
section 5617(d) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5681. EXTENSION OF STATUTE OF LIMITATIONS FOR
UNDISCLOSED TAX SHELTER.
(a) In General.--Section 6501(c) (relating to exceptions)
is amended by adding at the end the following new paragraph:
``(10) Potentially abusive tax shelters.--If a taxpayer
fails to include on any return or statement for any taxable
year any information with respect to a potentially abusive
tax shelter (as defined in section 6707A(c)) which is
required under section 6011 to be included with such return
or statement, the time for assessment of any tax imposed by
this title with respect to such transaction shall not expire
before the date which is 2 years after the earlier of--
``(A) the date on which the Secretary is furnished the
information so required; or
``(B) the date that a material advisor (as defined in
section 6111) meets the requirements of section 6112 with
respect to a request by the Secretary under section 6112(b)
relating to such transaction with respect to such
taxpayer.''.
(b) Effective Date.--The amendment made by this section
shall apply to taxable years with respect to which the period
for assessing a deficiency did not expire before the date of
the enactment of this Act.
(c) Prior Section To Have No Effect.--Notwithstanding
section 5626(b) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5682. PENALTY FOR FAILING TO REPORT INTERESTS IN FOREIGN
FINANCIAL ACCOUNTS.
(a) In General.--Section 5321(a)(5) of title 31, United
States Code, is amended to read as follows:
``(5) Foreign financial agency transaction violation.--
``(A) Penalty authorized.--The Secretary of the Treasury
may impose a civil money penalty on any person who violates,
or causes any violation of, any provision of section 5314.
``(B) Amount of penalty.--
``(i) In general.--Except as provided in subparagraph (C),
the amount of any civil penalty imposed under subparagraph
(A) shall not exceed $10,000.
``(ii) Reasonable cause exception.--No penalty shall be
imposed under subparagraph (A) with respect to any violation
if--
``(I) such violation was due to reasonable cause, and
``(II) the amount of the transaction or the balance in the
account at the time of the transaction was properly reported.
``(C) Willful violations.--In the case of any person
willfully violating, or willfully causing any violation of,
any provision of section 5314, the amount of the civil
penalty imposed under subparagraph (A) shall be--
``(i) not less than $5,000,
``(ii) not more than 50 percent of the amount determined
under subparagraph (D), and
``(iii) subparagraph (B)(ii) shall not apply.
``(D) Amount.--The amount determined under this
subparagraph is--
``(i) in the case of a violation involving a transaction,
the amount of the transaction, or
``(ii) in the case of a violation involving a failure to
report the existence of an account or any identifying
information required to be provided with respect to an
account, the balance in the account at the time of the
violation.''.
(b) Effective Date.--The amendment made by this section
shall apply to violations occurring after the date of the
enactment of this Act.
(c) Prior Section To Have No Effect.--Notwithstanding
section 5622(b) of this Act, such section, and the amendments
made by such section, shall not take effect.
SEC. 5683. CENSURE, CIVIL FINES, AND TAX OPINION STANDARDS
FOR TAX PRACTITIONERS.
(a) Censure; Imposition of Monetary Penalty.--
(1) In general.--Section 330(b) of title 31, United States
Code, is amended--
(A) by inserting ``, or censure,'' after ``Department'',
and
(B) by adding at the end the following new flush sentence:
``The Secretary may impose a monetary penalty on any
representative described in the preceding sentence. If the
representative was acting on behalf of an employer or any
firm or other entity in connection with the conduct giving
rise to such penalty, the Secretary may impose a monetary
penalty on such employer, firm, or entity if it knew, or
reasonably should have known, of such conduct. Such penalty
may be in addition to, or in lieu of, any suspension,
disbarment, or censure of the representative.''.
(2) Effective date.--The amendments made by this subsection
shall apply to actions taken after the date of the enactment
of this Act.
(b) Tax Opinion Standards.--Section 330 of such title 31 is
amended by adding at the end the following new subsection:
``(d) The Secretary of the Treasury shall impose standards
applicable to the rendering of written advice with respect to
any potentially abusive tax shelter or any entity, plan,
arrangement, or transaction which has a potential for tax
avoidance or evasion. Such standards shall address, but not
be limited to, the following issues:
``(1) Independence of the practitioner issuing such written
advice from persons promoting, marketing, or recommending the
subject of the advice.
``(2) Collaboration among practitioners, or between a
practitioner and other party, which could result in such
collaborating parties having a joint financial interest in
the subject of the advice.
``(3) Avoidance of conflicts of interest which would impair
auditor independence.
``(4) For written advice issued by a firm, standards for
reviewing the advice and ensuring the consensus support of
the firm for positions taken.
``(5) Reliance on reasonable factual representations by the
taxpayer and other parties.
``(6) Appropriateness of the fees charged by the
practitioner for the written advice.''.
(c) Prior Section To Have No Effect.--Notwithstanding
section 5624(a)(2) of this Act, such section, and the
amendments made by such section, shall not take effect.
SEC. 5684. PREVENTING CORPORATE EXPATRIATION TO AVOID UNITED
STATES INCOME TAX.
(a) In General.--Paragraph (4) of section 7701(a) (defining
domestic) is amended to read as follows:
``(4) Domestic.--
``(A) In general.--Except as provided in subparagraph (B),
the term `domestic' when applied to a corporation or
partnership means created or organized in the United States
or under the law of the United States or of any State unless,
in the case of a partnership, the Secretary provides
otherwise by regulations.
``(B) Certain corporations treated as domestic.--
``(i) In general.--The acquiring corporation in a corporate
expatriation transaction shall be treated as a domestic
corporation.
``(ii) Corporate expatriation transaction.--For purposes of
this subparagraph, the term `corporate expatriation
transaction' means any transaction if--
``(I) a nominally foreign corporation (referred to in this
subparagraph as the `acquiring corporation') acquires, as a
result of such
[[Page S1131]]
transaction, directly or indirectly substantially all of the
properties held directly or indirectly by a domestic
corporation, and
``(II) immediately after the transaction, more than 80
percent of the stock (by vote or value) of the acquiring
corporation is held by former shareholders of the domestic
corporation by reason of holding stock in the domestic
corporation.
``(iii) Lower stock ownership requirement in certain
cases.--Subclause (II) of clause (ii) shall be applied by
substituting `50 percent' for `80 percent' with respect to
any nominally foreign corporation if--
``(I) such corporation does not have substantial business
activities (when compared to the total business activities of
the expanded affiliated group) in the foreign country in
which or under the law of which the corporation is created or
organized, and
``(II) the stock of the corporation is publicly traded and
the principal market for the public trading of such stock is
in the United States.
``(iv) Partnership transactions.--The term `corporate
expatriation transaction' includes any transaction if--
``(I) a nominally foreign corporation (referred to in this
subparagraph as the `acquiring corporation') acquires, as a
result of such transaction, directly or indirectly properties
constituting a trade or business of a domestic partnership,
``(II) immediately after the transaction, more than 80
percent of the stock (by vote or value) of the acquiring
corporation is held by former partners of the domestic
partnership or related foreign partnerships (determined
without regard to stock of the acquiring corporation which is
sold in a public offering related to the transaction), and
``(III) the acquiring corporation meets the requirements of
subclauses (I) and (II) of clause (iii).
``(v) Special rules.--For purposes of this subparagraph--
``(I) a series of related transactions shall be treated as
1 transaction, and
``(II) stock held by members of the expanded affiliated
group which includes the acquiring corporation shall not be
taken into account in determining ownership.
``(vi) Other definitions.--For purposes of this
subparagraph--
``(I) Nominally foreign corporation.--The term `nominally
foreign corporation' means any corporation which would (but
for this subparagraph) be treated as a foreign corporation.
``(II) Expanded affiliated group.--The term `expanded
affiliated group' means an affiliated group (as defined in
section 1504(a) without regard to section 1504(b)).
``(III) Related foreign partnership.--A foreign partnership
is related to a domestic partnership if they are under common
control (within the meaning of section 482), or they shared
the same trademark or tradename.''
(b) Effective Dates.--
(1) In general.--The amendment made by this section shall
apply to corporate expatriation transactions completed after
September 11, 2001.
(2) Special rule.--The amendment made by this section shall
also apply to corporate expatriation transactions completed
on or before September 11, 2001, but only with respect to
taxable years of the acquiring corporation beginning after
December 31, 2003.
(c) Prior Section To Have No Effect.--Section 5651(a)(2) of
this Act, and the amendments made by such section, shall not
take effect.
______
SA 2455. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State all counties of which
are located, as of the date of enactment of this section,
within the established 13-State Appalachian region, as
determined by the Appalachian Regional Commission.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $270,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $45,000,000 shall be for fiscal year 2004;
``(B) $45,000,000 shall be for fiscal year 2005;
``(C) $45,000,000 shall be for fiscal year 2006;
``(D) $45,000,000 shall be for fiscal year 2007;
``(E) $45,000,000 shall be for fiscal year 2008; and
``(F) $45,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Transportation Infrastructure Finance and Innovation
Act.--Notwithstanding section 188(a) of title 23, United
States Code, the amount authorized to be appropriated out of
the Highway Trust Fund (other than the Mass Transit Account)
to carry out subchapter II of chapter I of that title shall
be $85,000,000 for each of fiscal years 2004 through 2009.
______
SA 2456. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State all counties of which
are located, as of the date of enactment of this section,
within the established 13-State Appalachian region, as
determined by the Appalachian Regional Commission.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $270,000,000 for
the period of fiscal year 2004.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Infrastructure Performance and Maintenance Program.--
Notwithstanding section 1101(13), the amount authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) for the infrastructure performance and
maintenance program under section 139 of title 23, United
States Code, shall be reduced by $270,000,000 for fiscal year
2004.
______
SA 2457. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr.
[[Page S1132]]
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State all counties of which
are located, as of the date of enactment of this section,
within the established 13-State Appalachian region, as
determined by the Appalachian Regional Commission.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $270,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $45,000,000 shall be for fiscal year 2004;
``(B) $45,000,000 shall be for fiscal year 2005;
``(C) $45,000,000 shall be for fiscal year 2006;
``(D) $45,000,000 shall be for fiscal year 2007;
``(E) $45,000,000 shall be for fiscal year 2008; and
``(F) $45,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Emergency Relief.--Notwithstanding an other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``$255,000,000''.
______
SA 2458. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State all counties of which
are located, as of the date of enactment of this section,
within the established 13-State Appalachian region, as
determined by the Appalachian Regional Commission.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $270,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $45,000,000 shall be for fiscal year 2004;
``(B) $45,000,000 shall be for fiscal year 2005;
``(C) $45,000,000 shall be for fiscal year 2006;
``(D) $45,000,000 shall be for fiscal year 2007;
``(E) $45,000,000 shall be for fiscal year 2008; and
``(F) $45,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Transportation Research.--Notwithstanding any other
provision of this Act, each of the amounts authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) under section 2001, and each of the
amounts limiting obligations under section 2002, shall be
reduced by 10.1 percent.
______
SA 2459. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State all counties of which
are located, as of the date of enactment of this section,
within the established 13-State Appalachian region, as
determined by the Appalachian Regional Commission.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $270,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $45,000,000 shall be for fiscal year 2004;
``(B) $45,000,000 shall be for fiscal year 2005;
``(C) $45,000,000 shall be for fiscal year 2006;
``(D) $45,000,000 shall be for fiscal year 2007;
``(E) $45,000,000 shall be for fiscal year 2008; and
``(F) $45,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Emergency Relief.--Notwithstanding any other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``$277,000,000''.
[[Page S1133]]
(d) Transportation Research.--Notwithstanding any other
provision of this Act, each of the amounts authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) under section 2001, and each of the
amounts limiting obligations under section 2002, shall be
reduced by 5 percent.
______
SA 2460. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $780,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $130,000,000 shall be for fiscal year 2004;
``(B) $130,000,000 shall be for fiscal year 2005;
``(C) $130,000,000 shall be for fiscal year 2006;
``(D) $130,000,000 shall be for fiscal year 2007;
``(E) $130,000,000 shall be for fiscal year 2008; and
``(F) $130,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Emergency Relief.--Notwithstanding any other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``$170,000,000''.
______
SA 2461. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $780,000,000 for
the period of fiscal year 2004.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Infrastructure Performance and Maintenance Program.--
Notwithstanding section 1101(13), the amount authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) for the infrastructure performance and
maintenance program under section 139 of title 23, United
States Code, is hereby reduced by $780,000,000 for fiscal
year 2004.
______
SA 2462. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $780,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $130,000,000 shall be for fiscal year 2004;
``(B) $130,000,000 shall be for fiscal year 2005;
``(C) $130,000,000 shall be for fiscal year 2006;
``(D) $130,000,000 shall be for fiscal year 2007;
[[Page S1134]]
``(E) $130,000,000 shall be for fiscal year 2008; and
``(F) $130,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Infrastructure Performance and Maintenance Program.--
Notwithstanding section 1101(13), the amount authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) for the infrastructure performance and
maintenance program under section 139 of title 23, United
States Code, is hereby reduced by $330,000,000 for fiscal
year 2004.
(d) Emergency Relief.--Notwithstanding any other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``225,000,000''.
______
SA 2463. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $780,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $130,000,000 shall be for fiscal year 2004;
``(B) $130,000,000 shall be for fiscal year 2005;
``(C) $130,000,000 shall be for fiscal year 2006;
``(D) $130,000,000 shall be for fiscal year 2007;
``(E) $130,000,000 shall be for fiscal year 2008; and
``(F) $130,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Transportation Infrastructure Finance and Innovation
Act.--Notwithstanding section 188(a) of title 23, United
States Code, the amount authorized to be appropriated out of
the Highway Trust Fund (other than the Mass Transit Account)
to carry out subchapter II of chapter I of that title shall
be $110,000,000 for each of fiscal years 2004 through 2009.
(d) Emergency Relief.--Notwithstanding any other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``$210,000,000''.
(e) Transportation Research.--Notwithstanding any other
provision of this Act, each of the amounts authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) under section 2001, and each of the
amounts limiting obligations under section 2002, shall be
reduced by 4.5 percent.
______
SA 2464. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are in `final design status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $780,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $130,000,000 shall be for fiscal year 2004;
``(B) $130,000,000 shall be for fiscal year 2005;
``(C) $130,000,000 shall be for fiscal year 2006;
``(D) $130,000,000 shall be for fiscal year 2007;
``(E) $130,000,000 shall be for fiscal year 2008; and
``(F) $130,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Emergency Relief.--Notwithstanding any other provisions
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``$190,000,000''.
(d) Transportation Research.--Notwithstanding any other
provision of this Act, each of the amounts authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) under section 2001, and each of the
amounts limiting obligations under section 2002, shall be
reduced by 4.5 percent.
______
SA 2465. Mr. BYRD submitted an amendment intended to be proposed to
[[Page S1135]]
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $900,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $150,000,000 shall be for fiscal year 2004;
``(B) $150,000,000 shall be for fiscal year 2005;
``(C) $150,000,000 shall be for fiscal year 2006;
``(D) $150,000,000 shall be for fiscal year 2007;
``(E) $150,000,000 shall be for fiscal year 2008; and
``(F) $150,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Emergency Relief.--Notwithstanding any other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``$150,000,000''.
______
SA 2466. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $900,000,000 for
the period of fiscal year 2004.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Infrastructure Performance and Maintenance Program.--
Notwithstanding section 1101(13), the amount authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) for the infrastructure performance and
maintenance program under section 139 of title 23, United
States Code, is hereby reduced by $900,000,000 for fiscal
year 2004.
______
SA 2467. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $900,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $300,000,000 shall be for fiscal year 2004;
``(B) $150,000,000 shall be for fiscal year 2005;
``(C) $150,000,000 shall be for fiscal year 2006;
``(D) $150,000,000 shall be for fiscal year 2007;
``(E) $150,000,000 shall be for fiscal year 2008; and
``(F) $150,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
[[Page S1136]]
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Infrastructure Performance and Maintenance Program.--
Notwithstanding section 1101(13), the amount authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) for the infrastructure performance and
maintenance program under section 139 of title 23, United
States Code, is hereby reduced by 300,000,000 for fiscal year
2004.
(d) Emergency Relief.--Notwithstanding any other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``180,000,000'' for fiscal
years 2005 through 2009.
______
SA 2468. Mr. BYRD submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $900,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $150,000,000 shall be for fiscal year 2004;
``(B) $150,000,000 shall be for fiscal year 2005;
``(C) $150,000,000 shall be for fiscal year 2006;
``(D) $150,000,000 shall be for fiscal year 2007;
``(E) $150,000,000 shall be for fiscal year 2008; and
``(F) $150,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Transportation Infrastructure Finance and Innovation
Act.--Notwithstanding section 188(a) of title 23, United
States Code, the amount authorized to be appropriated out of
the Highway Trust Fund (other than the Mass Transit Account)
to carry out subchapter II of chapter I of that title shall
be $100,000,000 for each of fiscal years 2004 through 2009.
(d) Emergency Relief.--Notwithstanding any other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``$200,000,000''.
(e) Transportation Research.--Notwithstanding any other
provision of this Act, each of the amounts authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) under section 2001, and each of the
amounts limiting obligations under section 2002, shall be
reduced by 4.5 percent.
______
SA 2469. Mr. BOND submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 376, between the matter following line 6 and line
7, insert the following:
SEC. 1816. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM COMPLETION
PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1815(a)), is
amended by adding at the end the following:
``Sec. 178. Appalachian development highway system completion
program
``(a) In General.--The Secretary shall carry out a program,
to be known as the `Appalachian development highway system
completion program' (referred to in this section as the
`program'), to allocate capital funding to expedite the
completion of `ready-to-go' segments of the Appalachian
development highway system.
``(b) Eligible Activities.--A State that receives an
allocation of funds under this section shall use the funds to
construct highways and access roads in accordance with
chapter 145 of title 40.
``(c) Allocation of Funds.--The Secretary shall allocate
funds under the program to each State based on the proportion
that, under the most recent published report of the
Appalachian Regional Commission under section 14501 of title
40--
``(1) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in the State; bears to
``(2) the cost of construction of highways and access roads
that are not in `location status' for the Appalachian
development highway system program in all States.
``(d) Federal Share.--The Federal share of the cost of
carrying out any project or activity using funds allocated
under the program shall be 80 percent.
``(e) Funding.--
``(1) In general.--There shall be available to the
Secretary to carry out this section, from the Highway Trust
Fund (other than the Mass Transit Account), $900,000,000 for
the period of fiscal years 2004 through 2009, of which--
``(A) $150,000,000 shall be for fiscal year 2004;
``(B) $150,000,000 shall be for fiscal year 2005;
``(C) $150,000,000 shall be for fiscal year 2006;
``(D) $150,000,000 shall be for fiscal year 2007;
``(E) $150,000,000 shall be for fiscal year 2008; and
``(F) $150,000,000 shall be for fiscal year 2009.
``(2) Obligation, eligibility, and availability.--Funds
authorized to be appropriated under section 1101(16) of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 and made available under paragraph (1) to
carry out this section--
``(A) shall be available for obligation by the Secretary in
the same manner as if the funds were apportioned under this
chapter;
``(B) shall not be considered in determining the
eligibility of any State to receive funds under section 105;
and
``(C) shall remain available until expended.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code (as amended by
section 1815(b)), is amended by adding at the end the
following:
``178. Appalachian development highway system completion program.''.
(c) Emergency Relief.--Notwithstanding any other provision
of this Act, Section 125(c)(1) of title 23, United States
Code (as amended by section 1822), is amended by striking
``$300,000,000'' and inserting ``$170,000,000''.
(d) Transportation Research.--Notwithstanding any other
provision of this Act, each of the amounts authorized to be
appropriated out of the Highway Trust Fund (other than the
Mass Transit Account) under section 2001, and each of the
amounts limiting obligations under section 2002, shall be
reduced by 4.5 percent.
______
SA 2470. Mr. BYRD submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which
[[Page S1137]]
was ordered to lie on the table; as follows:
On page 677 of the Committee substitute, between the lines
12 and 13, insert the following:
``(ii) $4,821,335 shall be available to the personal rapid
transit system in Morgantown, West Virginia for improvements
to its passengers operations under section 5307;''
______
SA 2471. Mr. BYRD submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the end of the bill, add the following:
TITLE __--SOLID WASTE DISPOSAL
SEC. __01. INCREASED USE OF RECOVERED MINERAL COMPONENT IN
FEDERALLY FUNDED PROJECTS INVOLVING PROCUREMENT
OF CEMENT OR CONCRETE.
(a) Amendment.--Subtitle F of the Solid Waste Disposal Act
(42 U.S.C. 6961 et seq.) is amended by adding at the end the
following new section:
``increased use of recovered mineral component in federally funded
projects involving procurement of cement or concrete
``Sec. 6005. (a) Definitions.--In this section:
``(1) Agency head.--The term `agency head' means--
``(A) the Secretary of Transportation; and
``(B) the head of each other Federal agency that on a
regular basis procures, or provides Federal funds to pay or
assist in paying the cost of procuring, material for cement
or concrete projects.
``(2) Cement or concrete project.--The term `cement or
concrete project' means a project for the construction or
maintenance of a highway or other transportation facility or
a Federal, State, or local government building or other
public facility that--
``(A) involves the procurement of cement or concrete; and
``(B) is carried out in whole or in part using Federal
funds.
``(3) Recovered mineral component.--The term `recovered
mineral component' means--
``(A) ground granulated blast furnace slag;
``(B) coal combustion fly ash; and
``(C) any other waste material or byproduct recovered or
diverted from solid waste that the Administrator, in
consultation with an agency head, determines should be
treated as recovered mineral component under this section for
use in cement or concrete projects paid for, in whole or in
part, by the agency head.
``(b) Implementation of Requirements.--
``(1) In general.--Not later than 1 year after the date of
enactment of this section, the Administrator and each agency
head shall take such actions as are necessary to implement
fully all procurement requirements and incentives in effect
as of the date of enactment of this section (including
guidelines under section 6002) that provide for the use of
cement and concrete incorporating recovered mineral component
in cement or concrete projects.
``(2) Priority.--In carrying out paragraph (1) an agency
head shall give priority to achieving greater use of
recovered mineral component in cement or concrete projects
for which recovered mineral components historically have not
been used or have been used only minimally.
``(3) Conformance.--The Administrator and each agency head
shall carry out this subsection in accordance with section
6002.
``(c) Full Implementation Study.--
``(1) In general.--The Administrator, in cooperation with
the Secretary of Transportation and the Secretary of Energy,
shall conduct a study to determine the extent to which
current procurement requirements, when fully implemented in
accordance with subsection (b), may realize energy savings
and environmental benefits attainable with substitution of
recovered mineral component in cement used in cement or
concrete projects.
``(2) Matters to be addressed.--The study shall--
``(A) quantify the extent to which recovered mineral
components are being substituted for Portland cement,
particularly as a result of current procurement requirements,
and the energy savings and environmental benefits associated
with that substitution;
``(B) identify all barriers in procurement requirements to
greater realization of energy savings and environmental
benefits, including barriers resulting from exceptions from
current law; and
``(C)(i) identify potential mechanisms to achieve greater
substitution of recovered mineral component in types of
cement or concrete projects for which recovered mineral
components historically have not been used or have been used
only minimally;
``(ii) evaluate the feasibility of establishing guidelines
or standards for optimized substitution rates of recovered
mineral component in those cement or concrete projects; and
``(iii) identify any potential environmental or economic
effects that may result from greater substitution of
recovered mineral component in those cement or concrete
projects.
``(3) Report.--Not later than 30 months after the date of
enactment of this section, the Administrator shall submit to
Congress a report on the study.
``(d) Additional Procurement Requirements.--Unless the
study conducted under subsection (c) identifies any effects
or other problems described in subsection (c)(2)(C)(iii) that
warrant further review or delay, the Administrator and each
agency head shall, not later than 1 year after the release of
the report in accordance with subsection (c)(3), take
additional actions authorized under this Act to establish
procurement requirements and incentives that provide for the
use of cement and concrete with increased substitution of
recovered mineral component in the construction and
maintenance of cement or concrete projects, so as to--
``(1) realize more fully the energy savings and
environmental benefits associated with increased
substitution; and
``(2) eliminate barriers identified under subsection (c).
``(e) Effect of Section.--Nothing in this section affects
the requirements of section 6002 (including the guidelines
and specifications for implementing those requirements).''.
(b) Table of Contents Amendment.--The table of contents of
the Solid Waste Disposal Act is amended by adding after the
item relating to section 6004 the following new item:
``Sec. 6005. Increased use of recovered mineral component in federally
funded projects involving procurement of cement or
concrete.''.
SEC. __02. USE OF GRANULAR MINE TAILINGS.
(a) Amendment.--Subtitle F of the Solid Waste Disposal Act
(42 U.S.C. 6961 et seq.) (as amended by section __01(a)) is
amended by adding at the end the following:
``SEC. 6006. USE OF GRANULAR MINE TAILINGS.
``(a) Mine Tailings.--
``(1) In general.--Not later than 180 days after the date
of enactment of this section, the Administrator, in
consultation with the Secretary of Transportation and heads
of other Federal agencies, shall establish criteria
(including an evaluation of whether to establish a numerical
standard for concentration of lead and other hazardous
substances) for the safe and environmentally protective use
of granular mine tailings from the Tar Creek, Oklahoma Mining
District, known as `chat', for--
``(A) cement or concrete projects; and
``(B) transportation construction projects (including
transportation construction projects involving the use of
asphalt) that are carried out, in whole or in part, using
Federal funds.
``(2) Requirements.--In establishing criteria under
paragraph (1), the Administrator shall consider--
``(A) the current and previous uses of granular mine
tailings as an aggregate for asphalt; and
``(B) any environmental and public health risks and
benefits derived from the removal, transportation, and use in
transportation projects of granular mine tailings.
``(3) Public participation.--In establishing the criteria
under paragraph (1), the Administrator shall solicit and
consider comments from the public.
``(4) Applicability of criteria.--On the establishment of
the criteria under paragraph (1), any use of the granular
mine tailings described in paragraph (1) in a transportation
project that is carried out, in whole or in part, using
Federal funds, shall meet the criteria established under
paragraph (1).
``(b) Effect of Sections.--Nothing in this section or
section 6005 affects any requirement of any law (including a
regulation) in effect on the date of enactment of this
section.''.
(b) Conforming Amendment.--The table of contents of the
Solid Waste Disposal Act (42 U.S.C. prec. 6901) (as amended
by section __01(b)) is amended by adding at the end of the
items relating to subtitle F the following:
``Sec. 6006. Use of granular mine tailings.''.
______
SA 2472. Mr. CHAFEE submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 715, strike line 1, and insert the following:
SEC. 3044. HUMAN RESOURCE PROGRAMS.
Section 5322 is amended--
(1) by striking ``The Secretary of Transportation'' and
inserting the following:
``(a) In General.--The Secretary''; and
(2) by adding at the end the following:
``(b) Nationwide Transit Employee Job Training Partnership
Program.--
``(1) Establishment.--The Secretary shall contract with a
national non-profit organization to establish a nationwide
transit employee job training partnership program to respond
to technological changes in the industry, with emphasis given
to maintenance.
``(2) Requirement.--The non-profit organization referred to
in paragraph (1) shall have demonstrated the capacity to
develop and provide career ladder training programs.
``(3) Allocation.--From the amounts made available under
section 5314(a), the Secretary shall make available not less
than $2,000,000 to carry out the provisions in this
subsection.''.
[[Page S1138]]
SEC. 3045. INTERMODAL PASSENGER FACILITIES.
______
SA 2473. Mr. KYL submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Strike title V and insert the following:
TITLE V--HIGHWAY REAUTHORIZATION AND EXCISE TAX SIMPLIFICATION
SEC. 5000. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF
CONTENTS.
(a) Short Title.--This title may be cited as the ``Highway
Reauthorization and Excise Tax Simplification Act of 2004''.
(b) Amendment of 1986 Code.--Except as otherwise expressly
provided, whenever in this title an amendment or repeal is
expressed in terms of an amendment to, or repeal of, a
section or other provision, the reference shall be considered
to be made to a section or other provision of the Internal
Revenue Code of 1986.
(c) Table of Contents.--The table of contents for this
title is as follows:
TITLE V--HIGHWAY REAUTHORIZATION AND EXCISE TAX SIMPLIFICATION
Sec. 5000. Short title; amendment of 1986 code; table of contents.
Subtitle A--Trust Fund Reauthorization
Sec. 5001. Extension of Highway Trust Fund and Aquatic Resources Trust
Fund expenditure authority and related taxes.
Sec. 5002. Full accounting of funds received by the Highway Trust Fund.
Sec. 5003. Modification of adjustments of apportionments.
Subtitle B--Biodiesel Income Tax Credit
Sec. 5101. Biodiesel income tax credit.
Subtitle C--Fuel Fraud Prevention
Sec. 5200. Short title.
Part I--Aviation Jet Fuel
Sec. 5211. Taxation of aviation-grade kerosene.
Sec. 5212. Transfer of certain amounts from the Airport and Airway
Trust Fund to the Highway Trust Fund to reflect highway
use of jet fuel.
Part II--Dyed Fuel
Sec. 5221. Dye injection equipment.
Sec. 5222. Elimination of administrative review for taxable use of dyed
fuel.
Sec. 5223. Penalty on untaxed chemically altered dyed fuel mixtures.
Sec. 5224. Termination of dyed diesel use by intercity buses.
Part III--Modification of Inspection of Records Provisions
Sec. 5231. Authority to inspect on-site records.
Sec. 5232. Assessable penalty for refusal of entry.
Part IV--Registration and Reporting Requirements
Sec. 5241. Registration of pipeline or vessel operators required for
exemption of bulk transfers to registered terminals or
refineries.
Sec. 5242. Display of registration.
Sec. 5243. Registration of persons within foreign trade zones.
Sec. 5244. Penalties for failure to register and failure to report.
Sec. 5245. Information reporting for persons claiming certain tax
benefits.
Part V--Imports
Sec. 5251. Tax at point of entry where importer not registered.
Sec. 5252. Reconciliation of on-loaded cargo to entered cargo.
Part VI--Miscellaneous Provisions
Sec. 5261. Tax on sale of diesel fuel whether suitable for use or not
in a diesel-powered vehicle or train.
Sec. 5262. Modification of ultimate vendor refund claims with respect
to farming.
Sec. 5263. Taxable fuel refunds for certain ultimate vendors.
Sec. 5264. Two-party exchanges.
Sec. 5265. Modifications of tax on use of certain vehicles.
Sec. 5266. Dedication of revenues from certain penalties to the Highway
Trust Fund.
Sec. 5267. Nonapplication of export exemption to delivery of fuel to
motor vehicles removed from United States.
Part VII--Total Accountability
Sec. 5271. Total accountability.
Sec. 5272. Excise tax reporting.
Sec. 5273. Information reporting.
Subtitle D--Definition of Highway Vehicle
Sec. 5301. Exemption from certain excise taxes for mobile machinery.
Sec. 5302. Modification of definition of off-highway vehicle.
Subtitle E--Excise Tax Reform and Simplification
Part I--Highway Excise Taxes
Sec. 5401. Dedication of gas guzzler tax to Highway Trust Fund.
Sec. 5402. Repeal certain excise taxes on rail diesel fuel and inland
waterway barge fuels.
Part II--Aquatic Excise Taxes
Sec. 5411. Elimination of Aquatic Resources Trust Fund and
transformation of Sport Fish Restoration Account.
Sec. 5412. Exemption of LED devices from sonar devices suitable for
finding fish.
Sec. 5413. Repeal of harbor maintenance tax on exports.
Sec. 5414. Cap on excise tax on certain fishing equipment.
Sec. 5415. Reduction in rate of tax on portable aerated bait
containers.
Part III--Aerial Excise Taxes
Sec. 5421. Clarification of excise tax exemptions for agricultural
aerial applicators and exemption for fixed-wing aircraft
engaged in forestry operations.
Sec. 5422. Modification of rural airport definition.
Sec. 5423. Exemption from ticket taxes for transportation provided by
seaplanes.
Sec. 5424. Certain sightseeing flights exempt from taxes on air
transportation.
Part IV--Alcoholic Beverage Excise Taxes
Sec. 5431. Repeal of special occupational taxes on producers and
marketers of alcoholic beverages.
Sec. 5432. Suspension of limitation on rate of rum excise tax cover
over to Puerto Rico and Virgin Islands.
Part V--Sport Excise Taxes
Sec. 5441. Custom gunsmiths.
Sec. 5442. Modified taxation of imported archery products.
Sec. 5443. Treatment of tribal governments for purposes of Federal
wagering excise and occupational taxes.
Part VI--Other Provisions
Sec. 5451. Income tax credit for distilled spirits wholesalers and for
distilled spirits in control State bailment warehouses
for costs of carrying Federal excise taxes on bottled
distilled spirits.
Sec. 5452. Credit for taxpayers owning commercial power takeoff
vehicles.
Sec. 5453. Credit for auxiliary power units installed on diesel-powered
trucks.
Subtitle F--Miscellaneous Provisions
Sec. 5501. Motor Fuel Tax Enforcement Advisory Commission.
Sec. 5502. National Surface Transportation Infrastructure Financing
Commission.
Sec. 5503. Treasury study of fuel tax compliance and interagency
cooperation.
Sec. 5504. Expansion of Highway Trust Fund expenditure purposes to
include funding for studies of supplemental or
alternative financing for the Highway Trust Fund.
Sec. 5505. Treasury study of highway fuels used by trucks for non-
transportation purposes.
Sec. 5506. Delta regional transportation plan.
Sec. 5507. Treatment of employer-provided transit and van pooling
benefits.
Sec. 5508. Study of incentives for production of biodiesel.
Sec. 5509. Reduction of expenditures from the Highway Trust Fund.
Subtitle G--Revenue Offsets
Part I--Limitation on Expensing Certain Passengers Automobiles
Sec. 5601. Expansion of limitation on depreciation of certain passenger
automobiles.
Part II--Provision To Replenish the General Fund
Sec. 5611. Modification to corporate estimated tax requirements.
Subtitle A--Trust Fund Reauthorization
SEC. 5001. EXTENSION OF HIGHWAY TRUST FUND AND AQUATIC
RESOURCES TRUST FUND EXPENDITURE AUTHORITY AND
RELATED TAXES.
(a) Highway Trust Fund Expenditure Authority.--
(1) Highway account.--Paragraph (1) of section 9503(c)
(relating to transfers from Highway Trust Fund for certain
repayments and credits) is amended--
(A) in the matter before subparagraph (A), by striking
``March 1, 2004'' and inserting ``October 1, 2009'',
(B) by striking ``or'' at the end of subparagraph (E),
(C) by striking the period at the end of subparagraph (F)
and inserting ``, or'',
(D) by inserting after subparagraph (F), the following new
subparagraph:
``(G) authorized to be paid out of the Highway Trust Fund
under the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004.'', and
(E) in the matter after subparagraph (G), as added by
subparagraph (D), by striking ``Surface Transportation
Extension Act of 2003'' and inserting ``Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004''.
(2) Mass transit account.--Paragraph (3) of section 9503(e)
(relating to establishment of Mass Transit Account) is
amended--
(A) in the matter before subparagraph (A), by striking
``March 1, 2004'' and inserting ``October 1, 2009'',
(B) by striking ``or'' at the end of subparagraph (C),
[[Page S1139]]
(C) by striking the period at the end of subparagraph (D)
and inserting ``, or'',
(D) by inserting after subparagraph (D), the following new
subparagraph:
``(E) the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2004,'', and
(E) in the matter after subparagraph (E), as added by
subparagraph (D), by striking ``Surface Transportation
Extension Act of 2003'' and inserting ``Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004''.
(3) Exception to limitation on transfers.--Subparagraph (B)
of section 9503(b)(5) (relating to limitation on transfers to
Highway Trust Fund) is amended by striking ``March 1, 2004''
and inserting ``October 1, 2009''.
(b) Aquatic Resources Trust Fund Expenditure Authority.--
(1) Sport fish restoration account.--Paragraph (2) of
section 9504(b) (relating to Sport Fish Restoration Account)
is amended by striking ``Surface Transportation Extension Act
of 2003'' each place it appears and inserting ``Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2004''.
(2) Boat safety account.--Section 9504(c) (relating to
expenditures from Boat Safety Account) is amended--
(A) by striking ``March 1, 2004'' and inserting ``October
1, 2009'', and
(B) by striking ``Surface Transportation Extension Act of
2003'' and inserting ``Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2004''.
(3) Exception to limitation on transfers.--Paragraph (2) of
section 9504(d) (relating to limitation on transfers to
Aquatic Resources Trust Fund) is amended by striking ``March
1, 2004'' and inserting ``October 1, 2009''.
(4) Technical correction.--The last sentence of paragraph
(2) of section 9504(b) is amended by striking ``subparagraph
(B)'', and inserting ``subparagraph (C)''.
(c) Extension of Taxes.--
(1) In general.--The following provisions are each amended
by striking ``2005'' each place it appears and inserting
``2009'':
(A) Section 4041(a)(1)(C)(iii)(I) (relating to rate of tax
on certain buses).
(B) Section 4041(a)(2)(B) (relating to rate of tax on
special motor fuels).
(C) Section 4041(m)(1)(A) (relating to certain alcohol
fuels produced from natural gas).
(D) Section 4051(c) (relating to termination of tax on
heavy trucks and trailers).
(E) Section 4071(d) (relating to termination of tax on
tires).
(F) Section 4081(d)(1) (relating to termination of tax on
gasoline, diesel fuel, and kerosene).
(G) Section 4481(e) (relating to period tax in effect).
(H) Section 4482(c)(4) (relating to taxable period).
(I) Section 4482(d) (relating to special rule for taxable
period in which termination date occurs).
(2) Floor stocks refunds.--Section 6412(a)(1) (relating to
floor stocks refunds) is amended--
(A) by striking ``2005'' each place it appears and
inserting ``2009'', and
(B) by striking ``2006'' each place it appears and
inserting ``2010''.
(d) Extension of Certain Exemptions.--The following
provisions are each amended by striking ``2005'' and
inserting ``2009'':
(1) Section 4221(a) (relating to certain tax-free sales).
(2) Section 4483(g) (relating to termination of exemptions
for highway use tax).
(e) Extension of Deposits Into, and Certain Transfers From,
Trust Fund.--
(1) In general.--Subsections (b), (c)(2), (c)(3),
(c)(4)(A)(i), and (c)(5)(A) of section 9503 (relating to the
Highway Trust Fund) are amended--
(A) by striking ``2005'' each place it appears and
inserting ``2009'', and
(B) by striking ``2006'' each place it appears and
inserting ``2010''.
(2) Conforming amendments to land and water conservation
fund.--Section 201(b) of the Land and Water Conservation Fund
Act of 1965 (16 U.S.C. 460l-11(b)) is amended--
(A) by striking ``2003'' and inserting ``2007'', and
(B) by striking ``2004'' each place it appears and
inserting ``2008''.
(f) Extension of Tax Benefits for Qualified Methanol and
Ethanol Fuel Produced From Coal.--Section 4041(b)(2)
(relating to qualified methanol and ethanol fuel) is
amended--
(1) by striking ``2007'' in subparagraph (C)(ii) and
inserting ``2010'', and
(2) by striking ``October 1, 2007'' in subparagraph (D) and
inserting ``January 1, 2011''.
(g) Prohibition on Use of Highway Account for Rail
Projects.--Section 9503(c) (relating to transfers from
Highway Trust Fund for certain repayments and credits) is
amended by adding at the end the following new paragraph:
``(6) Prohibition on use of highway account for rail
projects.--With respect to projects beginning after the date
of the enactment of this paragraph, no amount shall be
available from the Highway Account (as defined in subsection
(e)(5)(B)) for any rail project.''.
(h) Highway Trust Fund Expenditures for Highway Use Tax
Evasion Projects.--From amounts available in the Highway
Trust Fund, there is authorized to be expended such sums as
are necessary for highway use tax evasion projects.
(i) Effective Date.--The amendments made by and provisions
of this section shall take effect on the date of the
enactment of this Act.
SEC. 5002. FULL ACCOUNTING OF FUNDS RECEIVED BY THE HIGHWAY
TRUST FUND.
(a) In General.--Section 9503(c) (relating to transfers
from Highway Trust Fund for certain repayments and credits),
as amended by section 5001 of this Act, is amended by
striking paragraph (2) and redesignating paragraphs (3), (4),
(5), and (6) as paragraphs (2), (3), (4), and (5),
respectively.
(b) Interest on Unexpended Balances Credited to Trust
Fund.--Section 9503 (relating to the Highway Trust Fund) is
amended by striking subsection (f).
(c) Conforming Amendments.--
(1) Section 9503(b)(4)(D) is amended by striking
``paragraph (4)(D) or (5)(B)'' and inserting ``paragraph
(3)(D) or (4)(B)''.
(2) Paragraph (2) of section 9503(c) (as redesignated by
subsection (a)) is amended by adding at the end the following
new sentence: ``The amounts payable from the Highway Trust
Fund under this paragraph shall be determined by taking into
account only the portion of the taxes which are deposited
into the Highway Trust Fund.''.
(3) Section 9504(a)(2) is amended by striking ``section
9503(c)(4), section 9503(c)(5)'' and inserting ``section
9503(c)(3), section 9503(c)(4)''.
(4) Paragraph (2) of section 9504(b), as amended by section
5001 of this Act, is amended by striking ``section
9503(c)(5)'' and inserting ``section 9503(c)(4)''.
(5) Section 9504(e) is amended by striking ``section
9503(c)(4)'' and inserting ``section 9503(c)(3)''.
(d) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to amounts paid
for which no transfer from the Highway Trust Fund has been
made before April 1, 2004.
(2) Interest credited.--The amendment made by subsection
(b) shall take effect on the date of the enactment of this
Act.
SEC. 5003. MODIFICATION OF ADJUSTMENTS OF APPORTIONMENTS.
(a) In General.--Section 9503(d) (relating to adjustments
for apportionments) is amended--
(1) by striking ``24-month'' in paragraph (1)(B) and
inserting ``48-month'', and
(2) by striking ``2 years''' in the heading for paragraph
(3) and inserting ``4 years'''.
(b) Measurement of Net Highway Receipts.--Section 9503(d)
is amended by redesignating paragraph (6) as paragraph (7)
and by inserting after paragraph (5) the following new
paragraph:
``(6) Measurement of net highway receipts.--For purposes of
making any estimate under paragraph (1) of net highway
receipts for periods ending after the date specified in
subsection (b)(1), the Secretary shall treat--
``(A) each expiring provision of subsection (b) which is
related to appropriations or transfers to the Highway Trust
Fund to have been extended through the end of the 48-month
period referred to in paragraph (1)(B), and
``(B) with respect to each tax imposed under the sections
referred to in subsection (b)(1), the rate of such tax during
the 48-month period referred to in paragraph (1)(B) to be the
same as the rate of such tax as in effect on the date of such
estimate.''.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
Subtitle B--Biodiesel Income Tax Credit
SEC. 5101. BIODIESEL INCOME TAX CREDIT.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business related credits) is amended
by inserting after section 40 the following new section:
``SEC. 40A. BIODIESEL USED AS FUEL.
``(a) General Rule.--For purposes of section 38, the
biodiesel fuels credit determined under this section for the
taxable year is an amount equal to the sum of--
``(1) the biodiesel mixture credit, plus
``(2) the biodiesel credit.
``(b) Definition of Biodiesel Mixture Credit and Biodiesel
Credit.--For purposes of this section--
``(1) Biodiesel mixture credit.--
``(A) In general.--The biodiesel mixture credit of any
taxpayer for any taxable year is 50 cents for each gallon of
biodiesel used by the taxpayer in the production of a
qualified biodiesel mixture.
``(B) Qualified biodiesel mixture.--The term `qualified
biodiesel mixture' means a mixture of biodiesel and diesel
fuel (as defined in section 4083(a)(3)), determined without
regard to any use of kerosene, which--
``(i) is sold by the taxpayer producing such mixture to any
person for use as a fuel, or
``(ii) is used as a fuel by the taxpayer producing such
mixture.
``(C) Sale or use must be in trade or business, etc.--
Biodiesel used in the production of a qualified biodiesel
mixture shall be taken into account--
``(i) only if the sale or use described in subparagraph (B)
is in a trade or business of the taxpayer, and
``(ii) for the taxable year in which such sale or use
occurs.
``(D) Casual off-farm production not eligible.--No credit
shall be allowed under this section with respect to any
casual off-farm production of a qualified biodiesel mixture.
``(2) Biodiesel credit.--
``(A) In general.--The biodiesel credit of any taxpayer for
any taxable year is 50 cents
[[Page S1140]]
for each gallon of biodiesel which is not in a mixture with
diesel fuel and which during the taxable year--
``(i) is used by the taxpayer as a fuel in a trade or
business, or
``(ii) is sold by the taxpayer at retail to a person and
placed in the fuel tank of such person's vehicle.
``(B) User credit not to apply to biodiesel sold at
retail.--No credit shall be allowed under subparagraph (A)(i)
with respect to any biodiesel which was sold in a retail sale
described in subparagraph (A)(ii).
``(3) Credit for agri-biodiesel.--In the case of any
biodiesel which is agri-biodiesel, paragraphs (1)(A) and
(2)(A) shall be applied by substituting `$1.00' for `50
cents'.
``(4) Certification for biodiesel.--No credit shall be
allowed under this section unless the taxpayer obtains a
certification (in such form and manner as prescribed by the
Secretary) from the producer or importer of the biodiesel
which identifies the product produced and the percentage of
biodiesel and agri-biodiesel in the product.
``(c) Coordination With Credit Against Excise Tax.--The
amount of the credit determined under this section with
respect to any biodiesel shall be properly reduced to take
into account any benefit provided with respect to such
biodiesel solely by reason of the application of section 6426
or 6427(e).
``(d) Definitions and Special Rules.--For purposes of this
section--
``(1) Biodiesel.--The term `biodiesel' means the monoalkyl
esters of long chain fatty acids derived from plant or animal
matter which meet--
``(A) the registration requirements for fuels and fuel
additives established by the Environmental Protection Agency
under section 211 of the Clean Air Act (42 U.S.C. 7545), and
``(B) the requirements of the American Society of Testing
and Materials D6751.
``(2) Agri-biodiesel.--The term `agri-biodiesel' means
biodiesel derived solely from virgin oils, including esters
derived from virgin vegetable oils from corn, soybeans,
sunflower seeds, cottonseeds, canola, crambe, rapeseeds,
safflowers, flaxseeds, rice bran, and mustard seeds, and from
animal fats.
``(3) Mixture or biodiesel not used as a fuel, etc.--
``(A) Mixtures.--If--
``(i) any credit was determined under this section with
respect to biodiesel used in the production of any qualified
biodiesel mixture, and
``(ii) any person--
``(I) separates the biodiesel from the mixture, or
``(II) without separation, uses the mixture other than as a
fuel,
then there is hereby imposed on such person a tax equal to
the product of the rate applicable under subsection (b)(1)(A)
and the number of gallons of such biodiesel in such mixture.
``(B) Biodiesel.--If--
``(i) any credit was determined under this section with
respect to the retail sale of any biodiesel, and
``(ii) any person mixes such biodiesel or uses such
biodiesel other than as a fuel,
then there is hereby imposed on such person a tax equal to
the product of the rate applicable under subsection (b)(2)(A)
and the number of gallons of such biodiesel.
``(C) Applicable laws.--All provisions of law, including
penalties, shall, insofar as applicable and not inconsistent
with this section, apply in respect of any tax imposed under
subparagraph (A) or (B) as if such tax were imposed by
section 4081 and not by this chapter.
``(4) Pass-thru in the case of estates and trusts.--Under
regulations prescribed by the Secretary, rules similar to the
rules of subsection (d) of section 52 shall apply.
``(e) Termination.--This section shall not apply to any
sale or use after December 31, 2006.''.
(b) Credit Treated as Part of General Business Credit.--
Section 38(b) (relating to current year business credit) is
amended by striking ``plus'' at the end of paragraph (14), by
striking the period at the end of paragraph (15) and
inserting ``, plus'', and by adding at the end the following
new paragraph:
``(16) the biodiesel fuels credit determined under section
40A(a).''.
(c) Conforming Amendments.--
(1) Section 39(d) is amended by adding at the end the
following new paragraph:
``(11) No carryback of biodiesel fuels credit before
effective date.--No portion of the unused business credit for
any taxable year which is attributable to the biodiesel fuels
credit determined under section 40A may be carried back to a
taxable year ending on or before September 30, 2004.''.
(2)(A) Section 87 is amended to read as follows:
``SEC. 87. ALCOHOL AND BIODIESEL FUELS CREDITS.
``Gross income includes--
``(1) the amount of the alcohol fuels credit determined
with respect to the taxpayer for the taxable year under
section 40(a), and
``(2) the biodiesel fuels credit determined with respect to
the taxpayer for the taxable year under section 40A(a).''.
(B) The item relating to section 87 in the table of
sections for part II of subchapter B of chapter 1 is amended
by striking ``fuel credit'' and inserting ``and biodiesel
fuels credits''.
(3) Section 196(c) is amended by striking ``and'' at the
end of paragraph (9), by striking the period at the end of
paragraph (10) and inserting ``, and'', and by adding at the
end the following new paragraph:
``(11) the biodiesel fuels credit determined under section
40A(a).''.
(4) The table of sections for subpart D of part IV of
subchapter A of chapter 1 is amended by adding after the item
relating to section 40 the following new item:
``Sec. 40A. Biodiesel used as fuel.''.
(d) Effective Date.--The amendments made by this section
shall apply to fuel produced, and sold or used, after
September 30, 2004, in taxable years ending after such date.
Subtitle C--Fuel Fraud Prevention
SEC. 5200. SHORT TITLE.
This subtitle may be cited as the ``Fuel Fraud Prevention
Act of 2004''.
PART I--AVIATION JET FUEL
SEC. 5211. TAXATION OF AVIATION-GRADE KEROSENE.
(a) Rate of Tax.--
(1) In general.--Subparagraph (A) of section 4081(a)(2) is
amended by striking ``and'' at the end of clause (ii), by
striking the period at the end of clause (iii) and inserting
``, and'', and by adding at the end the following new clause:
``(iv) in the case of aviation-grade kerosene, 21.8 cents
per gallon.''.
(2) Commercial aviation.--Paragraph (2) of section 4081(a)
is amended by adding at the end the following new
subparagraph:
``(C) Taxes imposed on fuel used in commercial aviation.--
In the case of aviation-grade kerosene which is removed from
any refinery or terminal directly into the fuel tank of an
aircraft for use in commercial aviation, the rate of tax
under subparagraph (A)(iv) shall be 4.3 cents per gallon.''.
(3) Nontaxable uses.--
(A) In general.--Section 4082 is amended by redesignating
subsections (e) and (f) as subsections (f) and (g),
respectively, and by inserting after subsection (d) the
following new subsection:
``(e) Aviation-Grade Kerosene.--In the case of aviation-
grade kerosene which is exempt from the tax imposed by
section 4041(c) (other than by reason of a prior imposition
of tax) and which is removed from any refinery or terminal
directly into the fuel tank of an aircraft, the rate of tax
under section 4081(a)(2)(A)(iv) shall be zero.''.
(B) Conforming amendments.--
(i) Subsection (b) of section 4082 is amended by adding at
the end the following new flush sentence: ``The term
`nontaxable use' does not include the use of aviation-grade
kerosene in an aircraft.''.
(ii) Section 4082(d) is amended by striking paragraph (1)
and by redesignating paragraphs (2) and (3) as paragraphs (1)
and (2), respectively.
(4) Nonaircraft use of aviation-grade kerosene.--
(A) In general.--Subparagraph (B) of section 4041(a)(1) is
amended by adding at the end the following new sentence:
``This subparagraph shall not apply to aviation-grade
kerosene.''.
(B) Conforming amendment.--The heading for paragraph (1) of
section 4041(a) is amended by inserting ``and kerosene''
after ``diesel fuel''.
(b) Commercial Aviation.--Section 4083 is amended
redesignating subsections (b) and (c) as subsections (c) and
(d), respectively, and by inserting after subsection (a) the
following new subsection:
``(b) Commercial Aviation.--For purposes of this subpart,
the term `commercial aviation' means any use of an aircraft
in a business of transporting persons or property for
compensation or hire by air, unless properly allocable to any
transportation exempt from the taxes imposed by section 4261
and 4271 by reason of section 4281 or 4282 or by reason of
section 4261(h).''.
(c) Refunds.--
(1) In general.--Paragraph (4) of section 6427(l) is
amended to read as follows:
``(4) Refunds for aviation-grade kerosene.--
``(A) No refund of certain taxes on fuel used in commercial
aviation.--In the case of aviation-grade kerosene used in
commercial aviation (as defined in section 4083(b)) (other
than supplies for vessels or aircraft within the meaning of
section 4221(d)(3)), paragraph (1) shall not apply to so much
of the tax imposed by section 4081 as is attributable to--
``(i) the Leaking Underground Storage Tank Trust Fund
financing rate imposed by such section, and
``(ii) so much of the rate of tax specified in section
4081(a)(2)(A)(iv) as does not exceed 4.3 cents per gallon.
``(B) Payment to ultimate, registered vendor.--With respect
to aviation-grade kerosene, if the ultimate purchaser of such
kerosene waives (at such time and in such form and manner as
the Secretary shall prescribe) the right to payment under
paragraph (1) and assigns such right to the ultimate vendor,
then the Secretary shall pay the amount which would be paid
under paragraph (1) to such ultimate vendor, but only if such
ultimate vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).''.
(2) Time for filing claims.--Paragraph (4) of section
6427(i) is amended by striking ``subsection (l)(5)'' and
inserting ``paragraph (4)(B) or (5) of subsection (l)''.
(3) Conforming amendment.--Subparagraph (B) of section
6427(l)(2) is amended to read as follows:
``(B) in the case of aviation-grade kerosene--
[[Page S1141]]
``(i) any use which is exempt from the tax imposed by
section 4041(c) other than by reason of a prior imposition of
tax, or
``(ii) any use in commercial aviation (within the meaning
of section 4083(b)).''.
(d) Repeal of Prior Taxation of Aviation Fuel.--
(1) In general.--Part III of subchapter A of chapter 32 is
amended by striking subpart B and by redesignating subpart C
as subpart B.
(2) Conforming amendments.--
(A) Section 4041(c) is amended to read as follows:
``(c) Aviation-Grade Kerosene.--
``(1) In general.--There is hereby imposed a tax upon
aviation-grade kerosene--
``(A) sold by any person to an owner, lessee, or other
operator of an aircraft for use in such aircraft, or
``(B) used by any person in an aircraft unless there was a
taxable sale of such fuel under subparagraph (A).
``(2) Exemption for previously taxed fuel.--No tax shall be
imposed by this subsection on the sale or use of any
aviation-grade kerosene if tax was imposed on such liquid
under section 4081 and the tax thereon was not credited or
refunded.
``(3) Rate of tax.--The rate of tax imposed by this
subsection shall be the rate of tax specified in section
4081(a)(2)(A)(iv) which is in effect at the time of such sale
or use.''.
(B) Section 4041(d)(2) is amended by striking ``section
4091'' and inserting ``section 4081''.
(C) Section 4041 is amended by striking subsection (e).
(D) Section 4041 is amended by striking subsection (i).
(E) Section 4041(m)(1) is amended to read as follows:
``(1) In general.--In the case of the sale or use of any
partially exempt methanol or ethanol fuel, the rate of the
tax imposed by subsection (a)(2) shall be--
``(A) after September 30, 1997, and before September 30,
2009--
``(i) in the case of fuel none of the alcohol in which
consists of ethanol, 9.15 cents per gallon, and
``(ii) in any other case, 11.3 cents per gallon, and
``(B) after September 30, 2009--
``(i) in the case of fuel none of the alcohol in which
consists of ethanol, 2.15 cents per gallon, and
``(ii) in any other case, 4.3 cents per gallon.''.
(F) Sections 4101(a), 4103, 4221(a), and 6206 are each
amended by striking ``, 4081, or 4091'' and inserting ``or
4081''.
(G) Section 6416(b)(2) is amended by striking ``4091 or''.
(H) Section 6416(b)(3) is amended by striking ``or 4091''
each place it appears.
(I) Section 6416(d) is amended by striking ``or to the tax
imposed by section 4091 in the case of refunds described in
section 4091(d)''.
(J) Section 6427(j)(1) is amended by striking ``, 4081, and
4091'' and inserting ``and 4081''.
(K)(i) Section 6427(l)(1) is amended to read as follows:
``(1) In general.--Except as otherwise provided in this
subsection and in subsection (k), if any diesel fuel or
kerosene on which tax has been imposed by section 4041 or
4081 is used by any person in a nontaxable use, the Secretary
shall pay (without interest) to the ultimate purchaser of
such fuel an amount equal to the aggregate amount of tax
imposed on such fuel under section 4041 or 4081, as the case
may be, reduced by any refund paid to the ultimate vendor
under paragraph (4)(B).''.
(ii) Paragraph (5)(B) of section 6427(l) is amended by
striking ``Paragraph (1)(A) shall not apply to kerosene'' and
inserting ``Paragraph (1) shall not apply to kerosene (other
than aviation-grade kerosene)''.
(L) Subparagraph (B) of section 6724(d)(1) is amended by
striking clause (xv) and by redesignating the succeeding
clauses accordingly.
(M) Paragraph (2) of section 6724(d) is amended by striking
subparagraph (W) and by redesignating the succeeding
subparagraphs accordingly.
(N) Paragraph (1) of section 9502(b) is amended by adding
``and'' at the end of subparagraph (B) and by striking
subparagraphs (C) and (D) and inserting the following new
subparagraph:
``(C) section 4081 with respect to aviation gasoline and
aviation-grade kerosene, and''.
(O) The last sentence of section 9502(b) is amended to read
as follows:
``There shall not be taken into account under paragraph (1)
so much of the taxes imposed by section 4081 as are
determined at the rate specified in section 4081(a)(2)(B).''.
(P) Subsection (b) of section 9508 is amended by striking
paragraph (3) and by redesignating paragraphs (4) and (5) as
paragraphs (3) and (4), respectively.
(Q) Section 9508(c)(2)(A) is amended by striking ``sections
4081 and 4091'' and inserting ``section 4081''.
(R) The table of subparts for part III of subchapter A of
chapter 32 is amended to read as follows:
``Subpart A. Motor and aviation fuels.
``Subpart B. Special provisions applicable to fuels tax.''.
(S) The heading for subpart A of part III of subchapter A
of chapter 32 is amended to read as follows:
``Subpart A--Motor and Aviation Fuels''.
(T) The heading for subpart B of part III of subchapter A
of chapter 32 is amended to read as follows:
``Subpart B--Special Provisions Applicable to Fuels Tax''.
(g) Other Amendments.--
(1) Section 4081(c) is amended by adding at the end the
following new flush sentence:
``In the case of any taxable fuel which is aviation-grade
keorsene, this subsection shall not apply and the rules of
section 4091(c) (as in effect on the day before the date of
the enactment of the Fuel Fraud Prevention Act of 2004) shall
apply.''.
(2) For purposes of the Internal Revenue Code of 1986, any
reference to section 4091(c) shall be treated as a reference
to the rules of such section as in effect on the date before
the date of the enactment of this Act.
(f) Effective Date.--The amendments made by this section
shall apply to aviation-grade kerosene removed, entered, or
sold after September 30, 2004.
(g) Floor Stocks Tax.--
(1) In general.--There is hereby imposed on aviation-grade
kerosene held on October 1, 2004, by any person a tax equal
to--
(A) the tax which would have been imposed before such date
on such kerosene had the amendments made by this section been
in effect at all times before such date, reduced by
(B) the tax imposed before such date under section 4091 of
the Internal Revenue Code of 1986, as in effect on the day
before the date of the enactment of this Act.
(2) Liability for tax and method of payment.--
(A) Liability for tax.--The person holding the kerosene on
October 1, 2004, to which the tax imposed by paragraph (1)
applies shall be liable for such tax.
(B) Method and time for payment.--The tax imposed by
paragraph (1) shall be paid at such time and in such manner
as the Secretary of the Treasury shall prescribe, including
the nonapplication of such tax on de minimis amounts of
kerosene.
(3) Transfer of floor stock tax revenues to trust funds.--
For purposes of determining the amount transferred to any
trust fund, the tax imposed by this subsection shall be
treated as imposed by section 4081 of the Internal Revenue
Code of 1986--
(A) at the Leaking Underground Storage Tank Trust Fund
financing rate under such section to the extent of 0.1 cents
per gallon, and
(B) at the rate under section 4081(a)(2)(A)(iv) to the
extent of the remainder.
(4) Held by a person.--For purposes of this section,
kerosene shall be considered as held by a person if title
thereto has passed to such person (whether or not delivery to
the person has been made).
(5) Other laws applicable.--All provisions of law,
including penalties, applicable with respect to the tax
imposed by section 4081 of such Code shall, insofar as
applicable and not inconsistent with the provisions of this
subsection, apply with respect to the floor stock tax imposed
by paragraph (1) to the same extent as if such tax were
imposed by such section.
SEC. 5212. TRANSFER OF CERTAIN AMOUNTS FROM THE AIRPORT AND
AIRWAY TRUST FUND TO THE HIGHWAY TRUST FUND TO
REFLECT HIGHWAY USE OF JET FUEL.
(a) In General.--Section 9502(d) is amended by adding at
the end the following new paragraph:
``(7) Transfers from the trust fund to the highway trust
fund to reflect highway use of jet fuel.--
``(A) In general.--The Secretary shall pay from the Airport
and Airway Trust Fund into the Highway Trust Fund--
``(i) $395,000,000 in fiscal year 2005,
``(ii) $425,000,000 in fiscal year 2006,
``(iii) $429,000,000 in fiscal year 2007,
``(iv) $432,000,000 in fiscal year 2008, and
``(v) $435,000,000 in fiscal year 2009.
``(B) Amounts transferred to mass transit account.--The
Secretary shall transfer 11 percent of the amounts paid into
the Highway Trust Fund under subparagraph (A) to the Mass
Transit Account established under section 9503(e).''.
(b) Conforming Amendments.--
(1) Subsection (a) of section 9503 is amended--
(A) by striking ``appropriated or credited'' and inserting
``paid, appropriated, or credited'', and
(B) by striking ``or section 9602(b)'' and inserting ``,
section 9502(d)(7), or section 9602(b)''.
(2) Subsection (e)(1) of section 9503 is amended by
striking ``or section 9602(b)'' and inserting ``, section
9502(d)(7), or section 9602(b)''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART II--DYED FUEL
SEC. 5221. DYE INJECTION EQUIPMENT.
(a) In General.--Section 4082(a)(2) (relating to exemptions
for diesel fuel and kerosene) is amended by inserting ``by
mechanical injection'' after ``indelibly dyed''.
(b) Dye Injector Security.--Not later than June 30, 2004,
the Secretary of the Treasury shall issue regulations
regarding mechanical dye injection systems described in the
amendment made by subsection (a), and such regulations shall
include standards for making such systems tamper resistant.
(c) Penalty for Tampering With or Failing To Maintain
Security Requirements for Mechanical Dye Injection Systems.--
[[Page S1142]]
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties) is amended by adding after
section 6715 the following new section:
``SEC. 6715A. TAMPERING WITH OR FAILING TO MAINTAIN SECURITY
REQUIREMENTS FOR MECHANICAL DYE INJECTION
SYSTEMS.
``(a) Imposition of Penalty--
``(1) Tampering.--If any person tampers with a mechanical
dye injection system used to indelibly dye fuel for purposes
of section 4082, then such person shall pay a penalty in
addition to the tax (if any).
``(2) Failure to maintain security requirements.--If any
operator of a mechanical dye injection system used to
indelibly dye fuel for purposes of section 4082 fails to
maintain the security standards for such system as
established by the Secretary, then such operator shall pay a
penalty.
``(b) Amount of Penalty.--The amount of the penalty under
subsection (a) shall be--
``(1) for each violation described in paragraph (1), the
greater of--
``(A) $25,000, or
``(B) $10 for each gallon of fuel involved, and
``(2) for each--
``(A) failure to maintain security standards described in
paragraph (2), $1,000, and
``(B) failure to correct a violation described in paragraph
(2), $1,000 per day for each day after which such violation
was discovered or such person should have reasonably known of
such violation.
``(c) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68 is amended by adding after the
item related to section 6715 the following new item:
``Sec. 6715A. Tampering with or failing to maintain security
requirements for mechanical dye injection systems.''.
(d) Effective Date.--The amendments made by subsections (a)
and (c) shall take effect 180 days after the date on which
the Secretary issues the regulations described in subsection
(b).
SEC. 5222. ELIMINATION OF ADMINISTRATIVE REVIEW FOR TAXABLE
USE OF DYED FUEL.
(a) In General.--Section 6715 is amended by inserting at
the end the following new subsection:
``(e) No Administrative Appeal for Third and Subsequent
Violations.--In the case of any person who is found to be
subject to the penalty under this section after a chemical
analysis of such fuel and who has been penalized under this
section at least twice after the date of the enactment of
this subsection, no administrative appeal or review shall be
allowed with respect to such finding except in the case of a
claim regarding--
``(1) fraud or mistake in the chemical analysis, or
``(2) mathematical calculation of the amount of the
penalty.''.
(b) Effective Date.--The amendment made by this section
shall apply to penalties assessed after the date of the
enactment of this Act.
SEC. 5223. PENALTY ON UNTAXED CHEMICALLY ALTERED DYED FUEL
MIXTURES.
(a) In General.--Section 6715(a) (relating to dyed fuel
sold for use or used in taxable use, etc.) is amended by
striking ``or'' in paragraph (2), by inserting ``or'' at the
end of paragraph (3), and by inserting after paragraph (3)
the following new paragraph:
``(4) any person who has knowledge that a dyed fuel which
has been altered as described in paragraph (3) sells or holds
for sale such fuel for any use which the person knows or has
reason to know is not a nontaxable use of such fuel,''.
(b) Conforming Amendment.--Section 6715(a)(3) is amended by
striking ``alters, or attempts to alter,'' and inserting
``alters, chemically or otherwise, or attempts to so
alter,''.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5224. TERMINATION OF DYED DIESEL USE BY INTERCITY BUSES.
(a) In General.--Paragraph (3) of section 4082(b) (relating
to nontaxable use) is amended to read as follows:
``(3) any use described in section
4041(a)(1)(C)(iii)(II).''.
(b) Ultimate Vendor Refund.--Subsection (b) of section 6427
is amended by adding at the end the following new paragraph:
``(4) Refunds for use of diesel fuel in certain intercity
buses.--
``(A) In general.--With respect to any fuel to which
paragraph (2)(A) applies, if the ultimate purchaser of such
fuel waives (at such time and in such form and manner as the
Secretary shall prescribe) the right to payment under
paragraph (1) and assigns such right to the ultimate vendor,
then the Secretary shall pay the amount which would be paid
under paragraph (1) to such ultimate vendor, but only if such
ultimate vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).
``(B) Credit cards.--For purposes of this paragraph, if the
sale of such fuel is made by means of a credit card, the
person extending credit to the ultimate purchaser shall be
deemed to be the ultimate vendor.''.
(c) Payment of Refunds.--Subparagraph (A) of section
6427(i)(4), as amended by section 5211 of this Act, is
amended by inserting ``subsections (b)(4) and'' after ``filed
under''.
(b) Effective Date.--The amendments made by this section
shall apply to fuel sold after September 30, 2004.
PART III--MODIFICATION OF INSPECTION OF RECORDS PROVISIONS
SEC. 5231. AUTHORITY TO INSPECT ON-SITE RECORDS.
(a) In General.--Section 4083(d)(1)(A) (relating to
administrative authority), as amended by section 5211 of this
Act, is amended by striking ``and'' at the end of clause (i)
and by inserting after clause (ii) the following new clause:
``(iii) inspecting any books and records and any shipping
papers pertaining to such fuel, and''.
(b) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5232. ASSESSABLE PENALTY FOR REFUSAL OF ENTRY.
(a) In General.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5221 of this Act, is amended by adding at the end the
following new section:
``SEC. 6717. REFUSAL OF ENTRY.
``(a) In General.--In addition to any other penalty
provided by law, any person who refuses to admit entry or
refuses to permit any other action by the Secretary
authorized by section 4083(d)(1) shall pay a penalty of
$1,000 for such refusal.
``(b) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(b) Conforming Amendments.--
(1) Section 4083(d)(3), as amended by section 5211 of this
Act, is amended--
(A) by striking ``entry.--The penalty'' and inserting:
``entry.--
``(A) Forfeiture.--The penalty'', and
(B) by adding at the end the following new subparagraph:
``(B) Assessable penalty.--For additional assessable
penalty for the refusal to admit entry or other refusal to
permit an action by the Secretary authorized by paragraph
(1), see section 6717.''.
(2) The table of sections for part I of subchapter B of
chapter 68, as amended by section 5221 of this Act, is
amended by adding at the end the following new item:
``Sec. 6717. Refusal of entry.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART IV--REGISTRATION AND REPORTING REQUIREMENTS
SEC. 5241. REGISTRATION OF PIPELINE OR VESSEL OPERATORS
REQUIRED FOR EXEMPTION OF BULK TRANSFERS TO
REGISTERED TERMINALS OR REFINERIES.
(a) In General.--Section 4081(a)(1)(B) (relating to
exemption for bulk transfers to registered terminals or
refineries) is amended--
(1) by inserting ``by pipeline or vessel'' after
``transferred in bulk'', and
(2) by inserting ``, the operator of such pipeline or
vessel,'' after ``the taxable fuel''.
(b) Civil Penalty for Carrying Taxable Fuels by
Nonregistered Pipelines or Vessels.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5232 of this Act, is amended by adding at the end the
following new section:
``SEC. 6718. CARRYING TAXABLE FUELS BY NONREGISTERED
PIPELINES OR VESSELS.
``(a) Imposition of Penalty.--If any person knowingly
transfers any taxable fuel (as defined in section 4083(a)(1))
in bulk pursuant to section 4081(a)(1)(B) to an unregistered,
such person shall pay a penalty in addition to the tax (if
any).
``(b) Amount of Penalty.--
``(1) In general.--Except as provided in paragraph (2), the
amount of the penalty under subsection (a) on each act shall
be an amount equal to the greater of--
``(A) $10,000, or
``(B) $1 per gallon.
``(2) Multiple violations.--In determining the penalty
under subsection (a) on any person, paragraph (1) shall be
applied by increasing the amount in paragraph (1) by the
product of such amount and the number of prior penalties (if
any) imposed by this section on such person (or a related
person or
[[Page S1143]]
any predecessor of such person or related person).
``(c) Joint and Several Liability.--
``(1) In general.--If a penalty is imposed under this
section on any business entity, each officer, employee, or
agent of such entity or other contracting party who willfully
participated in any act giving rise to such penalty shall be
jointly and severally liable with such entity for such
penalty.
``(2) Affiliated groups.--If a business entity described in
paragraph (1) is part of an affiliated group (as defined in
section 1504(a)), the parent corporation of such entity shall
be jointly and severally liable with such entity for the
penalty imposed under this section.
``(d) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5232 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6718. Carrying taxable fuels by nonregistered pipelines or
vessels.''.
(c) Publication of Registered Persons.--Not later than June
30, 2004, the Secretary of the Treasury shall publish a list
of persons required to be registered under section 4101 of
the Internal Revenue Code of 1986.
(d) Effective Date.--The amendments made by subsections (a)
and (b) shall take effect on October 1, 2004.
SEC. 5242. DISPLAY OF REGISTRATION.
(a) In General.--Subsection (a) of section 4101 (relating
to registration) is amended--
(1) by striking ``Every'' and inserting the following:
``(1) In general.--Every'', and
(2) by adding at the end the following new paragraph:
``(2) Display of registration.--Every operator of a vessel
required by the Secretary to register under this section
shall display proof of registration through an electronic
identification device prescribed by the Secretary on each
vessel used by such operator to transport any taxable
fuel.''.
(b) Civil Penalty for Failure to Display Registration.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5241 of this Act, is amended by adding at the end the
following new section:
``SEC. 6719. FAILURE TO DISPLAY REGISTRATION OF VESSEL.
``(a) Failure to Display Registration.--Every operator of a
vessel who fails to display proof of registration pursuant to
section 4101(a)(2) shall pay a penalty of $500 for each such
failure. With respect to any vessel, only one penalty shall
be imposed by this section during any calendar month.
``(b) Multiple Violations.--In determining the penalty
under subsection (a) on any person, subsection (a) shall be
applied by increasing the amount in subsection (a) by the
product of such amount and the number of prior penalties
(if any) imposed by this section on such person (or a
related person or any predecessor of such person or
related person).
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5241 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6719. Failure to display registration of vessel.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5243. REGISTRATION OF PERSONS WITHIN FOREIGN TRADE
ZONES, ETC..
(a) In General.--Section 4101(a), as amended by section
5242 of this Act, is amended by redesignating paragraph (2)
as paragraph (3), and by inserting after paragraph (1) the
following new paragraph:
``(2) Registration of persons within foreign trade zones,
etc..--The Secretary shall require registration by any person
which--
``(A) operates a terminal or refinery within a foreign
trade zone or within a customs bonded storage facility, or
``(B) holds an inventory position with respect to a taxable
fuel in such a terminal.''.
(b) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5244. PENALTIES FOR FAILURE TO REGISTER AND FAILURE TO
REPORT.
(a) Increased Penalty.--Subsection (a) of section 7272
(relating to penalty for failure to register) is amended by
inserting ``($10,000 in the case of a failure to register
under section 4101)'' after ``$50''.
(b) Increased Criminal Penalty.--Section 7232 (relating to
failure to register under section 4101, false representations
of registration status, etc.) is amended by striking
``$5,000'' and inserting ``$10,000''.
(c) Assessable Penalty for Failure to Register.--
(1) In general.--Part I of subchapter B of chapter 68
(relating to assessable penalties), as amended by section
5242 of this Act, is amended by adding at the end the
following new section:
``SEC. 6720. FAILURE TO REGISTER.
``(a) Failure to Register.--Every person who is required to
register under section 4101 and fails to do so shall pay a
penalty in addition to the tax (if any).
``(b) Amount of Penalty.--The amount of the penalty under
subsection (a) shall be--
``(1) $10,000 for each initial failure to register, and
``(2) $1,000 for each day thereafter such person fails to
register.
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part I
of subchapter B of chapter 68, as amended by section 5242 of
this Act, is amended by adding at the end the following new
item:
``Sec. 6720. Failure to register.''.
(d) Assessable Penalty for Failure to Report.--
(1) In general.--Part II of subchapter B of chapter 68
(relating to assessable penalties) is amended by adding at
the end the following new section:
``SEC. 6725. FAILURE TO REPORT INFORMATION UNDER SECTION
4101.
``(a) In General.--In the case of each failure described in
subsection (b) by any person with respect to a vessel or
facility, such person shall pay a penalty of $10,000 in
addition to the tax (if any).
``(b) Failures Subject to Penalty.--For purposes of
subsection (a), the failures described in this subsection
are--
``(1) any failure to make a report under section 4101(d) on
or before the date prescribed therefor, and
``(2) any failure to include all of the information
required to be shown on such report or the inclusion of
incorrect information.
``(c) Reasonable Cause Exception.--No penalty shall be
imposed under this section with respect to any failure if it
is shown that such failure is due to reasonable cause.''.
(2) Clerical amendment.--The table of sections for part II
of subchapter B of chapter 68 is amended by adding at the end
the following new item:
``Sec. 6725. Failure to report information under section 4101.''.
(e) Effective Date.--The amendments made by this section
shall apply to failures pending or occurring after September
30, 2004.
SEC. 5245. INFORMATION REPORTING FOR PERSONS CLAIMING CERTAIN
TAX BENEFITS.
(a) In General.--Subpart C of part III of subchapter A of
chapter 32 is amended by adding at the end the following new
section:
``SEC. 4104. INFORMATION REPORTING FOR PERSONS CLAIMING
CERTAIN TAX BENEFITS.
``(a) In General.--The Secretary shall require any person
claiming tax benefits--
``(1) under the provisions of section 34, 40, and 40A to
file a return at the time such person claims such benefits
(in such manner as the Secretary may prescribe), and
``(2) under the provisions of section 4041(b)(2), 6426, or
6427(e) to file a monthly return (in such manner as the
Secretary may prescribe).
``(b) Contents of Return.--Any return filed under this
section shall provide such information relating to such
benefits and the coordination of such benefits as the
Secretary may require to ensure the proper administration and
use of such benefits.
``(c) Enforcement.--With respect to any person described in
subsection (a) and subject to registration requirements under
this title, rules similar to rules of section 4222(c) shall
apply with respect to any requirement under this section.''.
(b) Conforming Amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 32 is
amended by adding at the end the following new item:
``Sec. 4104. Information reporting for persons claiming certain tax
benefits.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART V--IMPORTS
SEC. 5251. TAX AT POINT OF ENTRY WHERE IMPORTER NOT
REGISTERED.
(a) Tax at Point of Entry Where Importer Not Registered.--
(1) In general.--Subpart C of part III of subchapter A of
chapter 31, as amended by section 5245 of this Act, is
amended by adding at the end the following new section:
``SEC. 4105. TAX AT ENTRY WHERE IMPORTER NOT REGISTERED.
``(a) In General.--Any tax imposed under this part on any
person not registered under section 4101 for the entry of a
fuel into the United States shall be imposed at the time and
point of entry.
``(b) Enforcement of Assessment.--If any person liable for
any tax described under subsection (a) has not paid the tax
or posted a bond, the Secretary may--
``(1) seize the fuel on which the tax is due, or
``(2) detain any vehicle transporting such fuel,
until such tax is paid or such bond is filed.
``(c) Levy of Fuel.--If no tax has been paid or no bond has
been filed within 5 days from the date the Secretary seized
fuel pursuant to subsection (b), the Secretary may sell such
fuel as provided under section 6336.''.
(2) Conforming amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 31 of the
Internal Revenue Code of 1986, as amended by section 5245 of
this Act, is amended by adding after the last item the
following new item:
[[Page S1144]]
``Sec. 4105. Tax at entry where importer not registered.''.
(b) Denial of Entry Where Tax Not Paid.--The Secretary of
Homeland Security is authorized to deny entry into the United
States of any shipment of a fuel which is taxable under
section 4081 of the Internal Revenue Code of 1986 if the
person entering such shipment fails to pay the tax imposed
under such section or post a bond in accordance with the
provisions of section 4105 of such Code.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5252. RECONCILIATION OF ON-LOADED CARGO TO ENTERED
CARGO.
(a) In General.--Subsection (a) of section 343 of the Trade
Act of 2002 is amended by inserting at the end the following
new paragraph:
``(4) In General.--Subject to paragraphs (2) and (3), not
later than 1 year after the enactment of this paragraph, the
Secretary of Homeland Security, together with the Secretary
of the Treasury, shall promulgate regulations providing for
the transmission to the Internal Revenue Service, through an
electronic data interchange system, of information pertaining
to cargo of taxable fuels (as defined in section 4083 of the
Internal Revenue Code of 1986) destined for importation into
the United States prior to such importation.''.
(b) Effective Date.--The amendment made by this section
shall take effect on the date of the enactment of this Act.
PART VI--MISCELLANEOUS PROVISIONS
SEC. 5261. TAX ON SALE OF DIESEL FUEL WHETHER SUITABLE FOR
USE OR NOT IN A DIESEL-POWERED VEHICLE OR
TRAIN.
(a) In General.--Section 4083(a)(3) is amended--
(1) by striking ``The term'' and inserting the following:
``(A) In general.--The term'', and
(2) by inserting at the end the following new subparagraph:
``(B) Liquid sold as diesel fuel.--The term `diesel fuel'
includes any liquid which is sold as or offered for sale as a
fuel in a diesel-powered highway vehicle or a diesel-powered
train.''.
(b) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5262. MODIFICATION OF ULTIMATE VENDOR REFUND CLAIMS WITH
RESPECT TO FARMING.
(a) In General.--
(1) Refunds.--Section 6427(l) is amended by adding at the
end the following new paragraph:
``(6) Registered vendors permitted to administer certain
claims for refund of diesel fuel and kerosene sold to
farmers.--
``(A) In general.--In the case of diesel fuel or kerosene
used on a farm for farming purposes (within the meaning of
section 6420(c)), paragraph (1) shall not apply to the
aggregate amount of such diesel fuel or kerosene if such
amount does not exceed 500 gallons (as determined under
subsection (i)(5)(A)(iii)).
``(B) Payment to ultimate vendor.--The amount which would
(but for subparagraph (A)) have been paid under paragraph (1)
with respect to any fuel shall be paid to the ultimate vendor
of such fuel, if such vendor--
``(i) is registered under section 4101, and
``(ii) meets the requirements of subparagraph (A), (B), or
(D) of section 6416(a)(1).''.
(2) Filing of claims.--Section 6427(i) is amended by
inserting at the end the following new paragraph:
``(5) Special rule for vendor refunds with respect to
farmers.--
``(A) In general.--A claim may be filed under subsection
(l)(6) by any person with respect to fuel sold by such person
for any period--
``(i) for which $200 or more ($100 or more in the case of
kerosene) is payable under subsection (l)(6),
``(ii) which is not less than 1 week, and
``(iii) which is for not more than 500 gallons for each
farmer for which there is a claim.
Notwithstanding subsection (l)(1), paragraph (3)(B) shall
apply to claims filed under the preceding sentence.
``(B) Time for filing claim.--No claim filed under this
paragraph shall be allowed unless filed on or before the last
day of the first quarter following the earliest quarter
included in the claim.''.
(3) Conforming amendments.--
(A) Section 6427(l)(5)(A) is amended to read as follows:
``(A) In general.--Paragraph (1) shall not apply to diesel
fuel or kerosene used by a State or local government.''.
(B) The heading for section 6427(l)(5) is amended by
striking ``farmers and''.
(b) Section 6427(i)(3) is amended--
(1) by adding at the end of subparagraph (A) the following
new flush sentence:
``In the case of an electronic claim, this subparagraph shall
be applied without regard to clause (i).'', and
(2) by striking ``20 days of the date of the filing of such
claim'' in subparagraph (B) and inserting ``45 days of the
date of the filing of such claim (20 days in the case of an
electronic claim)'', and
(c) Effective Date.--The amendment made by this section
shall apply to fuels sold for nontaxable use after the date
of the enactment of this Act.
SEC. 5263. TAXABLE FUEL REFUNDS FOR CERTAIN ULTIMATE VENDORS.
(a) In General.--Paragraph (4) of section 6416(a) (relating
to abatements, credits, and refunds) is amended to read as
follows:
``(4) Registered ultimate vendor to administer credits and
refunds of gasoline tax.--
``(A) In general.--For purposes of this subsection, if an
ultimate vendor purchases any gasoline on which tax imposed
by section 4081 has been paid and sells such gasoline to an
ultimate purchaser described in subparagraph (C) or (D) of
subsection (b)(2) (and such gasoline is for a use described
in such subparagraph), such ultimate vendor shall be treated
as the person (and the only person) who paid such tax, but
only if such ultimate vendor is registered under section
4101. For purposes of this subparagraph, if the sale of
gasoline is made by means of a credit card, the person
extending the credit to the ultimate purchaser shall be
deemed to be the ultimate vendor.
``(B) Timing of claims.--The procedure and timing of any
claim under subparagraph (A) shall be the same as for claims
under section 6427(i)(4), except that the rules of section
6427(i)(3)(B) regarding electronic claims shall not apply
unless the ultimate vendor has certified to the Secretary for
the most recent quarter of the taxable year that all ultimate
purchasers of the vendor are certified and entitled to a
refund under subparagraph (C) or (D) of subsection (b)(2).''.
(b) Credit Card Purchases of Diesel Fuel or Kerosene by
State and Local Governments.--Section 6427(l)(5)(C) (relating
to nontaxable uses of diesel fuel, kerosene, and aviation
fuel), as amended by section 5252 of this Act, is amended by
adding at the end the following new sentence: ``For purposes
of this subparagraph, if the sale of diesel fuel or kerosene
is made by means of a credit card, the person extending the
credit to the ultimate purchaser shall be deemed to be the
ultimate vendor.''.
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5264. TWO-PARTY EXCHANGES.
(a) In General.--Subpart C of part III of subchapter A of
chapter 32, as amended by section 5251 of this Act, is
amended by adding at the end the following new section:
``SEC. 4106. TWO-PARTY EXCHANGES.
``(a) In General.--In a two-party exchange, the delivering
person shall not be liable for the tax imposed under of
section 4081(a)(1)(A)(ii).
``(b) Two-Party Exchange.--The term `two-party exchange'
means a transaction, other than a sale, in which taxable fuel
is transferred from a delivering person registered under
section 4101 as a taxable fuel registrant to a receiving
person who is so registered where all of the following occur:
``(1) The transaction includes a transfer from the
delivering person, who holds the inventory position for
taxable fuel in the terminal as reflected in the records of
the terminal operator.
``(2) The exchange transaction occurs before or
contemporaneous with completion of removal across the rack
from the terminal by the receiving person.
``(3) The terminal operator in its books and records treats
the receiving person as the person that removes the product
across the terminal rack for purposes of reporting the
transaction to the Secretary.
``(4) The transaction is the subject of a written
contract.''.
(b) Conforming Amendment.--The table of sections for
subpart C of part III of subchapter A of chapter 32, as
amended by section 5251 of this Act, is amended by adding
after the last item the following new item:
``Sec. 4106. Two-party exchanges.''.
(c) Effective Date.--The amendment made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5265. MODIFICATIONS OF TAX ON USE OF CERTAIN VEHICLES.
(a) No Proration of Tax Unless Vehicle Is Destroyed or
Stolen.--
(1) In general.--Section 4481(c) (relating to proration of
tax) is amended to read as follows:
``(c) Proration of Tax Where Vehicle Sold, Destroyed, or
Stolen.--
``(1) In general.--If in any taxable period a highway motor
vehicle is sold, destroyed, or stolen before the first day of
the last month in such period and not subsequently used
during such taxable period, the tax shall be reckoned
proportionately from the first day of the month in such
period in which the first use of such highway motor vehicle
occurs to and including the last day of the month in which
such highway motor vehicle was sold, destroyed, or stolen.
``(2) Destroyed.--For purposes of paragraph (1), a highway
motor vehicle is destroyed if such vehicle is damaged by
reason of an accident or other casualty to such an extent
that it is not economic to rebuild.''.
(2) Conforming amendments.--
(A) Section 6156 (relating to installment payment of tax on
use of highway motor vehicles) is repealed.
(B) The table of sections for subchapter A of chapter 62 is
amended by striking the item relating to section 6156.
(b) Display of Tax Certificate.--Paragraph (2) of section
4481(d) (relating to one tax liability for period) is amended
to read as follows:
``(2) Display of tax certificate.--Every taxpayer which
pays the tax imposed under this section with respect to a
highway motor
[[Page S1145]]
vehicle shall, not later than 1 month after the due date of
the return of tax with respect to each taxable period,
receive and display on such vehicle an electronic
identification device prescribed by the Secretary.''.
(c) Electronic Filing.--Section 4481, as amended by section
5001 of this Act, is amended by redesignating subsection (e)
as subsection (f) and by inserting after subsection (d) the
following new subsection:
``(e) Electronic Filing.--Any taxpayer who files a return
under this section with respect to 25 or more vehicles for
any taxable period shall file such return electronically.''.
(d) Repeal of Reduction in Tax For Certain Trucks.--Section
4483 of the Internal Revenue Code of 1986 is amended by
striking subsection (f).
(e) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to taxable
periods beginning after the date of the enactment of this
Act.
(2) Subsection (b).--The amendment made by subsection (b)
shall take effect on October 1, 2005.
SEC. 5266. DEDICATION OF REVENUES FROM CERTAIN PENALTIES TO
THE HIGHWAY TRUST FUND.
(a) In General.--Subsection (b) of section 9503 (relating
to transfer to Highway Trust Fund of amounts equivalent to
certain taxes), as amended by section 5001 of this Act, is
amended by redesignating paragraph (5) as paragraph (6) and
inserting after paragraph (4) the following new paragraph:
``(5) Certain penalties.--There are hereby appropriated to
the Highway Trust Fund amounts equivalent to the penalties
assessed under sections 6715, 6715A, 6717, 6718, 6719, 6720,
6725, 7232, and 7272 (but only with regard to penalties under
such section related to failure to register under section
4101).''.
(b) Conforming Amendments.--
(1) The heading of subsection (b) of section 9503 is
amended by inserting ``and Penalties'' after ``Taxes''.
(2) The heading of paragraph (1) of section 9503(b) is
amended by striking ``In general'' and inserting ``Certain
taxes''.
(c) Effective Date.--The amendments made by this section
shall apply to penalties assessed after October 1, 2004.
SEC. 5267. NONAPPLICATION OF EXPORT EXEMPTION TO DELIVERY OF
FUEL TO MOTOR VEHICLES REMOVED FROM UNITED
STATES.
(a) In General.--Section 4221(d)(2) (defining export) is
amended by adding at the end the following new sentence:
``Such term does not include the delivery of a taxable fuel
(as defined in section 4083(a)(1)) into a fuel tank of a
motor vehicle which is shipped or driven out of the United
States.''.
(b) Conforming Amendments.--
(1) Section 4041(g) (relating to other exemptions) is
amended by adding at the end the following new sentence:
``Paragraph (3) shall not apply to the sale for delivery of a
liquid into a fuel tank of a motor vehicle which is shipped
or driven out of the United States.''.
(2) Clause (iv) of section 4081(a)(1)(A) (relating to tax
on removal, entry, or sale) is amended by inserting ``or at a
duty-free sales enterprise (as defined in section 555(b)(8)
of the Tariff Act of 1930)'' after ``section 4101''.
(c) Effective Date.--The amendments made by this section
shall apply to sales or deliveries made after the date of the
enactment of this Act.
PART VII--TOTAL ACCOUNTABILITY
SEC. 5271. TOTAL ACCOUNTABILITY.
(a) Taxation of Reportable Liquids.--
(1) In general.--Section 4081(a), as amended by this Act,
is amended--
(A) by inserting ``or reportable liquid'' after ``taxable
fuel'' each place it appears, and
(B) by inserting ``such liquid'' after ``such fuel'' in
paragraph (1)(A)(iv).
(2) Rate of tax.--Subparagraph (A) of section 4081(a)(2),
as amended by section 5211 of this Act, is amended by
striking ``and'' at the end of clause (iii), by striking the
period at the end of clause (iv) and inserting ``, and'', and
by adding at the end the following new clause:
``(v) in the case of reportable liquids, the rate
determined under section 4083(c)(2).''.
(3) Exemption.--Section 4081(a)(1) is amended by adding at
the end the following new subparagraph:
``(C) Exemption for registered transfers of reportable
liquids.--The tax imposed by this paragraph shall not apply
to any removal, entry, or sale of a reportable liquid if--
``(i) such removal, entry, or sale is to a registered
person who certifies that such liquid will not be used as a
fuel or in the production of a fuel, or
``(ii) the sale is to the ultimate purchaser of such
liquid.''.
(4) Reportable Liquids.--Section 4083, as amended by this
Act, is amended by redesignating subsections (c) and (d) (as
redesignated by section 5211 of this Act) as subsections (d)
and (e), respectively, and by inserting after subsection (b)
the following new section:
``(c) Reportable liquid.--For purposes of this subpart--
``(1) In general.--The term `reportable liquid' means any
petroleum-based liquid other than a taxable fuel.
``(2) Taxation.--
``(A) Gasoline blend stocks and additives.--Gasoline blend
stocks and additives which are reportable liquids (as defined
in paragraph (1)) shall be subject to the rate of tax under
clause (i) of section 4081(a)(2)(A).
``(B) Other reportable liquids.--Any reportable liquid (as
defined in paragraph (1)) not described in subparagraph (A)
shall be subject to the rate of tax under clause (iii) of
section 4081(a)(2)(A).''.
(5) Conforming amendments.--
(A) Section 4081(e) is amended by inserting ``or reportable
liquid'' after ``taxable fuel''.
(B) Section 4083(d) (relating to certain use defined as
removal), as redesignated by paragraph (4), is amended by
inserting ``or reportable liquid'' after ``taxable fuel''.
(C) Section 4083(e)(1) (relating to administrative
authority), as redesignated by paragraph (4), is amended--
(i) in subparagraph (A)--
(I) by inserting ``or reportable liquid'' after ``taxable
fuel'', and
(II) by inserting ``or such liquid'' after ``such fuel''
each place it appears, and
(ii) in subparagraph (B), by inserting ``or any reportable
liquid'' after ``any taxable fuel''.
(D) Section 4101(a)(2), as added by section 5243 of this
Act, is amended by inserting ``or a reportable liquid'' after
``taxable fuel''.
(E) Section 4101(a)(3), as added by section 5242 of this
Act and redesignated by section 5243 of this Act, is amended
by inserting ``or any reportable liquid'' before the period
at the end.
(F) Section 4102 is amended by inserting ``or any
reportable liquid'' before the period at the end.
(G)(i) Section 6718, as added by section 5241 of this Act,
is amended--
(I) in subsection (a), by inserting ``or any reportable
liquid (as defined in section 4083(c)(1))'' after `` section
4083(a)(1))'', and
(II) in the heading, by inserting ``or reportable liquids''
after ``taxable fuel''.
(ii) The item relating to section 6718 in table of sections
for part I of subchapter B of chapter 68, as added by section
5241 of this Act, is amended by inserting ``or reportable
liquids'' after ``taxable fuels''.
(H) Section 6427(h) is amended to read as follows:
``(h) Gasoline Blend Stocks or Additives and Reportable
Liquids.--Except as provided in subsection (k)--
``(1) if any gasoline blend stock or additive (within the
meaning of section 4083(a)(2)) is not used by any person to
produce gasoline and such person establishes that the
ultimate use of such gasoline blend stock or additive is not
to produce gasoline, or
``(2) if any reportable liquid (within the meaning of
section 4083(c)(1)) is not used by any person to produce a
taxable fuel and such person establishes that the ultimate
use of such reportable liquid is not to produce a taxable
fuel,
then the Secretary shall pay (without interest) to such
person an amount equal to the aggregate amount of the tax
imposed on such person with respect to such gasoline blend
stock or additive or such reportable fuel.''.
(I) Section 7232, as amended by this Act, is amended by
inserting ``or reportable liquid (within the meaning of
section 4083(c)(1))'' after ``section 4083)''.
(J) Section 343 of the Trade Act of 2002, as amended by
section 5252 of this Act, is amended by inserting ``and
reportable liquids (as defined in section 4083(c)(1) of such
Code)'' after ``Internal Revenue Code of 1986)''.
(b) Dyed Diesel.--Section 4082(a) is amended by striking
``and'' at the end of paragraph (2), by striking the period
at the end of paragraph (3) and inserting ``and'', and by
inserting after paragraph (3) the following new paragraph:
``(4) which is removed, entered, or sold by a person
registered under section 4101.''.
(c) Effective Date.--The amendments made by this section
shall apply to reportable liquids (as defined in section
4083(c) of the Internal Revenue Code) and fuel sold or used
after September 30, 2004.
SEC. 5272. EXCISE TAX REPORTING.
(a) In General.--Part II of subchapter A of chapter 61 is
amended by adding at the end the following new subpart:
``Subpart E--Excise Tax Reporting
``SEC. 6025. RETURNS RELATING TO FUEL TAXES.
``(a) In General.--The Secretary shall require any person
liable for the tax imposed under Part III of subchapter A of
chapter 32 to file a return of such tax on a monthly basis.
``(b) Information Included with Return.--The Secretary
shall require any person filing a return under subsection (a)
to provide information regarding any refined product (whether
or not such product is taxable under this title) removed from
a terminal during the period for which such return
applies.''.
(b) Conforming Amendment.--The table of parts for
subchapter A of chapter 61 is amended by adding at the end
the following new item:
``Subpart E--Excise Tax Reporting''.
(c) Effective Date.--The amendments made by this section
shall apply to fuel sold or used after September 30, 2004.
SEC. 5273. INFORMATION REPORTING.
(a) In General.--Section 4101(d) is amended by adding at
the end the following new flush sentence:
``The Secretary shall require reporting under the previous
sentence with respect to taxable fuels removed, entered, or
transferred from
[[Page S1146]]
any refinery, pipeline, or vessel which is registered under
this section.''.
(b) Effective Date.--The amendment made by this section
shall apply on October 1, 2004.
Subtitle D--Definition of Highway Vehicle
SEC. 5301. EXEMPTION FROM CERTAIN EXCISE TAXES FOR MOBILE
MACHINERY.
(a) Exemption From Tax on Heavy Trucks and Trailers Sold at
Retail.--
(1) In general.--Section 4053 (relating to exemptions) is
amended by adding at the end the following new paragraph:
``(8) Mobile machinery.--Any vehicle which consists of a
chassis--
``(A) to which there has been permanently mounted (by
welding, bolting, riveting, or other means) machinery or
equipment to perform a construction, manufacturing,
processing, farming, mining, drilling, timbering, or similar
operation if the operation of the machinery or equipment is
unrelated to transportation on or off the public highways,
``(B) which has been specially designed to serve only as a
mobile carriage and mount (and a power source, where
applicable) for the particular machinery or equipment
involved, whether or not such machinery or equipment is in
operation, and
``(C) which, by reason of such special design, could not,
without substantial structural modification, be used as a
component of a vehicle designed to perform a function of
transporting any load other than that particular machinery or
equipment or similar machinery or equipment requiring such a
specially designed chassis.''.
(2) Effective date.--The amendment made by this subsection
shall take effect on the day after the date of the enactment
of this Act.
(b) Exemption From Tax on Use of Certain Vehicles.--
(1) In general.--Section 4483 (relating to exemptions) is
amended by redesignating subsection (g) as subsection (h) and
by inserting after subsection (f) the following new
subsection:
``(g) Exemption for Mobile Machinery.--No tax shall be
imposed by section 4481 on the use of any vehicle described
in section 4053(8).''.
(2) Effective date.--The amendments made by this subsection
shall take effect on the day after the date of the enactment
of this Act.
(d) Exemption From Fuel Taxes.--
(1) In general.--Section 6421(e)(2) (defining off-highway
business use) is amended by adding at the end the following
new subparagraph:
``(C) Uses in mobile machinery.--
``(i) In general.--The term `off-highway business use'
shall include any use in a vehicle which meets the
requirements described in clause (ii).
``(ii) Requirements for mobile machinery.--The requirements
described in this clause are--
``(I) the design-based test, and
``(II) the use-based test.
``(iii) Design-based test.--For purposes of clause (ii)(I),
the design-based test is met if the vehicle consists of a
chassis--
``(I) to which there has been permanently mounted (by
welding, bolting, riveting, or other means) machinery or
equipment to perform a construction, manufacturing,
processing, farming, mining, drilling, timbering, or similar
operation if the operation of the machinery or equipment is
unrelated to transportation on or off the public highways,
``(II) which has been specially designed to serve only as a
mobile carriage and mount (and a power source, where
applicable) for the particular machinery or equipment
involved, whether or not such machinery or equipment is in
operation, and
``(III) which, by reason of such special design, could not,
without substantial structural modification, be used as a
component of a vehicle designed to perform a function of
transporting any load other than that particular machinery or
equipment or similar machinery or equipment requiring such a
specially designed chassis.
``(iv) Use-based test.--For purposes of clause (ii)(II),
the use-based test is met if the use of the vehicle on public
highways was less than 5,000 miles during the taxpayer's
taxable year.
``(v) Special rule for use by certain tax-exempt
organizations.--In the case of any use in a vehicle by an
organization which is described in section 501(c) and exempt
from tax under section 501(a), clause (ii) shall be applied
without regard to subclause (II) thereof.''.
(2) Annual refund of tax paid.--Section 6427(i)(2)
(relating to exceptions) is amended by adding at the end the
following new subparagraph:
``(C) Nonapplication of paragraph.--This paragraph shall
not apply to any fuel used in any off-highway business use
described in section 6421(e)(2)(C).''.
(3) Effective date.--The amendments made by this subsection
shall apply to taxable years beginning after the date of the
enactment of this Act.
SEC. 5302. MODIFICATION OF DEFINITION OF OFF-HIGHWAY VEHICLE.
(a) In General.--Section 7701(a) (relating to definitions)
is amended by adding at the end the following new paragraph:
``(48) Off-highway vehicles.--
``(A) Off-highway transportation vehicles.--
``(i) In general.--A vehicle shall not be treated as a
highway vehicle if such vehicle is specially designed for the
primary function of transporting a particular type of load
other than over the public highway and because of this
special design such vehicle's capability to transport a load
over the public highway is substantially limited or impaired.
``(ii) Determination of vehicle's design.--For purposes of
clause (i), a vehicle's design is determined solely on the
basis of its physical characteristics.
``(iii) Determination of substantial limitation or
impairment.--For purposes of clause (i), in determining
whether substantial limitation or impairment exists, account
may be taken of factors such as the size of the vehicle,
whether such vehicle is subject to the licensing, safety, and
other requirements applicable to highway vehicles, and
whether such vehicle can transport a load at a sustained
speed of at least 25 miles per hour. It is immaterial that a
vehicle can transport a greater load off the public highway
than such vehicle is permitted to transport over the public
highway.
``(B) Nontransportation trailers and semitrailers.--A
trailer or semitrailer shall not be treated as a highway
vehicle if it is specially designed to function only as an
enclosed stationary shelter for the carrying on of an off-
highway function at an off-highway site.''.
(c) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendment made by this section shall take effect on the date
of the enactment of this Act.
(2) Fuel taxes.--With respect to taxes imposed under
subchapter B of chapter 31 and part III of subchapter A of
chapter 32, the amendment made by this section shall apply to
taxable periods beginning after the date of the enactment of
this Act.
Subtitle E--Excise Tax Reform and Simplification
PART I--HIGHWAY EXCISE TAXES
SEC. 5401. DEDICATION OF GAS GUZZLER TAX TO HIGHWAY TRUST
FUND.
(a) In General.--Section 9503(b)(1) (relating to transfer
to Highway Trust Fund of amounts equivalent to certain taxes)
is amended by redesignating subparagraphs (C), (D), and (E)
as subparagraphs (D), (E), and (F), respectively, and by
inserting after subparagraph (B) the following new
subparagraph:
``(C) section 4064 (relating to gas guzzler tax),''.
(b) Uniform Application of Tax.--Subparagraph (A) of
section 4064(b)(1) (defining automobile) is amended by
striking the second sentence.
(c) Effective Date.--The amendments made by this section
shall take effect on the date of the enactment of this Act.
SEC. 5402. REPEAL CERTAIN EXCISE TAXES ON RAIL DIESEL FUEL
AND INLAND WATERWAY BARGE FUELS.
(a) Taxes on Trains.--
(1) In general.--Subparagraph (A) of section 4041(a)(1) is
amended by striking ``or a diesel-powered train'' each place
it appears and by striking ``or train''.
(2) Conforming amendments.--
(A) Subparagraph (C) of section 4041(a)(1), as amended by
section 5001 of this Act, is amended by striking clause (ii)
and by redesignating clause (iii) as clause (ii).
(B) Subparagraph (C) of section 4041(b)(1) is amended by
striking all that follows ``section 6421(e)(2)'' and
inserting a period.
(C) Subsection (d) of section 4041 is amended by
redesignating paragraph (3) as paragraph (4) and by inserting
after paragraph (2) the following new paragraph:
``(3) Diesel fuel used in trains.--There is hereby imposed
a tax of 0.1 cent per gallon on any liquid other than
gasoline (as defined in section 4083)--
``(A) sold by any person to an owner, lessee, or other
operator of a diesel-powered train for use as a fuel in such
train, or
``(B) used by any person as a fuel in a diesel-powered
train unless there was a taxable sale of such fuel under
subparagraph (A).
No tax shall be imposed by this paragraph on the sale or use
of any liquid if tax was imposed on such liquid under section
4081.''.
(D) Subsection (f) of section 4082 is amended by striking
``section 4041(a)(1)'' and inserting ``subsections (d)(3) and
(a)(1) of section 4041, respectively''.
(E) Subparagraphs (A) and (B) of section 4083(a)(3), as
amended by section 5261 of this Act, are amended by striking
``or a diesel-powered train''.
(F) Paragraph (3) of section 6421(f) is amended to read as
follows:
``(3) Gasoline used in trains.--In the case of gasoline
used as a fuel in a train, this section shall not apply with
respect to the Leaking Underground Storage Tank Trust Fund
financing rate under section 4081.''.
(G) Paragraph (3) of section 6427(l) is amended to read as
follows:
``(3) Refund of certain taxes on fuel used in diesel-
powered trains.--For purposes of this subsection, the term
`nontaxable use' includes fuel used in a diesel-powered
train. The preceding sentence shall not apply to the tax
imposed by section 4041(d) and the Leaking Underground
Storage Tank Trust Fund financing rate under section 4081
except with respect to fuel sold for exclusive use by a State
or any political subdivision thereof.''.
(b) Fuel Used on Inland Waterways.--
(1) In general.--Paragraph (1) of section 4042(b) is
amended by adding ``and'' at the end of subparagraph (A), by
striking ``, and''
[[Page S1147]]
at the end of subparagraph (B) and inserting a period, and by
striking subparagraph (C).
(2) Conforming amendment.--Paragraph (2) of section 4042(b)
is amended by striking subparagraph (C).
(c) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
PART II--AQUATIC EXCISE TAXES
SEC. 5411. ELIMINATION OF AQUATIC RESOURCES TRUST FUND AND
TRANSFORMATION OF SPORT FISH RESTORATION
ACCOUNT.
(a) Simplification of Funding for Boat Safety Account.--
(1) In general.--Section 9503(c)(3) (relating to transfers
from Trust Fund for motorboat fuel taxes), as redesignated by
section 5002 of this Act, is amended--
(A) by striking ``Fund--'' and all that follows through
``shall be transferred'' in subparagraph (B) and inserting
``Fund which is attributable to motorboat fuel taxes shall be
transferred'', and
(B) by striking subparagraph (A), and
(C) by redesignating subparagraphs (B) through (E) as
subparagraphs (A) through (D), respectively.
(2) Conforming amendments.--
(A) Section 9503(b)(4) is amended by striking subparagraph
(D).
(B) Subparagraph (B) of section 9503(c)(3), as redesignated
by section 5002 of this Act and subsection (a)(3), is
amended--
(i) by striking ``account'' in the heading and inserting
``trust fund'',
(ii) by striking ``or (B)'' in clause (ii), and
(iii) by striking ``Account in the Aquatic Resources''.
(C) Subparagraph (C) of section 9503(c)(3), as redesignated
by section 5002 of this Act and subsection (a)(3), is amended
by striking ``, but only to the extent such taxes are
deposited into the Highway Trust Fund''.
(D) Paragraph (4) of section 9503(c), as redesignated by
section 5002 of this Act, is amended--
(i) by striking ``Account in the Aquatic Resources'' in
subparagraph (A), and
(ii) by striking ``, but only to the extent such taxes are
deposited into the Highway Trust Fund'' in subparagraph (B).
(b) Merging of Accounts.--
(1) In general.--Subsection (a) of section 9504 is amended
to read as follows:
``(a) Creation of Trust Fund.--There is hereby established
in the Treasury of the United States a trust fund to be known
as the `Sport Fish Restoration Trust Fund'. Such Trust Fund
shall consist of such amounts as may be appropriated,
credited, or paid to it as provided in this section, section
9503(c)(3), section 9503(c)(4), or section 9602(b).''.
(2) Conforming amendments.--
(A) Subsection (b) of section 9504 is amended--
(i) by striking ``Account'' in the heading and inserting
``Trust Fund'',
(ii) by striking ``Account'' both places it appears in
paragraphs (1) and (2) and inserting ``Trust Fund'', and
(iii) by striking ``account'' both places it appears in the
headings for paragraphs (1) and (2) and inserting ``trust
fund''.
(B) Subsection (d) of section 9504, as amended by section
5001 of this Act, is amended--
(i) by striking ``Aquatic Resources'' in the heading,
(ii) by striking ``any Account in the Aquatic Resources''
in paragraph (1) and inserting ``the Sports Fish
Restoration'', and
(iii) by striking ``any such Account'' in paragraph (1) and
inserting ``such Trust Fund''.
(C) Subsection (e) of section 9504, as amended by section
5002 of this Act, is amended by striking ``Boat Safety
Account and Sport Fish Restoration Account'' and inserting
``Sport Fish Restoration Trust Fund''.
(D) Section 9504 is amended by striking ``AQUATIC
RESOURCES'' in the heading and inserting ``SPORT FISH
RESTORATION''.
(E) The item relating to section 9504 in the table of
sections for subchapter A of chapter 98 is amended by
striking ``aquatic resources'' and inserting ``sport fish
restoration''.
(c) Phaseout of Boat Safety Account.--Subsection (c) of
section 9504 is amended to read as follows:
``(c) Expenditures From Boat Safety Account.--Amounts
remaining in the Boat Safety Account on October 1, 2004, and
amounts thereafter credited to the Account under section
9602(b), shall be available, as provided by appropriation
Acts, for making expenditures before October 1, 2009, to
carry out the purposes of section 13106 of title 46, United
States Code (as in effect on the date of the enactment of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004).''.
(d) Effective Date.--The amendments made by this section
shall take effect on October 1, 2004.
SEC. 5412. EXEMPTION OF LED DEVICES FROM SONAR DEVICES
SUITABLE FOR FINDING FISH.
(a) In General.--Section 4162(b) (defining sonar device
suitable for finding fish) is amended by striking ``or'' at
the end of paragraph (3), by striking the period at the end
of paragraph (4) and inserting ``, or'', and by adding at the
end the following new paragraph:
``(5) an LED display.''.
(b) Effective Date.--The amendments made by this section
shall apply to articles sold by the manufacturer, producer,
or importer after September 30, 2004.
SEC. 5413. REPEAL OF HARBOR MAINTENANCE TAX ON EXPORTS.
(a) In General.--Subsection (d) of section 4462 (relating
to definitions and special rules) is amended to read as
follows:
``(d) Nonapplicability of Tax to Exports.--The tax imposed
by section 4461(a) shall not apply to any port use with
respect to any commercial cargo to be exported from the
United States.''.
(b) Conforming Amendments.--
(1) Section 4461(c)(1) is amended by adding ``or'' at the
end of subparagraph (A), by striking subparagraph (B), and by
redesignating subparagraph (C) as subparagraph (B).
(2) Section 4461(c)(2) is amended by striking ``imposed--''
and all that follows through ``in any other case,'' and
inserting ``imposed''.
(c) Effective Date.--The amendments made by this section
shall take effect before, on, and after the date of the
enactment of this Act.
SEC. 5414. CAP ON EXCISE TAX ON CERTAIN FISHING EQUIPMENT.
(a) In General.--Paragraph (1) of section 4161(a) (relating
to sport fishing equipment) is amended to read as follows:
``(1) Imposition of tax.--
``(A) In general.--There is hereby imposed on the sale of
any article of sport fishing equipment by the manufacturer,
producer, or importer a tax equal to 10 percent of the price
for which so sold.
``(B) Limitation on tax imposed on fishing rods and
poles.--The tax imposed by subparagraph (A) on any fishing
rod or pole shall not exceed $10.''.
(b) Conforming Amendments.--Section 4161(a)(2) is amended
by striking ``paragraph (1)'' both places it appears and
inserting ``paragraph (1)(A)''.
(c) Effective Date.--The amendments made by this section
shall apply to articles sold by the manufacturer, producer,
or importer after September 30, 2004.
SEC. 5415. REDUCTION IN RATE OF TAX ON PORTABLE AERATED BAIT
CONTAINERS.
(a) In General.--Section 4161(a)(2)(A) (relating to 3
percent rate of tax for electric outboard motors and sonar
devices suitable for finding fish) is amended by inserting
``or a portable aerated bait container'' after ``fish''.
(b) Conforming Amendment.--The heading of section
4161(a)(2) is amended by striking ``electric outboard motors
and sonar devices suitable for finding fish'' and inserting
``certain sport fishing equipment''.
(c) Effective Date.--The amendments made by this section
shall apply to articles sold by the manufacturer, producer,
or importer after September 30, 2004.
PART III--AERIAL EXCISE TAXES
SEC. 5421. CLARIFICATION OF EXCISE TAX EXEMPTIONS FOR
AGRICULTURAL AERIAL APPLICATORS AND EXEMPTION
FOR FIXED-WING AIRCRAFT ENGAGED IN FORESTRY
OPERATIONS.
(a) No Waiver by Farm Owner, Tenant, or Operator
Necessary.--Subparagraph (B) of section 6420(c)(4) (relating
to certain farming use other than by owner, etc.) is amended
to read as follows:
``(B) if the person so using the gasoline is an aerial or
other applicator of fertilizers or other substances and is
the ultimate purchaser of the gasoline, then subparagraph (A)
of this paragraph shall not apply and the aerial or other
applicator shall be treated as having used such gasoline on a
farm for farming purposes.''.
(b) Exemption Includes Fuel Used Between Airfield and
Farm.--Section 6420(c)(4), as amended by subsection (a), is
amended by adding at the end the following new flush
sentence:
``For purposes of this paragraph, in the case of an aerial
applicator, gasoline shall be treated as used on a farm for
farming purposes if the gasoline is used for the direct
flight between the airfield and 1 or more farms.''.
(c) Exemption from Tax on Air Transportation of Persons for
Forestry Purposes Extended to Fixed-Wing Aircraft.--
Subsection (f) of section 4261 (relating to tax on air
transportation of persons) is amended to read as follows:
``(f) Exemption for Certain Uses.--No tax shall be imposed
under subsection (a) or (b) on air transportation--
``(1) by helicopter for the purpose of transporting
individuals, equipment, or supplies in the exploration for,
or the development or removal of, hard minerals, oil, or gas,
or
``(2) by helicopter or by fixed-wing aircraft for the
purpose of the planting, cultivation, cutting, or
transportation of, or caring for, trees (including logging
operations),
but only if the helicopter or fixed-wing aircraft does not
take off from, or land at, a facility eligible for assistance
under the Airport and Airway Development Act of 1970, or
otherwise use services provided pursuant to section 44509 or
44913(b) or subchapter I of chapter 471 of title 49, United
States Code, during such use. In the case of helicopter
transportation described in paragraph (1), this subsection
shall be applied by treating each flight segment as a
distinct flight.''.
(d) Effective Date.--The amendments made by this section
shall apply to fuel use or air transportation after the date
of the enactment of this Act.
SEC. 5422. MODIFICATION OF RURAL AIRPORT DEFINITION.
(a) In General.--Section 4261(e)(1)(B) (defining rural
airport) is amended--
[[Page S1148]]
(1) by inserting ``(in the case of any airport described in
clause (ii)(III), on flight segments of at least 100 miles)''
after ``by air'' in clause (i), and
(2) by striking the period at the end of subclause (II) of
clause (ii) and inserting ``, or'', and by adding at the end
of clause (ii) the following new subclause:
``(III) is not connected by paved roads to another
airport.''.
(b) Effective Date.--The amendments made by this section
shall take effect on April 1, 2004.
SEC. 5423. EXEMPTION FROM TICKET TAXES FOR TRANSPORTATION
PROVIDED BY SEAPLANES.
(a) In General.--Section 4261 (relating to imposition of
tax) is amended by redesignating subsection (i) as subsection
(j) and by inserting after subsection (h) the following new
subsection:
``(i) Exemption for Seaplanes.--No tax shall be imposed by
this section or section 4271 on any air transportation by a
seaplane with respect to any segment consisting of a takeoff
from, and a landing on, water, but only if the places at
which such takeoff and landing occur have not received and
are not receiving financial assistance from the Airport and
Airways Trust Fund.''.
(b) Effective Date.--The amendments made by this section
shall apply to transportation beginning after March 31, 2004.
SEC. 5424. CERTAIN SIGHTSEEING FLIGHTS EXEMPT FROM TAXES ON
AIR TRANSPORTATION.
(a) In General.--Section 4281 (relating to small aircraft
on nonestablished lines) is amended by adding at the end the
following new sentence: ``For purposes of this section, an
aircraft shall not be considered as operated on an
established line if such aircraft is operated on a flight the
sole purpose of which is sightseeing.''.
(b) Effective Date.--The amendment made by this section
shall apply with respect to transportation beginning on or
after the date of the enactment of this Act, but shall not
apply to any amount paid before such date for such
transportation.
PART IV--ALCOHOLIC BEVERAGE EXCISE TAXES
SEC. 5431. REPEAL OF SPECIAL OCCUPATIONAL TAXES ON PRODUCERS
AND MARKETERS OF ALCOHOLIC BEVERAGES.
(a) Repeal of Occupational Taxes.--
(1) In general.--The following provisions of part II of
subchapter A of chapter 51 (relating to occupational taxes)
are hereby repealed:
(A) Subpart A (relating to proprietors of distilled spirits
plants, bonded wine cellars, etc.).
(B) Subpart B (relating to brewer).
(C) Subpart D (relating to wholesale dealers) (other than
sections 5114 and 5116).
(D) Subpart E (relating to retail dealers) (other than
section 5124).
(E) Subpart G (relating to general provisions) (other than
sections 5142, 5143, 5145, and 5146).
(2) Nonbeverage domestic drawback.--Section 5131 is amended
by striking ``, on payment of a special tax per annum,''.
(3) Industrial use of distilled spirits.--Section 5276 is
hereby repealed.
(b) Conforming Amendments.--
(1)(A) The heading for part II of subchapter A of chapter
51 and the table of subparts for such part are amended to
read as follows:
``PART II--MISCELLANEOUS PROVISIONS
``Subpart A. Manufacturers of stills.
``Subpart B. Nonbeverage domestic drawback claimants.
``Subpart C. Recordkeeping by dealers.
``Subpart D. Other provisions.''.
(B) The table of parts for such subchapter A is amended by
striking the item relating to part II and inserting the
following new item:
``Part II. Miscellaneous provisions.''.
(2) Subpart C of part II of such subchapter (relating to
manufacturers of stills) is redesignated as subpart A.
(3)(A) Subpart F of such part II (relating to nonbeverage
domestic drawback claimants) is redesignated as subpart B and
sections 5131 through 5134 are redesignated as sections 5111
through 5114, respectively.
(B) The table of sections for such subpart B, as so
redesignated, is amended--
(i) by redesignating the items relating to sections 5131
through 5134 as relating to sections 5111 through 5114,
respectively, and
(ii) by striking ``AND RATE OF TAX'' in the item relating
to section 5111, as so redesignated.
(C) Section 5111, as redesignated by subparagraph (A), is
amended--
(i) by striking ``AND RATE OF TAX'' in the section heading,
(ii) by striking the subsection heading for subsection (a),
and
(iii) by striking subsection (b).
(4) Part II of subchapter A of chapter 51 is amended by
adding after subpart B, as redesignated by paragraph (3), the
following new subpart:
``Subpart C--Recordkeeping by Dealers
``Sec. 5121. Recordkeeping by wholesale dealers.
``Sec. 5122. Recordkeeping by retail dealers.
``Sec. 5123. Preservation and inspection of records, and entry of
premises for inspection.''.
(5)(A) Section 5114 (relating to records) is moved to
subpart C of such part II and inserted after the table of
sections for such subpart.
(B) Section 5114 is amended--
(i) by striking the section heading and inserting the
following new heading:
``SEC. 5121. RECORDKEEPING BY WHOLESALE DEALERS.'',
and
(ii) by redesignating subsection (c) as subsection (d) and
by inserting after subsection (b) the following new
subsection:
``(c) Wholesale Dealers.--For purposes of this part--
``(1) Wholesale dealer in liquors.--The term `wholesale
dealer in liquors' means any dealer (other than a wholesale
dealer in beer) who sells, or offers for sale, distilled
spirits, wines, or beer, to another dealer.
``(2) Wholesale dealer in beer.--The term `wholesale dealer
in beer' means any dealer who sells, or offers for sale,
beer, but not distilled spirits or wines, to another dealer.
``(3) Dealer.--The term `dealer' means any person who
sells, or offers for sale, any distilled spirits, wines, or
beer.
``(4) Presumption in case of sale of 20 wine gallons or
more.--The sale, or offer for sale, of distilled spirits,
wines, or beer, in quantities of 20 wine gallons or more to
the same person at the same time, shall be presumptive
evidence that the person making such sale, or offer for sale,
is engaged in or carrying on the business of a wholesale
dealer in liquors or a wholesale dealer in beer, as the case
may be. Such presumption may be overcome by evidence
satisfactorily showing that such sale, or offer for sale, was
made to a person other than a dealer.''.
(C) Paragraph (3) of section 5121(d), as so redesignated,
is amended by striking ``section 5146'' and inserting
``section 5123''.
(6)(A) Section 5124 (relating to records) is moved to
subpart C of part II of subchapter A of chapter 51 and
inserted after section 5121.
(B) Section 5124 is amended--
(i) by striking the section heading and inserting the
following new heading:
``SEC. 5122. RECORDKEEPING BY RETAIL DEALERS.'',
(ii) by striking ``section 5146'' in subsection (c) and
inserting ``section 5123'', and
(iii) by redesignating subsection (c) as subsection (d) and
inserting after subsection (b) the following new subsection:
``(c) Retail Dealers.--For purposes of this section--
``(1) Retail dealer in liquors.--The term `retail dealer in
liquors' means any dealer (other than a retail dealer in beer
or a limited retail dealer) who sells, or offers for sale,
distilled spirits, wines, or beer, to any person other than a
dealer.
``(2) Retail dealer in beer.--The term `retail dealer in
beer' means any dealer (other than a limited retail dealer)
who sells, or offers for sale, beer, but not distilled
spirits or wines, to any person other than a dealer.
``(3) Limited retail dealer.--The term `limited retail
dealer' means any fraternal, civic, church, labor,
charitable, benevolent, or ex-servicemen's organization
making sales of distilled spirits, wine or beer on the
occasion of any kind of entertainment, dance, picnic, bazaar,
or festival held by it, or any person making sales of
distilled spirits, wine or beer to the members, guests, or
patrons of bona fide fairs, reunions, picnics, carnivals, or
other similar outings, if such organization or person is not
otherwise engaged in business as a dealer.
``(4) Dealer.--The term `dealer' has the meaning given such
term by section 5121(c)(3).''.
(7) Section 5146 is moved to subpart C of part II of
subchapter A of chapter 51, inserted after section 5122, and
redesignated as section 5123.
(8) Part II of subchapter A of chapter 51 is amended by
inserting after subpart C the following new subpart:
``Subpart D--Other Provisions
``Sec. 5131. Packaging distilled spirits for industrial uses.
``Sec. 5132. Prohibited purchases by dealers.''.
(9) Section 5116 is moved to subpart D of part II of
subchapter A of chapter 51, inserted after the table of
sections, redesignated as section 5131, and amended by
inserting ``(as defined in section 5121(c))'' after
``dealer'' in subsection (a).
(10) Subpart D of part II of subchapter A of chapter 51 is
amended by adding at the end thereof the following new
section:
``SEC. 5132. PROHIBITED PURCHASES BY DEALERS.
``(a) In General.--Except as provided in regulations
prescribed by the Secretary, it shall be unlawful for a
dealer to purchase distilled spirits for resale from any
person other than a wholesale dealer in liquors who is
required to keep the records prescribed by section 5121.
``(b) Limited Retail Dealers.--A limited retail dealer may
lawfully purchase distilled spirits for resale from a retail
dealer in liquors.
``(c) Penalty and Forfeiture.--
``For penalty and forfeiture provisions applicable to violations of
subsection (a), see sections 5687 and 7302.''.
(11) Subsection (b) of section 5002 is amended--
(A) by striking ``section 5112(a)'' and inserting ``section
5121(c)(3)'',
(B) by striking ``section 5112'' and inserting ``section
5121(c)'',
(C) by striking ``section 5122'' and inserting ``section
5122(c)''.
[[Page S1149]]
(12) Subparagraph (A) of section 5010(c)(2) is amended by
striking ``section 5134'' and inserting ``section 5114''.
(13) Subsection (d) of section 5052 is amended to read as
follows:
``(d) Brewer.--For purposes of this chapter, the term
`brewer' means any person who brews beer or produces beer for
sale. Such term shall not include any person who produces
only beer exempt from tax under section 5053(e).''.
(14) The text of section 5182 is amended to read as
follows:
``For provisions requiring recordkeeping by wholesale
liquor dealers, see section 5121, and by retail liquor
dealers, see section 5122.''.
(15) Subsection (b) of section 5402 is amended by striking
``section 5092'' and inserting ``section 5052(d)''.
(16) Section 5671 is amended by striking ``or 5091''.
(17)(A) Part V of subchapter J of chapter 51 is hereby
repealed.
(B) The table of parts for such subchapter J is amended by
striking the item relating to part V.
(18)(A) Sections 5142, 5143, and 5145 are moved to
subchapter D of chapter 52, inserted after section 5731,
redesignated as sections 5732, 5733, and 5734, respectively,
and amended by striking ``this part'' each place it appears
and inserting ``this subchapter''.
(B) Section 5732, as redesignated by subparagraph (A), is
amended by striking ``(except the tax imposed by section
5131)'' each place it appears.
(C) Paragraph (2) of section 5733(c), as redesignated by
subparagraph (A), is amended by striking ``liquors'' both
places it appears and inserting ``tobacco products and
cigarette papers and tubes''.
(D) The table of sections for subchapter D of chapter 52 is
amended by adding at the end thereof the following:
``Sec. 5732. Payment of tax.
``Sec. 5733. Provisions relating to liability for occupational taxes.
``Sec. 5734. Application of State laws.''.
(E) Section 5731 is amended by striking subsection (c) and
by redesignating subsection (d) as subsection (c).
(19) Subsection (c) of section 6071 is amended by striking
``section 5142'' and inserting ``section 5732''.
(20) Paragraph (1) of section 7652(g) is amended--
(A) by striking ``subpart F'' and inserting ``subpart B'',
and
(B) by striking ``section 5131(a)'' and inserting ``section
5111''.
(c) Effective Date.--The amendments made by this section
shall take effect on July 1, 2004, but shall not apply to
taxes imposed for periods before such date.
SEC. 5432. SUSPENSION OF LIMITATION ON RATE OF RUM EXCISE TAX
COVER OVER TO PUERTO RICO AND VIRGIN ISLANDS.
(a) In General.--Section 7652(f)(1) (relating to limitation
on cover over of tax on distilled spirits) is amended by
striking ``January 1, 2004'' and inserting ``October 1, 2004,
and $13.50 in the case of distilled spirits brought into the
United States after September 30, 2004, and before January 1,
2006''.
(b) Effective Date.--
(1) In general.--The amendment made by subsection (a) shall
apply to articles containing distilled spirits brought into
the United States after December 31, 2003.
(2) Special rule.--
(A) In general.--After September 30, 2004, the treasury of
Puerto Rico shall make a Conservation Trust Fund transfer
within 30 days from the date of each cover over payment to
such treasury under section 7652(e) of the Internal Revenue
Code of 1986.
(B) Conservation trust fund transfer.--
(i) In general.--For purposes of this paragraph, the term
``Conservation Trust Fund transfer'' means a transfer to the
Puerto Rico Conservation Trust Fund of an amount equal to 50
cents per proof gallon of the taxes imposed under section
5001 or section 7652 of such Code on distilled spirits that
are covered over to the treasury of Puerto Rico under section
7652(e) of such Code.
(ii) Treatment of transfer.--Each Conservation Trust Fund
transfer shall be treated as principal for an endowment, the
income from which to be available for use by the Puerto Rico
Conservation Trust Fund for the purposes for which the Trust
Fund was established.
(iii) Result of nontransfer.--
(I) In general.--Upon notification by the Secretary of the
Interior that a Conservation Trust Fund transfer has not been
made by the treasury of Puerto Rico, the Secretary of the
Treasury shall, except as provided in subclause (II), deduct
and withhold from the next cover over payment to be made to
the treasury of Puerto Rico under section 7652(e) of such
Code an amount equal to the appropriate Conservation Trust
Fund transfer and interest thereon at the underpayment rate
established under section 6621 of such Code as of the due
date of such transfer. The Secretary of the Treasury shall
transfer such amount deducted and withheld, and the interest
thereon, directly to the Puerto Rico Conservation Trust Fund.
(II) Good cause exception.--If the Secretary of the
Interior finds, after consultation with the Governor of
Puerto Rico, that the failure by the treasury of Puerto Rico
to make a required transfer was for good cause, and notifies
the Secretary of the Treasury of the finding of such good
cause before the due date of the next cover over payment
following the notification of nontransfer, then the Secretary
of the Treasury shall not deduct the amount of such
nontransfer from any cover over payment.
(C) Puerto rico conservation trust fund.--For purposes of
this paragraph, the term ``Puerto Rico Conservation Trust
Fund'' means the fund established pursuant to a Memorandum of
Understanding between the United States Department of the
Interior and the Commonwealth of Puerto Rico, dated December
24, 1968.
PART V--SPORT EXCISE TAXES
SEC. 5441. CUSTOM GUNSMITHS.
(a) Small Manufacturers Exempt From Firearms Excise Tax.--
Section 4182 (relating to exemptions) is amended by
redesignating subsection (c) as subsection (d) and by
inserting after subsection (b) the following new subsection:
``(c) Small Manufacturers, Etc.--
``(1) In general.--The tax imposed by section 4181 shall
not apply to any article described in such section if
manufactured, produced, or imported by a person who
manufactures, produces, and imports less than 50 of such
articles during the calendar year.
``(2) Controlled groups.--All persons treated as a single
employer for purposes of subsection (a) or (b) of section 52
shall be treated as one person for purposes of paragraph
(1).''.
(b) Effective Date.--
(1) In general.--The amendments made by this section shall
apply to articles sold by the manufacturer, producer, or
importer on or after the date which is the first day of the
month beginning at least 2 weeks after the date of the
enactment of this Act.
(2) No inference.--Nothing in the amendments made by this
section shall be construed to create any inference with
respect to the proper tax treatment of any sales before the
effective date of such amendments.
SEC. 5442. MODIFIED TAXATION OF IMPORTED ARCHERY PRODUCTS.
(a) Bows.--Paragraph (1) of section 4161(b) (relating to
bows) is amended to read as follows:
``(1) Bows.--
``(A) In general.--There is hereby imposed on the sale by
the manufacturer, producer, or importer of any bow which has
a peak draw weight of 30 pounds or more, a tax equal to 11
percent of the price for which so sold.
``(B) Archery equipment.--There is hereby imposed on the
sale by the manufacturer, producer, or importer--
``(i) of any part or accessory suitable for inclusion in or
attachment to a bow described in subparagraph (A), and
``(ii) of any quiver or broadhead suitable for use with an
arrow described in paragraph (2),
a tax equal to 11 percent of the price for which so sold.''.
(b) Arrows.--Subsection (b) of section 4161 (relating to
bows and arrows, etc.) is amended by redesignating paragraph
(3) as paragraph (4) and inserting after paragraph (2) the
following:
``(3) Arrows.--
``(A) In general.--There is hereby imposed on the sale by
the manufacturer, producer, or importer of any arrow, a tax
equal to 12 percent of the price for which so sold.
``(B) Exception.--In the case of any arrow of which the
shaft or any other component has been previously taxed under
paragraph (1) or (2)--
``(i) section 6416(b)(3) shall not apply, and
``(ii) the tax imposed by subparagraph (A) shall be an
amount equal to the excess (if any) of--
``(I) the amount of tax imposed by this paragraph
(determined without regard to this subparagraph), over
``(II) the amount of tax paid with respect to the tax
imposed under paragraph (1) or (2) on such shaft or
component.
``(C) Arrow.--For purposes of this paragraph, the term
`arrow' means any shaft described in paragraph (2) to which
additional components are attached.''.
(c) Conforming Amendments.--Section 4161(b)(2) is amended--
(1) by inserting ``(other than broadheads)'' after
``point'', and
(2) by striking ``Arrows.--'' in the heading and inserting
``Arrow components.--''.
(d) Effective Date.--The amendments made by this section
shall apply to articles sold by the manufacturer, producer,
or importer after the date of the enactment of this Act.
SEC. 5443. TREATMENT OF TRIBAL GOVERNMENTS FOR PURPOSES OF
FEDERAL WAGERING EXCISE AND OCCUPATIONAL TAXES.
(a) In General.--Subsection (a) of section 7871 (relating
to Indian tribal governments treated as States for certain
purposes) is amended by striking ``and'' at the end of
paragraph (6), by striking the period at the end of paragraph
(7) and inserting ``; and'', and by adding at the end the
following new paragraph:
``(8) for purposes of chapter 35 (relating to taxes on
wagering).''.
(b) Effective Date.--The amendments made by this section
shall take effect on July 1, 2004, but shall not apply to
taxes imposed for periods before such date.
[[Page S1150]]
PART VI--OTHER PROVISIONS
SEC. 5451. INCOME TAX CREDIT FOR DISTILLED SPIRITS
WHOLESALERS AND FOR DISTILLED SPIRITS IN
CONTROL STATE BAILMENT WAREHOUSES FOR COSTS OF
CARRYING FEDERAL EXCISE TAXES ON BOTTLED
DISTILLED SPIRITS.
(a) In General.--Subpart A of part I of subchapter A of
chapter 51 (relating to gallonage and occupational taxes) is
amended by adding at the end the following new section:
``SEC. 5011. INCOME TAX CREDIT FOR AVERAGE COST OF CARRYING
EXCISE TAX.
``(a) In General.--For purposes of section 38, the amount
of the distilled spirits credit for any taxable year is the
amount equal to the product of--
``(1) in the case of--
``(A) any eligible wholesaler--
``(i) the number of cases of bottled distilled spirits--
``(I) which were bottled in the United States, and
``(II) which are purchased by such wholesaler during the
taxable year directly from the bottler of such spirits, or
``(B) any person which is subject to section 5005 and which
is not an eligible wholesaler, the number of cases of bottled
distilled spirits which are stored in a warehouse operated
by, or on behalf of, a State, or agency or political
subdivision thereof, on which title has not passed on an
unconditional sale basis, and
``(2) the average tax-financing cost per case for the most
recent calendar year ending before the beginning of such
taxable year.
``(b) Eligible Wholesaler.--For purposes of this section,
the term `eligible wholesaler' means any person which holds a
permit under the Federal Alcohol Administration Act as a
wholesaler of distilled spirits which is not a State, or
agency or political subdivision thereof.
``(c) Average Tax-Financing Cost.--
``(1) In general.--For purposes of this section, the
average tax-financing cost per case for any calendar year is
the amount of interest which would accrue at the deemed
financing rate during a 60-day period on an amount equal to
the deemed Federal excise tax per case.
``(2) Deemed financing rate.--For purposes of paragraph
(1), the deemed financing rate for any calendar year is the
average of the corporate overpayment rates under paragraph
(1) of section 6621(a) (determined without regard to the last
sentence of such paragraph) for calendar quarters of such
year.
``(3) Deemed federal excise tax per case.--For purposes of
paragraph (1), the deemed Federal excise tax per case is
$25.68.
``(d) Other Definitions and Special Rules.--For purposes of
this section--
``(1) Case.--The term `case' means 12 80-proof 750
milliliter bottles.
``(2) Number of cases in lot.--The number of cases in any
lot of distilled spirits shall be determined by dividing the
number of liters in such lot by 9.''.
(b) Credit Treated as Part of General Business Credit.--
Section 38(b) (relating to current year business credit), as
amended by section 5101 of this Act, is amended by striking
``plus'' at the end of paragraph (15), by striking the period
at the end of paragraph (16) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(17) the distilled spirits credit determined under
section 5011(a).''.
(c) Conforming Amendments.--
(1) Section 39(d), as amended by section 5101 of this Act,
is amended by adding at the end the following new paragraph:
``(12) No carryback of section 5011 credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the credit determined
under section 5011(a) may be carried back to a taxable year
beginning before the date of the enactment of section
5011.''.
(2) The table of sections for subpart A of part I of
subchapter A of chapter 51 is amended by adding at the end
the following new item:
``Sec. 5011. Income tax credit for average cost of carrying excise
tax.''.
(d) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after the date of the
enactment of this Act.
SEC. 5452. CREDIT FOR TAXPAYERS OWNING COMMERCIAL POWER
TAKEOFF VEHICLES.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business-related credits) is amended
by adding at the end the following new section:
``SEC. 45G. COMMERCIAL POWER TAKEOFF VEHICLES CREDIT.
``(a) General Rule.--For purposes of section 38, the amount
of the commercial power takeoff vehicles credit determined
under this section for the taxable year is $250 for each
qualified commercial power takeoff vehicle owned by the
taxpayer as of the close of the calendar year in which or
with which the taxable year of the taxpayer ends.
``(b) Definitions.--For purposes of this section--
``(1) Qualified commercial power takeoff vehicle.--The term
`qualified commercial power takeoff vehicle' means any
highway vehicle described in paragraph (2) which is propelled
by any fuel subject to tax under section 4041 or 4081 if such
vehicle is used in a trade or business or for the production
of income (and is licensed and insured for such use).
``(2) Highway vehicle described.--A highway vehicle is
described in this paragraph if such vehicle is--
``(A) designed to engage in the daily collection of refuse
or recyclables from homes or businesses and is equipped with
a mechanism under which the vehicle's propulsion engine
provides the power to operate a load compactor, or
``(B) designed to deliver ready mixed concrete on a daily
basis and is equipped with a mechanism under which the
vehicle's propulsion engine provides the power to operate a
mixer drum to agitate and mix the product en route to the
delivery site.
``(c) Exception for Vehicles Used by Governments, Etc.--No
credit shall be allowed under this section for any vehicle
owned by any person at the close of a calendar year if such
vehicle is used at any time during such year by--
``(1) the United States or an agency or instrumentality
thereof, a State, a political subdivision of a State, or an
agency or instrumentality of one or more States or political
subdivisions, or
``(2) an organization exempt from tax under section 501(a).
``(d) Termination.--This section shall not apply with
respect to any calendar year after 2006.''.
(b) Credit Treated as Part of General Business Credit.--
Section 38(b) (relating to current year business credit), as
amended by section 5451 of this Act, is amended by striking
``plus'' at the end of paragraph (16), by striking the period
at the end of paragraph (17) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(18) the commercial power takeoff vehicles credit under
section 45G(a).''.
(c) Conforming Amendments.--
(1) Section 39(d), as amended by section 5451 of this Act,
is amended by adding at the end the following new paragraph:
``(13) No carryback of section 45g credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the credit determined
under section 45G(a) may be carried back to a taxable year
beginning on or before the date of the enactment of section
45G.''.
(2) The table of sections for subpart D of part IV of
subchapter A of chapter 1 is amended by adding at the end the
following new item:
``Sec. 45G. Commercial power takeoff vehicles credit.''.
(d) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after the date of the
enactment of this Act.
SEC. 5453. CREDIT FOR AUXILIARY POWER UNITS INSTALLED ON
DIESEL-POWERED TRUCKS.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business-related credits), as amended
by section 5452 of this Act, is amended by adding at the end
the following new section:
``SEC. 45H. AUXILIARY POWER UNIT CREDIT.
``(a) General Rule.--For purposes of section 38, the amount
of the auxiliary power unit credit determined under this
section for the taxable year is $250 for each qualified
auxiliary power unit--
``(1) purchased by the taxpayer, and
``(2) installed or caused to be installed by the taxpayer
on a qualified heavy-duty highway vehicle during such taxable
year.
``(b) Definitions.--For purposes of this section--
``(1) Qualified auxiliary power unit.--The term `qualified
auxiliary power unit' means any integrated system which--
``(A) provides heat, air conditioning, engine warming, and
electricity to the factory installed components on a
qualified heavy-duty highway vehicle as if the main drive
engine of such vehicle was in operation,
``(B) is employed to reduce long-term idling of the diesel
engine on such a vehicle, and
``(C) is certified by the Environmental Protection Agency
as meeting emission standards in regulations in effect on the
date of the enactment of this section.
``(2) Qualified heavy-duty highway vehicle.--The term
`qualified heavy-duty highway vehicle' means any highway
vehicle weighing more than 12,500 pounds and powered by a
diesel engine.
``(c) Termination.--This section shall not apply with
respect to any installation occurring after December 31,
2006.''.
(b) Credit Treated as Part of General Business Credit.--
Section 38(b) (relating to current year business credit), as
amended by section 5452 of this Act, is amended by striking
``plus'' at the end of paragraph (17), by striking the period
at the end of paragraph (18) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(19) the auxiliary power unit credit under section
45H(a).''.
(c) Conforming Amendments.--
(1) Section 39(d), as amended by section 5452 of this Act,
is amended by adding at the end the following new paragraph:
``(14) No carryback of section 45h credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the credit determined
under section 45H(a) may be carried back to a taxable year
beginning on or before the date of the enactment of section
45H.''.
(2) The table of sections for subpart D of part IV of
subchapter A of chapter 1, as amended by section 5452 of this
Act, is amended by adding at the end the following new item:
``Sec. 45H. Auxiliary power unit credit.''.
[[Page S1151]]
(d) Effective Date.--The amendments made by this section
shall apply to auxiliary power units purchased and installed
for taxable years beginning after the date of the enactment
of this Act.
Subtitle F--Miscellaneous Provisions
SEC. 5501. MOTOR FUEL TAX ENFORCEMENT ADVISORY COMMISSION.
(a) Establishment.--There is established a Motor Fuel Tax
Enforcement Advisory Commission (in this section referred to
as the ``Commission'').
(b) Function.--The Commission shall--
(1) review motor fuel revenue collections, historical and
current;
(2) review the progress of investigations;
(3) develop and review legislative proposals with respect
to motor fuel taxes;
(4) monitor the progress of administrative regulation
projects relating to motor fuel taxes;
(5) review the results of Federal and State agency
cooperative efforts regarding motor fuel taxes;
(6) review the results of Federal interagency cooperative
efforts regarding motor fuel taxes; and
(7) evaluate and make recommendations regarding--
(A) the effectiveness of existing Federal enforcement
programs regarding motor fuel taxes,
(B) enforcement personnel allocation, and
(C) proposals for regulatory projects, legislation, and
funding.
(c) Membership.--
(1) Appointment.--The Commission shall be composed of the
following representatives appointed by the Chairmen and the
Ranking Members of the Committee on Finance of the Senate and
the Committee on Ways and Means of the House of
Representatives:
(A) At least 1 representative from each of the following
Federal entities: the Department of Homeland Security, the
Department of Transportation - Office of Inspector General,
the Federal Highway Administration, the Department of
Defense, and the Department of Justice.
(B) At least 1 representative from the Federation of State
Tax Administrators.
(C) At least 1 representative from any State department of
transportation.
(D) 2 representatives from the highway construction
industry.
(E) 5 representatives from industries relating to fuel
distribution -- refiners (2 representatives), distributors (1
representative), pipelines (1 representative), and terminal
operators (2 representatives).
(F) 1 representative from the retail fuel industry.
(G) 2 representatives from the staff of the Committee on
Finance of the Senate and 2 representatives from the staff of
the Committee on Ways and Means of the House of
Representatives.
(2) Terms.--Members shall be appointed for the life of the
Commission.
(3) Vacancies.--A vacancy in the Commission shall be filled
in the manner in which the original appointment was made.
(4) Travel expenses.--Members shall serve without pay but
shall receive travel expenses, including per diem in lieu of
subsistence, in accordance with sections 5702 and 5703 of
title 5, United States Code.
(5) Chairman.--The Chairman of the Commission shall be
elected by the members.
(d) Funding.--Such sums as are necessary shall be available
from the Highway Trust fund for the expenses of the
Commission.
(e) Consultation.--Upon request of the Commission,
representatives of the Department of the Treasury and the
Internal Revenue Service shall be available for consultation
to assist the Commission in carrying out its duties under
this section.
(f) Obtaining Data.--The Commission may secure directly
from any department or agency of the United States,
information (other than information required by any law to be
kept confidential by such department or agency) necessary for
the Commission to carry out its duties under this section.
Upon request of the Commission, the head of that department
or agency shall furnish such nonconfidential information to
the Commission. The Commission shall also gather evidence
through such means as it may deem appropriate, including
through holding hearings and soliciting comments by means of
Federal Register notices.
(g) Termination.--The Commission shall terminate after
September 30, 2009.
SEC. 5502. NATIONAL SURFACE TRANSPORTATION INFRASTRUCTURE
FINANCING COMMISSION.
(a) Establishment.--There is established a National Surface
Transportation Infrastructure Financing Commission (in this
section referred to as the ``Commission''). The Commission
shall hold its first meeting within 90 days of the
appointment of the eighth individual to be named to the
Commission.
(b) Function.--
(1) In general.--The Commission shall--
(A) make a thorough investigation and study of revenues
flowing into the Highway Trust Fund under current law,
including the individual components of the overall flow of
such revenues;
(B) consider whether the amount of such revenues is likely
to increase, decline, or remain unchanged, absent changes in
the law, particularly by taking into account the impact of
possible changes in public vehicular choice, fuel use, or
travel alternatives that could be expected to reduce or
increase revenues into the Highway Trust Fund;
(C) consider alternative approaches to generating revenues
for the Highway Trust Fund, and the level of revenues that
such alternatives would yield;
(D) consider highway and transit needs and whether
additional revenues into the Highway Trust Fund, or other
Federal revenues dedicated to highway and transit
infrastructure, would be required in order to meet such
needs; and
(E) study such other matters closely related to the
subjects described in the preceding subparagraphs as it may
deem appropriate.
(2) Time frame of investigation and study.--The time frame
to be considered by the Commission shall extend through the
year 2015.
(3) Preparation of report.--Based on such investigation and
study, the Commission shall develop a final report, with
recommendations and the bases for those recommendations,
indicating policies that should be adopted, or not adopted,
to achieve various levels of annual revenue for the Highway
Trust Fund and to enable the Highway Trust Fund to receive
revenues sufficient to meet highway and transit needs. Such
recommendations shall address, among other matters as the
Commission may deem appropriate--
(A) what levels of revenue are required by the Federal
Highway Trust Fund in order for it to meet needs to--
(i) maintain, and
(ii) improve the condition and performance of the Nation's
highway and transit systems;
(B) what levels of revenue are required by the Federal
Highway Trust Fund in order to ensure that Federal levels of
investment in highways and transit do not decline in real
terms; and
(C) the extent, if any, to which the Highway Trust Fund
should be augmented by other mechanisms or funds as a Federal
means of financing highway and transit infrastructure
investments.
(c) Membership.--
(1) Appointment.--The Commission shall be composed of 15
members, appointed as follows:
(A) 7 members appointed by the Secretary of Transportation,
in consultation with the Secretary of the Treasury.
(B) 2 members appointed by the Chairman of the Committee on
Ways and Means of the House of Representatives.
(C) 2 members appointed by the Ranking Minority Member of
the Committee on Ways and Means of the House of
Representatives.
(D) 2 members appointed by the Chairman of the Committee on
Finance of the Senate.
(E) 2 members appointed by the Ranking Minority Member of
the Committee on Finance of the Senate.
(2) Qualifications.--Members appointed pursuant to
paragraph (1) shall be appointed from among individuals
knowledgeable in the fields of public transportation finance
or highway and transit programs, policy, and needs, and may
include representatives of interested parties, such as State
and local governments or other public transportation
authorities or agencies, representatives of the
transportation construction industry (including suppliers of
technology, machinery and materials), transportation labor
(including construction and providers), transportation
providers, the financial community, and users of highway and
transit systems.
(3) Terms.--Members shall be appointed for the life of the
Commission.
(4) Vacancies.--A vacancy in the Commission shall be filled
in the manner in which the original appointment was made.
(5) Travel expenses.--Members shall serve without pay but
shall receive travel expenses, including per diem in lieu of
subsistence, in accordance with sections 5702 and 5703 of
title 5, United States Code.
(6) Chairman.--The Chairman of the Commission shall be
elected by the members.
(d) Staff.--The Commission may appoint and fix the pay of
such personnel as it considers appropriate.
(e) Funding.--Funding for the Commission shall be provided
by the Secretary of the Treasury and by the Secretary of
Transportation, out of funds available to those agencies for
administrative and policy functions.
(f) Staff of Federal Agencies.--Upon request of the
Commission, the head of any department or agency of the
United States may detail any of the personnel of that
department or agency to the Commission to assist in carrying
out its duties under this section.
(g) Obtaining Data.--The Commission may secure directly
from any department or agency of the United States,
information (other than information required by any law to be
kept confidential by such department or agency) necessary for
the Commission to carry out its duties under this section.
Upon request of the Commission, the head of that department
or agency shall furnish such nonconfidential information to
the Commission. The Commission shall also gather evidence
through such means as it may deem appropriate, including
through holding hearings and soliciting comments by means of
Federal Register notices.
(h) Report.--Not later than 2 years after the date of its
first meeting, the Commission shall transmit its final
report, including recommendations, to the Secretary of
Transportation, the Secretary of the Treasury, and the
Committee on Ways and Means of the House of Representatives,
the Committee on Finance of the Senate, the Committee on
Transportation and Infrastructure of the House of
Representatives, the Committee on
[[Page S1152]]
Environment and Public Works of the Senate, and the Committee
on Banking, Housing, and Urban Affairs of the Senate.
(i) Termination.--The Commission shall terminate on the
180th day following the date of transmittal of the report
under subsection (h). All records and papers of the
Commission shall thereupon be delivered to the Administrator
of General Services for deposit in the National Archives.
SEC. 5503. TREASURY STUDY OF FUEL TAX COMPLIANCE AND
INTERAGENCY COOPERATION.
(a) In General.--Not later than January 31, 2006, the
Secretary of the Treasury shall submit to the Committee on
Finance of the Senate and the Committee on Ways and Means of
the House of Representatives a report regarding fuel tax
enforcement which shall include the information and analysis
specified in subsections (b) and (c) and any other
information and recommendations the Secretary of the Treasury
may deem appropriate.
(b) Audits.--With respect to audits conducted by the
Internal Revenue Service, the report required under
subsection (a) shall include--
(1) the number and geographic distribution of audits
conducted annually, by fiscal year, between October 1, 2001,
and September 30, 2005;
(2) the total volume involved for each of the taxable fuels
covered by such audits and a comparison to the annual
production of such fuels;
(3) the staff hours and number of personnel devoted to the
audits per year; and
(4) the results of such audits by year, including total tax
collected, total penalties collected, and number of referrals
for criminal prosecution.
(c) Enforcement Activities.--With respect to enforcement
activities, the report required under subsection (a) shall
include--
(1) the number and geographic distribution of criminal
investigations and prosecutions annually, by fiscal year,
between October 1, 2001, and September 30, 2005, and the
results of such investigations and prosecutions;
(2) to the extent such investigations and prosecutions
involved other agencies, State or Federal, a breakdown by
agency of the number of joint investigations involved;
(3) an assessment of the effectiveness of joint action and
cooperation between the Department of the Treasury and other
Federal and State agencies, including a discussion of the
ability and need to share information across agencies for
both civil and criminal Federal tax enforcement and
enforcement of State or Federal laws relating to fuels;
(4) the staff hours and number of personnel devoted to
criminal investigations and prosecutions per year;
(5) the staff hours and number of personnel devoted to
administrative collection of fuel taxes; and
(6) the results of administrative collection efforts
annually, by fiscal year, between October 1, 2001, and
September 30, 2005.
SEC. 5504. EXPANSION OF HIGHWAY TRUST FUND EXPENDITURE
PURPOSES TO INCLUDE FUNDING FOR STUDIES OF
SUPPLEMENTAL OR ALTERNATIVE FINANCING FOR THE
HIGHWAY TRUST FUND.
(a) In General.--From amounts available in the Highway
Trust Fund, there is authorized to be expended for 2
comprehensive studies of supplemental or alternative funding
sources for the Highway Trust Fund--
(1) $1,000,000 to the Western Transportation Institute of
the College of Engineering at Montana State University for
the study and report described in subsection (b), and
(2) $16,500,000 to the Public Policy Center of the
University of Iowa for the study and report described in
subsection (c).
(b) Study of Funding Mechanisms.--Not later than December
31, 2006, the Western Transportation Institute of the College
of Engineering at Montana State University shall report to
the Secretary of the Treasury and the Secretary of
Transportation on a study of highway funding mechanisms of
other industrialized nations, an examination of the viability
of alternative funding proposals, including congestion
pricing, greater reliance on tolls, privatization of
facilities, and bonding for construction of added capacity,
and an examination of increasing the rates of motor fuels
taxes in effect on the date of the enactment of this Act,
including the indexation of such rates.
(c) Study on Field Test of On-Board Computer Assessment of
Highway Use Taxes.--Not later than December 31, 2011, the
Public Policy Center of the University of Iowa shall direct,
analyze, and report to the Secretary of the Treasury and the
Secretary of Transportation on a long-term field test of an
approach to assessing highway use taxes based upon actual
mileage driven by a specific vehicle on specific types of
highways by use of an on-board computer--
(1) which is linked to satellites to calculate highway
mileage traversed,
(2) which computes the appropriate highway use tax for each
of the Federal, State, and local governments as the vehicle
makes use of the highways, and
(3) the data from which is periodically downloaded by the
vehicle owner to a collection center for an assessment of
highway use taxes due in each jurisdiction traversed.The
components of the field test shall include 2 years for
preparation, including selection of vendors and test
participants, and 3-year testing period.
SEC. 5505. TREASURY STUDY OF HIGHWAY FUELS USED BY TRUCKS FOR
NON-TRANSPORTATION PURPOSES.
(a) Study.--The Secretary of the Treasury shall conduct a
study regarding the use of highway motor fuel by trucks that
is not used for the propulsion of the vehicle. As part of
such study--
(1) in the case of vehicles carrying equipment that is
unrelated to the transportation function of the vehicle--
(A) the Secretary of the Treasury, in consultation with the
Secretary of Transportation, and with public notice and
comment, shall determine the average annual amount of tax
paid fuel consumed per vehicle, by type of vehicle, used by
the propulsion engine to provide the power to operate the
equipment attached to the highway vehicle, and
(B) the Secretary of the Treasury shall review the
technical and administrative feasibility of exempting such
nonpropulsive use of highway fuels for the highway motor
fuels excise taxes,
(2) in the case where non-transportation equipment is run
by a separate motor--
(A) the Secretary of the Treasury shall determine the
annual average amount of fuel exempted from tax in the use of
such equipment by equipment type, and
(B) the Secretary of the Treasury shall review issues of
administration and compliance related to the present-law
exemption provided for such fuel use, and
(3) the Secretary of the Treasury shall--
(A) estimate the amount of taxable fuel consumed by trucks
and the emissions of various pollutants due to the long-term
idling of diesel engines, and
(B) determine the cost of reducing such long-term idling
through the use of plug-ins at truck stops, auxiliary power
units, or other technologies.
(b) Report.--Not later than January 1, 2006, the Secretary
of the Treasury shall report the findings of the study
required under subsection (a) to the Committee on Finance of
the Senate and the Committee on Ways and Means of the House
of Representatives.
SEC. 5506. DELTA REGIONAL TRANSPORTATION PLAN.
(a) Study.--The Delta Regional Authority shall conduct a
study of the transportation assets and needs in the States of
Alabama, Arkansas, Illinois, Kentucky, Louisiana,
Mississippi, Missouri, and Tennessee which comprise the Delta
region.
(b) Regional Strategic Transportation Plan.--Upon
completion of the study required under subsection (a), the
Delta Regional Authority shall establish a regional strategic
transportation plan to achieve efficient transportation
systems in the Delta region. In developing the regional
strategic transportation plan, the Delta Regional Authority
shall consult with local planning and development districts,
local and regional governments, metropolitan planning
organizations, State transportation entities, and Federal
transportation agencies.
(c) Elements of Study and Plan.--The study and plan under
this section shall include the following transportation modes
and systems: transit, rail, highway, interstate, bridges,
air, airports, waterways and ports.
(d) Authorization of Appropriations.--There is authorized
to be appropriated to the Delta Regional Authority $1,000,000
to carry out the purposes of this section, to remain
available until expended.
SEC. 5507. TREATMENT OF EMPLOYER-PROVIDED TRANSIT AND VAN
POOLING BENEFITS.
(a) In General.--Subparagraph (A) of section 132(f)(2)
(relating to limitation on exclusion) is amended by striking
``$100'' and inserting ``$120''.
(b) Inflation Adjustment Conforming Amendments.--The last
sentence of section 132(f)(6)(A) (relating to inflation
adjustment) is amended--
(1) by striking ``2002'' and inserting ``2005'', and
(2) by striking ``2001'' and inserting ``2004''.
(c) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2004.
SEC. 5508. STUDY OF INCENTIVES FOR PRODUCTION OF BIODIESEL.
(a) Study.--The General Comptroller of the United States
shall conduct a study related to biodiesel fuels and the tax
credit for biodiesel fuels established under this Act. Such
study shall include--
(1) an assessment on whether such credit provides
sufficient assistance to the producers of biodiesel fuel to
establish the fuel as a viable energy alternative in the
current market place,
(2) an assessment on how long such credit or similar
subsidy would have to remain in effect before biodiesel fuel
can compete in the market place without such assistance,
(3) a cost-benefit analysis of such credit, comparing the
cost of the credit in forgone revenue to the benefits of
lower fuel costs for consumers, increased profitability for
the biodiesel industry, increased farm income, reduced
program outlays from the Department of Agriculture, and the
improved environmental conditions through the use of
biodiesel fuel, and
(4) an assessment on whether such credit results in any
unintended consequences for unrelated industries, including
the impact, if any, on the glycerin market.
(b) Report.--Not later than 2 years after the date of the
enactment of this Act, the Comptroller General of the United
States shall report the findings of the study required under
subsection (a) to the Committee on Finance of the Senate and
the
[[Page S1153]]
Committee on Ways and Means of the House of Representatives.
SEC. 5509. REDUCTION OF EXPENDITURES FROM THE HIGHWAY TRUST
FUND.
The amount made available under titles I, II, III, and IV
of this Act shall be reduced on a pro rata basis, so that the
total of such reductions equals $214,000,000,000.
Subtitle G--Revenue Offsets
PART I--LIMITATION ON EXPENSING CERTAIN PASSENGER AUTOMOBILES
SEC. 5601. EXPANSION OF LIMITATION ON DEPRECIATION OF CERTAIN
PASSENGER AUTOMOBILES.
(a) In General.--Section 179(b) (relating to limitations)
is amended by adding at the end the following new paragraph:
``(6) Limitation on cost taken into account for certain
passenger vehicles.--
``(A) In general.--The cost of any sport utility vehicle
for any taxable year which may be taken into account under
this section shall not exceed $25,000.
``(B) Sport utility vehicle.--For purposes of subparagraph
(A)--
``(i) In general.--The term `sport utility vehicle' means
any 4-wheeled vehicle which--
``(I) is manufactured primarily for use on public streets,
roads, and highways,
``(II) is not subject to section 280F, and
``(III) is rated at not more than 14,000 pounds gross
vehicle weight.
``(ii) Certain vehicles excluded.--Such term does not
include any vehicle which--
``(I) does not have the primary load carrying device or
container attached,
``(II) has a seating capacity of more than 12 individuals,
``(III) is designed for more than 9 individuals in seating
rearward of the driver's seat,
``(IV) is equipped with an open cargo area, or a covered
box not readily accessible from the passenger compartment, of
at least 72.0 inches in interior length, or
``(V) has an integral enclosure, fully enclosing the driver
compartment and load carrying device, does not have seating
rearward of the driver's seat, and has no body section
protruding more than 30 inches ahead of the leading edge of
the windshield.''.
(c) Effective Date.--The amendments made by this section
shall apply to property placed in service after February 2,
2004.
Sec. 5612. Section 9053(b) is amended by adding at the end
the following new paragraph:
``(6) The Secretary shall transfer to the Highway Trust
Fund an amount equal to $6 billion total to terminate at the
end of fiscal year 2009.''
______
SA 2474. Mr. SESSIONS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the appropriate place, insert the following:
SEC. __. PROHIBITION OF ISSUANCE OF DRIVER'S LICENSES TO
ILLEGAL ALIENS.
(a) Withholding of Funds for Noncompliance.--The Secretary
of Transportation shall withhold 1 per cent of the amount
required to be apportioned to any State under this Act on the
first day of each fiscal year after the second fiscal year
beginning after September 30, 2004, if such State does not
prohibit by statute, regulation, or executive order issuance
of a State driver's license or identification card to aliens
who do not present valid documentation of lawful presence in
the United States as determined by the Immigration and
Nationality Act (8 U.S.C. 1001 et seq.).
(b) Effect of Withholding of Funds.--Any funds recovered
due to a reduction in State funding in accordance with
subsection (a) shall be redistributed amongst the States that
are in compliance with this section in accordance with the
formulas set forth in this Act, calculated without taking
into account the States that have violated this section.
(c) The Bureau of Immigration and Customs Enforcement of
the Department of Homeland Security shall issue a list of
documents or combination of documents establishing legal
presence in the United States by September 30, 2004. The
Secretary shall utilize such list for the purpose of
determinations of compliance with subsection (a).
______
SA 2475. Mr. SESSIONS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end of title IV, add the following:
Subtitle G--Immigration Related Provisions
SEC. 4701. PROHIBITION OF EMPLOYMENT OF ILLEGAL ALIENS ON
FEDERALLY FUNDED TRANSPORTATION PROJECTS.
(a) In General.--No funds authorized to be appropriated by
this Act may be used to hire, retain, or compensate any alien
who is not in lawful status, as determined under the
Immigration and Nationality Act (8 U.S.C. 1101 et seq.), for
performing work on any projects authorized or funded by this
Act.
(b) Enforcement.--
(1) Fine.--Any person or entity who violates subsection (a)
shall be subject to a fine of $100,000 per violation.
(2) Exception.--No person or entity may be fined in
accordance with paragraph (1) if that person or entity
utilizes the basic pilot program for employment eligibility
confirmation established by title IV of Public Law 104-208 (8
U.S.C. 1324a note) to confirm the eligibility of the alien
for employment and the employment eligibility confirmation
system reports represent that the alien is eligible for
employment.
(3) Immigration enforcement account.--Any fines collected
under paragraph (1) shall be deposited in the Immigration
Enforcement Account established under section 280(b) of the
Immigration and Nationality Act (8 U.S.C. 1330(b)) and made
available for immigration enforcement activities described in
clauses (i) and (ii) of section 280(b)(3)(A) of that Act (8
U.S.C. 1330(b)(3)(A)(i) and (ii)) within the interior of the
United States and for the costs of operation and
modernization of the employment eligibility confirmation
pilot programs established by title IV of Public Law 104-208
(8 U.S.C. 1324a note).
(4) Effective date.--This subsection shall take effect in a
State on the date on which the operation of the basic pilot
program for employment eligibility confirmation referred to
in paragraph (2) is expanded to such State.
______
SA 2476. Mr. SESSIONS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the appropriate place, insert the following:
SEC. __. PROHIBITION OF ISSUANCE OF DRIVERS LICENSES TO
ILLEGAL ALIENS.
(a) Withholding of Funds for Noncompliance.--The Secretary
of Transportation shall withhold 1 per cent of the amount
required to be apportioned to any State under this Act on the
first day of each fiscal year after the second fiscal year
beginning after September 30, 2004, if such State does not
prohibit by statute, regulation, or executive order issuance
of a State driver's license or identification card to aliens
who do not present valid documentation of lawful presence in
the United States as determined by the Immigration and
Nationality Act (8 U.S.C. 1101 et seq.).
(b) Effect of Withholding of Funds.--Any funds recovered
due to a reduction in State funding in accordance with
subsection (a) shall be redistributed amongst the States that
are in compliance with this section in accordance with the
formulas set forth in this Act, calculated without taking
into account the States that have violated this section.
(c) The Bureau of Immigration and Customs Enforcement of
the Department of Homeland Security shall issue a list of
documents or combinations of documents establishing a legal
presence in the United States by September 30, 2004. The
Secretary shall utilize such list for the purpose of
determining compliance with subsection (a).
SEC. __. PROHIBITION OF EMPLOYMENT OF ILLEGAL ALIENS ON
FEDERALLY FUNDED TRANSPORTATION PROJECTS.
(a) In General.--No funds authorized to be appropriated by
this Act may be used to hire, retain, or compensate any alien
who is not in lawful status, as determined under the
Immigration and Nationality Act (8 U.S.C. 1101 et seq.), for
performing work on any projects authorized or funded by this
Act.
(b) Enforcement.--
(1) Fine.--Any person or entity who violates subsection (a)
shall be subject to a fine of $100,000 per violation.
(2) Exception.--No person or entity may be fined in
accordance with paragraph (1) if that person or entity
utilizes the basic pilot program for employment eligibility
confirmation established by title IV of Public Law 104-208 (8
U.S.C. 1324a note) to confirm the eligibility of the alien
for employment and the employment eligibility confirmation
system reports represent that the alien is eligible for
employment.
(3) Immigration enforcement account.--Any fines collected
under paragraph (1) shall be deposited in the Immigration
Enforcement Account established under section 280(b) of the
Immigration and Nationality Act (8 U.S.C. 1330(b)) and made
available for immigration enforcement activities described in
clauses (i) and (ii) of section 280(b)(3)(A) of that Act (8
U.S.C. 1330(b)(3)(A)(i) and (ii)) within the interior of the
United States and for the costs of operation and
modernization of the employment eligibility confirmation
pilot programs established by title IV of Public Law 104-208
(8 U.S.C. 1324a note).
(4) Effective date.--This subsection shall take effect in a
State on the date on which the operation of the basic pilot
program for employment eligibility confirmation referred to
in paragraph (2) is expanded to such State.
______
SA 2477. Mr. SESSIONS submitted an amendment intended to be proposed
to
[[Page S1154]]
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end of title IV, add the following:
Subtitle G--Immigration Related Provisions
SEC. 4701. PROHIBITION OF ISSUANCE OF DRIVERS LICENSES TO
ILLEGAL ALIENS.
(a) Withholding of Funds for Noncompliance.--The Secretary
of Transportation shall withhold 1 per cent of the amount
required to be apportioned to any State under this Act on the
first day of each fiscal year after the second fiscal year
beginning after September 30, 2004, if such State permits by
statute, regulation, or executive order issuance of a State's
driver's license or identification card to aliens who do not
present valid documentation of lawful presence in the United
States as determined by the Immigration and Nationality Act
(8 U.S.C. 1101 et seq.).
(b) Effect of Withholding of Funds.--Any funds recovered
due to a reduction in State funding in accordance with
subsection (a) shall be redistributed amongst the States that
are in compliance with this section in accordance with the
formulas set forth in this Act, calculated without taking
into account the States that have violated this section.
(c) The Bureau of Immigration and Customs Enforcement of
the Department of Homeland Security shall issue a list of
documents or combinations of documents establishing legal
presence in the United States by September 30, 2004. The
Secretary shall utilize such list for the purpose of
determinations of compliance with subsection (a).
SEC. 4702. PROHIBITION OF EMPLOYMENT OF ILLEGAL ALIENS ON
FEDERALLY FUNDED TRANSPORTATION PROJECTS.
(a) In General.--No funds authorized to be appropriated by
this Act may be used to hire, retain, or compensate any alien
who is not in lawful status, as determined under the
Immigration and Nationality Act (8 U.S.C. 1101 et seq.), for
performing work on any projects authorized or funded by this
Act.
(b) Enforcement.--
(1) Fine.--Any person or entity who violates subsection (a)
shall be subject to a fine of $100,000 per violation.
(2) Exception.--No person or entity may be fined in
accordance with paragraph (1) if that person or entity
utilizes the basic pilot program for employment eligibility
confirmation established by title IV of Public Law 104-208 (8
U.S.C. 1324a note) to confirm the eligibility of the alien
for employment and the employment eligibility confirmation
system reports represent that the alien is eligible for
employment.
(3) Immigration enforcement account.--Any fines collected
under paragraph (1) shall be deposited in the Immigration
Enforcement Account established under section 280(b) of the
Immigration and Nationality Act (8 U.S.C. 1330(b)) and made
available for immigration enforcement activities described in
clauses (i) and (ii) of section 280(b)(3)(A) of that Act (8
U.S.C. 1330(b)(3)(A)(i) and (ii)) within the interior of the
United States and for the costs of operation and
modernization of the employment eligibility confirmation
pilot programs established by title IV of Public Law 104-208
(8 U.S.C. 1324a note).
(4) Effective date.--This subsection shall take effect in a
State on the date on which the operation of the basic pilot
program for employment eligibility confirmation referred to
in paragraph (2) is expanded to such State.
______
SA 2478. Mr. BOND submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end of subtitle D of title I, add the following:
SEC. 1409. RENTED OR LEASED MOTOR VEHICLES.
(a) In General.--Subchapter I of chapter 301 of title 49,
United States Code, is amended by adding at the end the
following:
``Sec. 30106. Rented or leased motor vehicle safety and
responsibility
``(a) In General.--Provided that there is no negligence or
criminal wrongdoing on the part of the owner of a motor
vehicle, no such owner engaged in the trade or business of
renting or leasing motor vehicles may be held liable under
State law for harm caused by a person to himself or herself,
another person, or to property, which results or arises from
that person's use, operation, or possession of a rented or
leased motor vehicle, by reason of being the owner of such
motor vehicle.
``(b) Construction.--Subsection (a) shall not apply if such
owner does not maintain the required limits of financial
responsibility for such vehicle, as required by State law in
the State in which the vehicle is registered.
``(c) Applicability and Effective Date.--Notwithstanding
any other provision of law, this section shall apply with
respect to any action commenced on or after the date of
enactment of this section without regard to whether the harm
that is the subject of the action or the conduct that caused
the harm occurred before such date of enactment.
``(d) Definitions.--In this section:
``(1) Motor vehicle.--The term `motor vehicle' shall have
the meaning given the term under section 13102(14) of this
title.
``(2) Owner.--The term `owner' means a person who is--
``(A) a record or beneficial owner, lessor, or lessee of a
motor vehicle;
``(B) entitled to the use and possession of a motor vehicle
subject to a security interest in another person; or
``(C) a lessor, lessee, or bailee of a motor vehicle, in
the trade or business of renting or leasing motor vehicles,
having the use or possession of such motor vehicle, under a
lease, bailment, or otherwise.
``(3) Person.--The term `person' means any individual,
corporation, company, limited liability company, trust,
association, firm, partnership, society, joint stock company,
or any other entity.
``(4) State.--The term `State' means each of the several
States, the District of Columbia, the Commonwealth of Puerto
Rico, the Virgin Islands, Guam, American Samoa, the Northern
Mariana Islands, any other territory or possession of the
United States, or any political subdivision of any such
State, commonwealth, territory, or possession.''.
(b) Clerical Amendment.--The table of sections at the
beginning of chapter 301 of title 49, United States Code, is
amended by inserting after the item relating to section 30105
the following:
``30106. Rented or leased motor vehicle safety and responsibility.''.
______
SA 2479. Mr. REED submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place insert the following:
(1) Not later than 90 days after enactment, the Secretary
of Homeland Security shall enter into a memorandum of
understanding with the Secretary to define and clarify the
roles and responsibilities of the department of
Transportation and Homeland Security as they relate to public
transportation security. Such memorandum of understanding
shall:
(a) establish national security standards for public
transportation agencies;
(b) establish funding priorities for Department of Homeland
Security grants to public transportation agencies; and
(c) create a method of coordination with public
transportation agencies on security matters.
______
SA 2480. Mrs. LINCOLN (for herself and Mr. Miller) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. __. SPECIAL EXEMPTION FOR VEHICLE WEIGHT LIMITS FOR
SEASONAL SEED COTTON HAULERS.
Section 127(a) of title 23, United States Code, is amended
by striking ``not to exceed 100 days annually.'' and
inserting the following: ``not to exceed 100 days annually.
States may allow, by special permit, the operation of
vehicles with a gross vehicle weight of up to 80,000 pounds
for the hauling of seed cotton during the harvest season, not
to exceed 180 days annually.''.
______
SA 2481. Mr. CARPER submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the end of subtitle F of title V, insert the following:
SEC. __. CREDIT FOR MAINTENANCE OF RAILROAD TRACK;
(a) Credit for Maintenance of Railroad Track.--
(1) In general.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business-related credits) is amended
by adding at the end the following new section:
``SEC. 45I. RAILROAD TRACK MAINTENANCE CREDIT.
``(a) General Rule.--For purposes of section 38, the
railroad track maintenance credit determined under this
section for the taxable year is 50 percent of the amount of
qualified railroad track maintenance expenditures paid or
incurred by an eligible taxpayer during the taxable year.
``(b) Limitation.--The credit allowed under subsection (a)
shall not exceed the product of--
``(1) $20,000, and
``(2) the number of miles of railroad track owned or leased
by the taxpayer as of the close of the taxable year.
[[Page S1155]]
``(c) Qualified Railroad Track Maintenance Expenditures.--
For purposes of this section, the term `qualified railroad
track maintenance expenditures' means expenditures (whether
or not otherwise chargeable to capital account) for
maintaining railroad track (including roadbed, bridges, and
related track structures) owned or leased as of January 1,
2004, by the taxpayer of Class II or Class III railroads (as
determined by the Surface Transportation Board).
``(d) Controlled Groups.--For purposes of subsection (b),
rules similar to the rules of paragraph (1) of section 41(f)
shall apply for purposes of this subsection.
``(e) Basis Adjustment.--For purposes of this subtitle, if
a credit is allowed under this section with respect to any
railroad track, the basis of such track shall be reduced by
the amount of the credit so allowed.
``(f) Application of Section.--This section shall apply to
qualified railroad track maintenance expenditures paid or
incurred during taxable years beginning after December 31,
2003, and before January 1, 2009.
``(g) Eligible Taxpayer.--For purposes of this subsection,
the term `eligible taxpayer' means--
``(1) any person who transports property using the rail
facilities of the taxpayer or who furnishes railroad-related
property or services to the taxpayer, and
``(2) any Class II or Class III railroad.''.
(2) Limitation on carryback.--Section 39(d) (relating to
transition rules), as amended by section 5453, is amended by
adding at the end the following new paragraph:
``(14) No carryback of railroad track maintenance credit
before effective date.--No portion of the unused business
credit for any taxable year which is attributable to the
railroad track maintenance credit determined under section
45G may be carried to a taxable year beginning before January
1, 2004.''.
(3) Conforming amendments.--
(A) Section 38(b) (relating to general business credit), as
amended by section 5253 of this Act, is amended by striking
``plus'' at the end of paragraph (18), by striking the period
at the end of paragraph (19) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(20) the railroad track maintenance credit determined
under section 45I(a).''.
(B) Subsection (a) of section 1016 is amended by striking
``and'' at the end of paragraph (27), by striking the period
at the end of paragraph (28) and inserting ``, and'', and by
adding at the end the following new paragraph:
``(29) in the case of railroad track with respect to which
a credit was allowed under section 45I, to the extent
provided in section 45I(e).''.
(4) Clerical amendment.--The table of sections for subpart
D of part IV of subchapter A of chapter 1, as amended by this
Act, is amended by inserting after the item relating to
section 45H the following new item:
``Sec. 45I. Railroad track maintenance credit.''.
(5) Effective date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2003.
(b) Railroad Revitalization and Security Investment
Credit.--
(1) In general.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business-related credits) is amended
by adding at the end the following new section:
``SEC. 45J. RAILROAD REVITALIZATION AND SECURITY INVESTMENT
CREDIT.
``(a) General Rule.--For purposes of section 38, the
railroad revitalization and security investment credit
determined under this section for the taxable year is the
amount of qualified project expenditures paid or incurred by
an eligible taxpayer during the taxable year.
``(b) Qualified Project Expenditures.--For purposes of this
section, the term `qualified project expenditures' means
expenditures (whether or not otherwise chargeable to capital
account) with respect to rail lines which are included in a
State rail plan (within the meaning of section 22101 of title
49, United States Code) for--
``(A) planning and environmental review,
``(B) rail line rehabilitation,
``(C) upgrades and development of rail lines,
``(D) projects for safety and security with respect to rail
lines,
``(E) passenger equipment acquisition with respect to rail
lines,
``(F) rail station improvement, and
``(G) intermodal facilities development.
An expenditure shall not be a qualified project expenditure
unless there is a written agreement between a State and the
owner of the infrastructure improved by the expenditures
regarding the use and ownership of such infrastructure,
including compensation for such use and assurances regarding
the capacity of such infrastructure.
``(c) Limitations.--
``(1) In general.--The credit allowed under subsection (a)
shall not exceed 50 percent of the amount allocated to such
project under this subsection.
``(2) National limitation.--There is a railroad
revitalization and security investment credit limitation of
$167,000,000 for each calendar year.
``(3) Allocation of limitation.--The limitation under
paragraph (2) shall be allocated by the Secretary to each
State with a State rail plan (within the meaning of section
22101 of title 49, United States Code) based on the following
considerations:
``(A) the number of rail miles in active use in the State;
``(B) the number of rail cars loaded in the State;
``(C) the number of railroad and public road grade
crossings in the State;
``(D) the number of intercity passenger rail miles; and
``(E) the number of intercity passenger embarkations.
``(d) Eligible Taxpayer.--For purposes of this section, the
term `eligible taxpayer' means a taxpayer who is an employer
for purposes of the Railroad Retirement Act of 1974 and who
is a carrier for purposes of the Railway Labor Act (unless
such person is a commuter rail passenger transportation (as
defined in section 24102 of title 49, United States Code)
operator of a State or local authority (as defined in section
5302 of such title) or an Alaska railroad or it contractor).
``(e) Controlled Groups.--For purposes of subsection (b),
rules similar to the rules of paragraph (1) of section 41(f)
shall apply for purposes of this subsection.
``(f) Basis Adjustment.--For purposes of this subtitle, if
a credit is allowed under this section with respect to any
railroad track, the basis of such track shall be reduced by
the amount of the credit so allowed.
``(g) Application of Section.--This section shall apply to
qualified railroad track maintenance expenditures paid or
incurred during taxable years beginning after December 31,
2003, and before January 1, 2009.
``(h) Credit Transferability.--
``(1) In general.--Any credit allowable under this section
may be transferred (but not more than once) as provided by
the Secretary, and the determination as to whether the credit
is allowable shall be made without regard to the tax-exempt
status of the transferor.
``(2) Minimum price for transfer.--No transfer shall be
allowed under this subsection unless the transferor receives
compensation for the credit transfer equal to at least 50
percent of the amount of credit transferred. The excess of
the amount of credit transferred over the compensation
received by the transferor for such transfer shall be
included in the gross income of the transferee.''.
(2) Limitation on carryback.--Section 39(d) (relating to
transition rules), as amended by subsection (a), is amended
by adding at the end the following new paragraph:
``(16) No carryback of section 45j credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the credit determined
under section 45J(a) may be carried back to a taxable year
beginning on or before the date of the enactment of section
45J.''.
(3) Conforming amendments.--
(A) Section 38(b) (relating to general business credit), as
amended by subsection (a), is amended by striking ``plus'' at
the end of paragraph (19), by striking the period at the end
of paragraph (20) and inserting ``, plus'', and by adding at
the end the following new paragraph:
``(21) the railroad revitalization and security investment
credit determined under section 45J(a).''.
(B) Subsection (a) of section 1016 is amended by striking
``and'' at the end of paragraph (28), by striking the period
at the end of paragraph (29) and inserting ``, and'', and by
adding at the end the following new paragraph:
``(30) in the case of qualified projects with respect to
which a credit was allowed under section 45J, to the extent
provided in section 45J(f).''.
(4) Clerical amendment.--The table of sections for subpart
D of part IV of subchapter A of chapter 1, as amended by
subsection (a), is amended by inserting after the item
relating to section 45I the following new item:
``Sec. 45J. Railroad revitalization and security investment credit.''.
(5) Effective date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2003.
SEC. __. CONSISTENT AMORTIZATION OF PERIODS FOR INTANGIBLES.
(a) Start-Up Expenditures.--
(1) Allowance of deduction.--Paragraph (1) of section
195(b) (relating to start-up expenditures) is amended to read
as follows:
``(1) Allowance of deduction.--If a taxpayer elects the
application of this subsection with respect to any start-up
expenditures--
``(A) the taxpayer shall be allowed a deduction for the
taxable year in which the active trade or business begins in
an amount equal to the lesser of--
``(i) the amount of start-up expenditures with respect to
the active trade or business, or
``(ii) $5,000, reduced (but not below zero) by the amount
by which such start-up expenditures exceed $50,000, and
``(B) the remainder of such start-up expenditures shall be
allowed as a deduction ratably over the 180-month period
beginning with the month in which the active trade or
business begins.''.
(2) Conforming amendment.--Subsection (b) of section 195 is
amended by striking ``Amortize'' and inserting ``Deduct'' in
the heading.
(b) Organizational Expenditures.--Subsection (a) of section
248 (relating to organizational expenditures) is amended to
read as follows:
``(a) Election to Deduct.--If a corporation elects the
application of this subsection (in
[[Page S1156]]
accordance with regulations prescribed by the Secretary) with
respect to any organizational expenditures--
``(1) the corporation shall be allowed a deduction for the
taxable year in which the corporation begins business in an
amount equal to the lesser of--
``(A) the amount of organizational expenditures with
respect to the taxpayer, or
``(B) $5,000, reduced (but not below zero) by the amount by
which such organizational expenditures exceed $50,000, and
``(2) the remainder of such organizational expenditures
shall be allowed as a deduction ratably over the 180-month
period beginning with the month in which the corporation
begins business.''.
(c) Treatment of Organizational and Syndication Fees or
Partnerships.--
(1) In general.--Section 709(b) (relating to amortization
of organization fees) is amended by redesignating paragraph
(2) as paragraph (3) and by amending paragraph (1) to read as
follows:
``(1) Allowance of deduction.--If a taxpayer elects the
application of this subsection (in accordance with
regulations prescribed by the Secretary) with respect to any
organizational expenses--
``(A) the taxpayer shall be allowed a deduction for the
taxable year in which the partnership begins business in an
amount equal to the lesser of--
``(i) the amount of organizational expenses with respect to
the partnership, or
``(ii) $5,000, reduced (but not below zero) by the amount
by which such organizational expenses exceed $50,000, and
``(B) the remainder of such organizational expenses shall
be allowed as a deduction ratably over the 180-month period
beginning with the month in which the partnership begins
business.
``(2) Dispositions before close of amortization period.--In
any case in which a partnership is liquidated before the end
of the period to which paragraph (1)(B) applies, any deferred
expenses attributable to the partnership which were not
allowed as a deduction by reason of this section may be
deducted to the extent allowable under section 165.''.
(2) Conforming amendment.--Subsection (b) of section 709 is
amended by striking ``Amortization'' and inserting
``Deduction'' in the heading.
(d) Effective Date.--The amendments made by this section
shall apply to amounts paid or incurred after the date of the
enactment of this Act.
______
SA 2482. Mr. TALENT (for himself and Mr. Wyden) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1298, after line 24, add insert the following:
Subtitle H--Tax-Exempt Financing of Highway Projects and Rail-Truck
Transfer Facilities
SEC. 5671. TAX-EXEMPT FINANCING OF HIGHWAY PROJECTS AND RAIL-
TRUCK TRANSFER FACILITIES.
(a) Treatment as Exempt Facility Bond.--Subsection (a) of
section 142 (relating to exempt facility bond) is amended by
striking ``or'' at the end of paragraph (12), by striking the
period at the end of paragraph (13), and by adding at the end
the following:
``(14) qualified highway facilities, or
``(15) qualified surface freight transfer facilities.''.
(b) Qualified Highway Facilities and Qualified Surface
Freight Transfer Facilities.--Section 142 is amended by
adding at the end the following:
``(l) Qualified Highway and Surface Freight Transfer
Facilities.--
``(1) Qualified highway facilities.--For purposes of
subsection (a)(14), the term `qualified highway facilities'
means--
``(A) any surface transportation project which receives
Federal assistance under title 23, United States Code (as in
effect on the date of the enactment of this subsection), or
``(B) any project for an international bridge or tunnel for
which an international entity authorized under Federal or
State law is responsible and which receives Federal
assistance under such title 23.
``(2) Qualified surface freight transfer facilities.--For
purposes of subsection (a)(15), the term `qualified surface
freight transfer facilities' means facilities for the
transfer of freight from truck to rail or rail to truck
(including any temporary storage facilities directly related
to such transfers) which receives Federal assistance under
either title 23 or title 49, United States Code (as in effect
on the date of the enactment of this subsection).
``(3) Aggregate face amount of tax-exempt financing for
facilities.--
``(A) In general.--An issue shall not be treated as an
issue described in subsection (a)(14) or (a)(15) if the
aggregate face amount of bonds issued by any State pursuant
thereto (when added to the aggregate face amount of bonds
previously so issued) exceeds $15,000,000,000.
``(B) Allocation by secretary of transportation.--The
Secretary of Transportation shall allocate the amount
described in subparagraph (A) among eligible projects
described in subsections (a)(14) and (a)(15) in such manner
as the Secretary determines appropriate.''.
(c) Exemption From General State Volume Caps.--Paragraph
(3) of section 146(g) of the Internal Revenue Code of 1986
(relating to exception for certain bonds) is amended by
striking ``or (13)'' and all that follows through the end of
the paragraph and inserting ``(13), (14), or (15) of section
142(a), and''.
(d) Effective Date.--The amendments made by this section
apply to bonds issued after the date of the enactment of this
Act.
SEC. 5672. ADDITION OF VACCINES AGAINST HEPATITIS A TO LIST
OF TAXABLE VACCINES.
(a) In General.--Section 4132(a)(1) (defining taxable
vaccine) is amended by redesignating subparagraphs (I), (J),
(K), and (L) as subparagraphs (J), (K), (L), and (M),
respectively, and by inserting after subparagraph (H) the
following new subparagraph:
``(I) Any vaccine against hepatitis A.''.
(b) Conforming Amendment.--Section 9510(c)(1)(A) is amended
by striking ``October 18, 2000'' and inserting ``the date of
the enactment of the Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2004''.
(c) Effective Date.--
(1) Sales, etc.--The amendments made by this section shall
apply to sales and uses on or after the first day of the
first month which begins more than 4 weeks after the date of
the enactment of this Act.
(2) Deliveries.--For purposes of paragraph (1) and section
4131 of the Internal Revenue Code of 1986, in the case of
sales on or before the effective date described in such
paragraph for which delivery is made after such date, the
delivery date shall be considered the sale date.
SEC. 5674. ADDITION OF VACCINES AGAINST INFLUENZA TO LIST OF
TAXABLE VACCINES.
(a) In General.--Section 4132(a)(1) (defining taxable
vaccine), as amended by section 5673 of this Act, is amended
by adding at the end the following new subparagraph:
``(N) Any trivalent vaccine against influenza.''.
(b) Effective Date.--
(1) Sales, etc.--The amendment made by this section shall
apply to sales and uses on or after the later of--
(A) the first day of the first month which begins more than
4 weeks after the date of the enactment of this Act, or
(B) the date on which the Secretary of Health and Human
Services lists any vaccine against influenza for purposes of
compensation for any vaccine-related injury or death through
the Vaccine Injury Compensation Trust Fund.
(2) Deliveries.--For purposes of paragraph (1) and section
4131 of the Internal Revenue Code of 1986, in the case of
sales on or before the effective date described in such
paragraph for which delivery is made after such date, the
delivery date shall be considered the sale date.
SEC. 5675. EXTENSION OF AMORTIZATION OF INTANGIBLES TO SPORTS
FRANCHISES.
(a) In General.--Section 197(e) (relating to exceptions to
definition of section 197 intangible) is amended by striking
paragraph (6) and by redesignating paragraphs (7) and (8) as
paragraphs (6) and (7), respectively.
(b) Conforming Amendments.--
(1)(A) Section 1056 (relating to basis limitation for
player contracts transferred in connection with the sale of a
franchise) is repealed.
(B) The table of sections for part IV of subchapter O of
chapter 1 is amended by striking the item relating to section
1056.
(2) Section 1245(a) (relating to gain from disposition of
certain depreciable property) is amended by striking
paragraph (4).
(3) Section 1253 (relating to transfers of franchises,
trademarks, and trade names) is amended by striking
subsection (e).
(c) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to property
acquired after the date of the enactment of this Act.
(2) Section 1245.--The amendment made by subsection (b)(2)
shall apply to franchises acquired after the date of the
enactment of this Act.
______
SA 2483. Mr. LEIBERMAN submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 54 line 11, insert after the word census, ``vehicle
miles traveled per lane mile in excess of 4,000 in the year
2001.''
______
SA 2484. Mr. LIEBERMAN (for himself and Mr. Dodd) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. __. HIGH LEVEL OF SERVICE BONUS.
(a) In General.--Amounts made available for projects under
sections 103, 133, 144, and 149 of title 23, United States
Code, shall be apportioned to the States as follows:
[[Page S1157]]
(1) \1/3\ in the ratio that--
(A) the population density of each State that has a
population of over 250 residents per square mile; bears to
(B) the population density of a State that has a population
of 250 residents per square mile;
(2) \1/3\ in the ratio that--
(A) the vehicle miles traveled per lane mile in each State
in which such ratio exceeds the ratio of total vehicle miles
traveled for the States to the total lane miles of the
States; bears to
(B) the ration of total vehicle miles traveled for the
States to the total lane miles of the States; and
(3) \1/3\ in the ratio that--
(A) the funding apportioned to each State for projects
eligible under section 144 of title 23, United States Code,
that exceeds the average of such funds apportioned; bears to
(B) the total of such funds apportioned to the States.
(b) Minimum State Share.--The minimum share apportioned to
a State under paragraphs (1) and (2) of subsection (a) shall
be at least \1/2\ of 1 percent.
(c) Maximum Federal Share.--
(1) In general.--Except as provided in paragraph (2), the
maximum Federal share payable for projects funded under this
program shall not exceed 80 percent.
(2) Exception.--The maximum Federal share payable for
projects on the Interstate system shall not exceed 90
percent.
(d) Equity Bonus.--The calculation and distribution of
funds under section 105 shall not be adjusted as a result of
the allocations of funds under this section.
(e) Funding.--There is authorized to be appropriated to
carry out this section $1,000,000,000 for each fiscal year.
______
SA 2485. Mr. HOLLINGS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 780, lines 21 and 22, strike ``shall consider the
prescription of'' and insert ``shall prescribe''.
______
SA 2486. Mr. LIEBERMAN (for himself and Mr. Dodd) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
At the appropriate place, insert the following:
SEC. __. LEVEL OF SERVICE BONUS.
(a) In General.--Amounts made available for projects under
sections 103, 133, 144, and 149 of title 23, United States
Code, shall be apportioned to the States as follows:
(1) \1/3\ in the ratio that--
(A) the population density of each State; bears to
(B) the population density of the State with the least
population density;
(2) \1/3\ in the ratio that--
(A) the vehicle miles traveled per lane mile in each State;
bears to
(B) the State with the least such ratio; and
(3) \1/3\ in the ratio that--
(A) the funding apportioned to each State for projects
eligible under section 144 of title 23, United States Code;
bears to
(B) the total of such funds apportioned to the States.
(b) Minimum State Share.--The minimum share apportioned to
a State under paragraphs (1) and (2) of subsection (a) shall
be at least \1/2\ of 1 percent.
(c) Maximum Federal Share.--
(1) In general.--Except as provided in paragraph (2), the
maximum Federal share payable for projects funded under this
program shall not exceed 80 percent.
(2) Exception.--The maximum Federal share payable for
projects on the Interstate system shall not exceed 90
percent.
(d) Equity Bonus.--The calculation and distribution of
funds under section 105 shall not be adjusted as a result of
the allocations of funds under this section.
(e) Funding.--There is authorized to be appropriated to
carry out this section $1,000,000,000 for each fiscal year.
______
SA 2487. Mr. SPECTER submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 489, after line 23, add the following:
SEC. 21__. TRANSPORTATION TECHNOLOGY INNOVATION AND
DEMONSTRATION PROGRAM.
(a) In General.--Section 5117(b)(3) of the Transportation
Equity Act for the 21st Century (112 Stat. 449; 112 Stat.
864; 115 Stat. 2330) is amended--
(1) in subparagraph (B)--
(A) in clause (i)--
(i) in the first sentence--
(I) by striking ``Build an'' and inserting ``Build or
integrate an''; and
(II) by striking ``2,000,000'' and inserting ``2,500,000'';
and
(ii) in the second sentence--
(I) by striking ``300,000 and that'' and inserting
``300,000,''; and
(II) by inserting before the period at the end the
following: ``, and includes major transportation corridors
serving that metropolitan area'';
(B) in clause (ii), by striking all that follows ``will
be'' and inserting ``reinvested in the intelligent
transportation infrastructure system.'';
(C) by striking clause (iii); and
(D) by redesignating clauses (iv) and (v) as clauses (iii)
and (iv), respectively;
(2) in subparagraph (C)(ii), by striking ``July 1, 2002''
and inserting ``the date that is 180 days after the date of
enactment of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003'';
(3) in subparagraph (E), by striking clause (ii) and
inserting the following:
``(ii) The term ``follow-on deployment areas'' means the
metropolitan areas of Albany, Atlanta, Austin, Baltimore,
Birmingham, Boston, Charlotte, Chicago, Cleveland, Columbus,
Dallas/Ft. Worth, Denver, Detroit, Greensboro, Hartford,
Houston, Indianapolis, Jacksonville, Kansas City, Las Vegas,
Los Angeles, Louisville, Miami, Milwaukee, Minneapolis-St.
Paul, Nashville, New Orleans, New York/Northern New Jersey,
Norfolk, Northern Kentucky/Cincinnati, Oklahoma City,
Orlando, Philadelphia, Phoenix, Pittsburgh, Portland,
Providence, Raleigh, Richmond, Sacramento, Salt Lake, San
Diego, San Francisco, San Jose, St. Louis, Seattle, Tampa,
Tucson, Tulsa, and Washington, District of Columbia.'';
(4) in subparagraph (F)--
(A) by striking ``Of the amounts'' and inserting the
following:
``(i) This act.--Of the amounts''; and
(B) by adding at the end the following:
``(ii) SAFETEA.--Of the amounts made available by section
1101(5) of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003 for fiscal years 2004
through 2009, $5,000,000 for each fiscal year shall be made
available by the Secretary to carry out this paragraph.
``(iii) Availability; no reduction or setaside.--Amounts
made available by this subparagraph--
``(I) shall remain available until expended; and
``(II) shall not be subject to any reduction or
setaside.''; and
(5) by adding at the end the following:
``(H) Use of rights-of-way.--
``(i) In general.--An intelligent transportation system
project described in paragraph (3) or (6) that involves
privately owned intelligent transportation system components
and is carried out using funds made available from the
Highway Trust Fund shall not be subject to any law (including
a regulation) of a State or political subdivision of a State
prohibiting or regulating commercial activities in the
rights-of-way of a highway for which Federal-aid highway
funds have been used for planning, design, construction, or
maintenance, if the Secretary of Transportation determines
that such use is in the public interest.
``(ii) Effect of subparagraph.--Nothing in this
subparagraph affects the authority of a State or political
subdivision of a State to regulate highway safety.''.
(b) Conforming Amendment.--Section 5204(k) of the
Transportation Equity Act for the 21st Century (112 Stat.
453) is amended by striking subsection (k) (112 Stat. 2681-
478).
______
SA 2488. Mr. SPECTER submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 396, line 4, strike ``$40,000,000'' and insert
``$50,000,000''.
On page 396, line 5, strike ``$45,000,000'' and insert
``$55,000,000''.
On page 403, in the analysis for chapter 5 of title 23,
United States Code (as added by section 2101(a)), strike the
item relating to section 511 and insert the following:
``511. University bridge research centers.
``512. Multistate corridor operations and management.
On page 475, strike lines 15 and 16 and insert the
following:
``Sec. 511. University bridge research centers
``(a) In General.--The Secretary shall establish and
implement a university bridge research center program in
accordance with this section.
``(b) Purposes.--The Secretary, in coordination with
nonprofit institutions of higher learning, shall encourage
and promote specific research on--
``(1) advanced highway bridge materials and systems for
economical, rapid, and durable repair, replacement, and
protection of highway bridges; and
``(2) technology to monitor and evaluate bridge damage and
deterioration to significantly extend the useful life of
highway bridges.
``(c) Bridge Centers.--The Secretary shall make grants to
nonprofit institutions of
[[Page S1158]]
higher learning to establish and operate university bridge
research centers.
``(d) Selection of Grant Recipients.--
``(1) Applications.--To be eligible to receive a grant
under this section, a nonprofit institution of higher
learning shall submit to the Secretary an application in such
form and containing such information as the Secretary may
require.
``(2) Selection criteria.--
``(A) In general.--Except as otherwise provided by
subparagraph (B), the Secretary shall select each recipient
of a grant under this section through a competitive process
on the basis of--
``(i) the demonstrated research and development resources
available to the recipient to carry out this section;
``(ii) the capability of the recipient to provide
leadership in making national and regional contributions to
the solution of immediate and long-range bridge deterioration
and structure problems;
``(iii) the demonstrated commitment by the recipient of at
least $200,000 in regularly budgeted institutional amounts
each year to support ongoing bridge research and education
programs;
``(iv) the demonstrated ability of the recipient to
disseminate results of bridge transportation research and
education programs through a statewide or regionwide program;
``(v) the demonstrated ability of the recipient to partner
with other institutions that have highway bridge research
expertise;
``(vi) the demonstrated ability of the recipient to conduct
analysis, laboratory testing, and field verification of
bridge design through a record of demonstration projects with
State transportation departments and private, public and
quasi-public bridge authorities;
``(vii) the demonstrated record of the recipient in
transferring technology to practitioners;
``(viii) the demonstrated record of the recipient in
testing full-scale bridge components in laboratory facilities
and implementing results in design changes and field
verification; and
``(ix) the strategic plan that the recipient proposes to
carry out under the grant.
``(B) Preference.--Preference shall be given to nonprofit
institutions of higher learning located in the 10 States with
the worst deficiencies in highway bridges, as ranked by the
2002 Federal Highway Administration National Bridge
Inventory.
``(e) Activities.--A Federal Highway Administration
university bridge transportation center that receives a grant
under this section shall conduct--
``(1) basic and applied bridge research, the products of
which are judged by peers or other experts in the field to
advance the body of knowledge in bridge longevity;
``(2) an education program that includes multidisciplinary
course work and student participation in research; and
``(3) an ongoing program of technology transfer that makes
research results available to potential users in a form that
can be implemented, used, or otherwise applied.
``(f) Federal Share.--
``(1) In general.--The Federal share of the costs of
activities carried out using a grant made under this section
shall be 50 percent.
``(2) Non-federal share.--The non-Federal share may include
funds provided to a recipient under section 503, 504(b), or
505 of title 23.
``(g) Program Coordination.--
``(1) Coordination.--The Secretary shall--
``(A) coordinate the research, education, training, and
technology transfer activities that grant recipients carry
out under this section; and
``(B) establish a clearinghouse for dissemination of the
results of the research.
``(2) Annual review and evaluation.--At least annually the
Secretary shall review and evaluate programs carried out by
grant recipients.
``(3) Funding limitation.--The Secretary shall use not more
than 1 percent of amounts made available from Government
sources to carry out this subsection.
``(h) Limitation on Availability of Funds.--Funds made
available to carry out this section shall remain available
for obligation for 2 years after the last day of the fiscal
year for which the funds are made available.
``(i) Number and Amount of Grants.--For each of fiscal
years 2005, 2006, 2007, 2008, and 2009, the Secretary shall
make a grant of $2,000,000 to each of 5 nonprofit
institutions of higher education to conduct bridge
transportation research.
``Sec. 512. Multistate corridor operations and management
______
SA 2489. Mr. WARNER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 346, before line 1, insert the following:
(c) Addition.--
(1) Designation.--There is designated as an addition to the
Appalachian development highway system under section 14501 of
title 40, United States Code, Segment B of the Coalfields
Expressway from Corridor B near Pound to Clintwood in
Virginia.
(2) Conforming amendment.--Section 14501 of title 40,
United States Code, is amended in the second sentence by
striking ``not be more than'' and all that follows through
the period and insert ``not be more than 3,102 miles.''.
______
SA 2490. Mr. WARNER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 346, before line 1, insert the following:
(c) Addition.--
(1) Designation.--There is designated as an addition to the
Appalachian development highway system under section 14501 of
title 40, United States Code, Segment B of the Coalfields
Expressway from Corridor B near Pound to Clintwood in
Virginia.
(2) Subtraction.--The portion of Corridor H in Virginia
from the West Virginia State line to Interstate 81--
(A) shall be subtracted from Corridor H; and
(B) may be included on a map of that system only for the
purpose of continuity.
(3) Conforming amendment.--Section 14501 of title 40,
United States Code, is amended in the second sentence by
striking ``not be more than'' and all that follows through
the period and insert ``not be more than 3,102 miles.''.
______
SA 2491. Mrs. MURRAY (for herself, Ms. Collins, Mrs. Boxer, Ms.
Cantwell, Mrs. Clinton, Mr. Cochran, Mr. Corzine, Mr. Edwards, Mrs.
Feinstein, Mr. Kennedy, Mr. Lautenberg, Ms. Mikulski, Mr. Schumer, Ms.
Snowe, and Mr. Stevens) submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning on page 38, strike line 22 and all that follows
through page 39, line 6, and insert the following:
(13) Infrastructure performance and maintenance program.--
For carrying out the infrastructure performance and
maintenance program under section 139 of that title
$1,328,000,000 for fiscal year 2004.
(14) Construction of ferry boats and ferry terminal
facilities.--For construction of ferry boats and ferry
terminal facilities under section 147 of that title,
$$150,000,000 for each of fiscal years 2004 through 2009.
______
SA 2492. Mrs. MURRAY (for herself, Ms. Collins, Mrs. Boxer, Ms.
Cantwell, Mrs. Clinton, Mr. Cochran, Mr. Corzine, Mr. Edwards, Mrs.
Feinstein, Mr. Kennedy, Mr. Lautenberg, Ms. Mikulski, Ms. Murkowski,
Mr. Schumer, Ms. Snowe, and Mr. Stevens) submitted an amendment
intended to be proposed by her to the bill S. 1072, to authorize funds
for Federal-aid highways, highway safety programs, and transit
programs, and for other purposes; which was ordered to lie on the
table; as follows:
Beginning on page 80, strike line 7 and all that follows
through page 81, line 3, and insert the following:
SEC. 1204. CONSTRUCTION OF FERRY BOATS AND FERRY TERMINAL AND
MAINTENANCE FACILITIES.
(a) In General.--Section 147 of title 23, United States
Code, is amended to read as follows:
``Sec. 147. Construction of ferry boats and ferry terminal
and maintenance facilities
``(a) In General.--The Secretary shall carry out a program
for construction of ferry boats and ferry terminal and
maintenance facilities in accordance with section 129(c).
``(b) Federal Share.--The Federal share of the cost of
construction of ferry boats and ferry terminals and
maintenance facilities under this section shall be 80
percent.
``(c) Allocation of Funds.--The Secretary shall give
priority in the allocation of funds under this section to
those ferry systems, and public entities responsible for
developing ferries, that--
``(1) carry the greatest number of passengers and vehicles;
``(2) carry the greatest number of passengers in passenger-
only service; or
``(3) provide critical access to areas that are not well-
served by other modes of surface transportation.
``(d) Set-Aside.--Of the amounts made available under
section 1101(a)(14) of the Safe, Accountable, Flexible, and
Efficient Transportation Equity Act of 2003, $112,000,000 for
each of fiscal years 2004 through 2009 shall be made
available to carry out this section.
``(e) Rule of Construction.--Notwithstanding any other
provision of law--
``(1) paragraph (13) of section 1101(a) of the Safe,
Accountable, Flexible, and Efficient Transportation Equity
Act of 2003 shall be applied by substituting `$1,328,000,000'
for `$2,000,000,000'; and
[[Page S1159]]
``(2) paragraph (14) of section 1101(a) of that Act shall
be applied by substituting `$150,000,000' for
`$38,000,000'.''.
(b) Conforming Amendments.--
(1) Section 129(c) of title 23, United States Code, is
amended--
(A) in the matter preceding paragraph (1), by inserting
``and maintenance'' after ``terminal''; and
(B) in paragraph (3), by inserting ``or maintenance'' after
``terminal'' each place it appears.
(2) The analysis for subchapter I of chapter 1 of title 23,
United States Code, is amended by striking the item relating
to section 147 and inserting the following:
``147. Construction of ferry boats and ferry terminal and maintenance
facilities.''.
(3) Section 1064 of the Intermodal Surface Transportation
Efficiency Act of 1991 (105 Stat. 2005) is repealed.
______
SA 2493. Mr. CARPER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 588, strike line 21 and all that follows
through page 589, line 2, and insert the following:
(E) by amending subparagraph (C), as redesignated, to read
as follows:
``(C) capital projects to replace, rehabilitate, and
purchase buses and related equipment, including the
differential cost of purchasing alternative fuels (as defined
in section 301 of the Energy Policy Act of 1992 (42 U.S.C.
13211)), not to exceed the difference in purchasing costs
between conventional bus fuels and such alternative fuels,
and to construct bus-related facilities, including programs
of bus and bus-related projects for assistance to
subrecipients that are public agencies, private companies
engaged in public transportation, or private nonprofit
organizations; and''; and
______
SA 2494. Mr. REED submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
In subsection (b)(1)(B) of section 105 of title 23, United
States Code (as added by section 1104(a)), strike
``1,000,000'' and insert ``1,100,000''.
______
SA 2495. Mr. LIEBERMAN submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 61, strike line 4 and all that follows
through line 8 on page 64, and insert the following:
SEC. 1201. HIGH TRAFFIC DENSITY EQUITY ADJUSTMENT PROGRAM.
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code, is amended by inserting after section 138
the following:
``Sec. 139. High traffic density equity adjustment program
``(a) Establishment of Program.--The Secretary shall
establish and implement a high traffic density equity
adjustment program in accordance with this section.
``(b) Eligible Projects.--
``(1) In general.--A State may obligate funds allocated to
the State under this section only for projects eligible under
the Interstate maintenance program under section 119, the
National Highway System program under section 103, the
surface transportation program under section 133, the highway
safety improvement program under section 148, the highway
bridge replacement and rehabilitation program under section
144, and the congestion mitigation and air quality
improvement program under section 149 that will--
``(A) preserve, maintain, or otherwise extend, in a cost-
effective manner, the useful life of existing highway
infrastructure elements; or
``(B) provide operational improvements (including traffic
management and intelligent transportation system strategies
and limited capacity enhancements) at points of recurring
highway congestion.
``(2) Set-aside.--Notwithstanding any other provision of
law, of the amounts made available under section 1101(a)(14)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003, $439,000,000 shall be
available for obligation to carry out this section without
further appropriation.
``(3) High traffic density equity adjustment program.--
``(A) In general.--The Secretary shall allocate the amounts
made available under paragraph (2) for a fiscal year to each
State in the proportion that--
``(i) the excess, if any, of the number of annual vehicle
miles per lane mile in the State over the average of that
number for all of the States; bears to
``(ii) the average of that number for all of the States.
``(B) Determination of annual vehicle miles travel.--In
determining annual vehicle miles per lane mile for purposes
of this paragraph, the Secretary shall use the latest
available annual estimates prepared by the Secretary of
Transportation.
``(c) Period of Availability.--
``(1) Obligation within 180 days.--
``(A) In general.--Funds allocated to a State under this
section shall be obligated by the State not later than 180
days after the date of apportionment.
``(B) Unobligated funds.--Any amounts that remain
unobligated at the end of that period shall be allocated in
accordance with subsection (d).
``(2) Obligation by end of fiscal year.--
``(A) In general.--All funds allocated or reallocated under
this section shall remain available for obligation until the
last day of the fiscal year for which the funds are
apportioned.
``(B) Unobligated funds.--Any amounts allocated that remain
unobligated at the end of the fiscal year shall lapse.
``(d) Redistribution of Allocated Funds and Obligation
Authority.--
``(1) In general.--On the date that is 180 days after the
date of allocation, or as soon thereafter as practicable, for
each fiscal year, the Secretary shall -
``(A) withdraw--
``(i) any funds allocated to a State under this section
that remain unobligated; and
``(ii) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(a)(14)
of the Safe, Accountable, Flexible, and Efficient
Transportation Equity Act of 2003; and
``(B) reallocate the funds and redistribute the obligation
authority to States that--
``(i) have fully obligated all amounts allocated under this
section for the fiscal year; and
(ii) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.
``(2) Equity bonus.--The calculation and distribution of
funds under section 105 shall not be adjusted as a result of
the allocation of funds under this subsection.
``(e) Federal Share Payable.--The Federal share payable for
a project funded under this section shall be determined in
accordance with section 120.
(b) Conforming Amendment.--The chapter analysis for chapter
1 of title 23, United States Code, is amended by adding after
the item relating to section 138 the following:
``139. High traffic density equity adjustment program.''.
______
SA 2496. Mr. LIEBERMAN submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 61, strike line 4 and all that follows
through page 64, line 23 and insert the following:
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code, is amended by inserting after section 138
the following:
``SEC. 139. HIGH TRAFFIC DENSITY APPORTIONMENT PROGRAM.
``(a) Establishment.--The Secretary shall establish and
implement a high traffic density apportionment program in
accordance with this section.
``(b) Eligible Projects.--
``(1) In general.--A State may obligate funds allocated to
the State under this section only for projects eligible under
the Interstate maintenance program under section 119, the
National Highway System program under section 103, the
surface transportation program under section 133, the highway
safety improvement program under section 148, the highway
bridge replacement and rehabilitation program under section
144, and the congestion mitigation and air quality
improvement program under section 149 that will--
``(A) preserve, maintain, or otherwise extend, in a cost-
effective manner, the useful life of existing highway
infrastructure elements; or
``(B) provide operational improvements (including traffic
management and intelligent transportation system strategies
and limited capacity enhancements) at points of recurring
highway congestion.
``(2) Set-aside.--Notwithstanding any other provision of
law, of the amounts made available under section 1101(13) of
the Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2003, $1,000,000,000 shall be available for
obligation to carry out this section without further
appropriation.
``(3) High traffic density apportionment program.--
``(A) In general.--The Secretary shall allocate the amounts
made available under paragraph (2) for a fiscal year to each
State in the proportion that--
``(i) the excess, if any, of the number of annual vehicle
miles traveled per lane mile of each State-owned public road
in the State over the average of that number for all of the
States; bears to
[[Page S1160]]
``(ii) the number of daily vehicle miles traveled per the
total lane miles of all State-owned public roads in the
State.
``(B) Determination of annual vehicle miles traveled.--In
determining annual vehicle miles per lane mile for purposes
of this paragraph, the Secretary shall use the latest
available annual estimates prepared by the Secretary.
``(c) Period of Availability.--
``(1) Obligation within 180 Days.--
``(A) In general.--Funds allocated to a State under this
section shall be obligated by the State not later than 180
days after the date of apportionment.
``(B) Unobligated funds.--Any amounts that remain
unobligated at the end of that period shall be allocated in
accordance with subsection (d).
``(2) Obligation by end of fiscal year.--
``(A) In general.--All funds allocated or reallocated under
this section shall remain available for obligation until the
last day of the fiscal year for which the funds are
apportioned.
``(B) Unobligated funds.--Any amounts allocated that remain
unobligated at the end of the fiscal year shall lapse.
``(d) Redistribution of Allocated Funds and Obligation
Authority.--
``(1) In general.--On the date that is 180 days after the
date of allocation, or as soon thereafter as practicable, for
each fiscal year, the Secretary shall--
``(A) withdraw--
``(i) any funds allocated to a State under this section
that remain unobligated; and
``(ii) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(13) of
the Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2003; and
``(B) reallocate the funds and redistribute the obligation
authority to States that--
``(i) have fully obligated all amounts allocated under this
section for the fiscal year; and
``(ii) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.
``(2) Equity bonus.--The calculation and distribution of
funds under section 105 shall not be adjusted as a result of
the allocation of funds under this subsection.
``(e) Federal Share Payable.--The Federal share payable for
a project funded under this section shall be determined in
accordance with section 120.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code, is amended by
adding after the item relating the section 138 the following:
``105. High traffic density apportionment program.''.
SEC. 1202. FUTURE OF SURFACE TRANSPORTATION SYSTEM.
______
SA 2497. Mr. LIEBERMAN (for himself and Mr. Dodd) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning on page 61, strike line 4 and all that follows
through page 64, line 8 and insert the following:
(a) In General.--Subchapter I of chapter 1 of title 23,
United States Code, is amended by inserting after section 138
the following:
``SEC. 139. WEIGHTED HIGH TRAFFIC DENSITY APPORTIONMENT
PROGRAM.
``(a) Establishment.--The Secretary shall establish and
implement a weighted high traffic density apportionment
program in accordance with this section.
``(b) Eligible Projects.--
``(1) In general.--A State may obligate funds allocated to
the State under this section only for projects eligible under
the Interstate maintenance program under section 119, the
National Highway System program under section 103, the
surface transportation program under section 133, the highway
safety improvement program under section 148, the highway
bridge replacement and rehabilitation program under section
144, and the congestion mitigation and air quality
improvement program under section 149 that will--
``(A) preserve, maintain, or otherwise extend, in a cost-
effective manner, the useful life of existing highway
infrastructure elements; or
``(B) provide operational improvements (including traffic
management and intelligent transportation system strategies
and limited capacity enhancements) at points of recurring
highway congestion.
``(2) Set-aside.--Notwithstanding any other provision of
law, of the amounts made available under section 1101(13) of
the Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2003, $1,000,000,000 shall be available for
obligation to carry out this section without further
appropriation.
``(3) Weighted high traffic density apportionment
program.--
``(A) In general.--Of amounts made available under
paragraph (2) for a fiscal year to each State--
``(i) the Secretary shall allocate \1/3\ in the proportion
that--
``(I) the excess, if any, of the number of annual daily
vehicle miles traveled per lane mile of State-owned rural
public roads in the State over the average of that number for
all of the States; bears to
``(II) the total of those numbers for all of the States;
and
``(ii) the Secretary shall allocate \2/3\ in the proportion
that--
``(I) the excess, if any, of the number of annual daily
vehicle miles traveled per lane mile of State-owned urban
public roads in the State over the average of that number for
all of the States; bears to
``(II) the total of those numbers for all of the States.
``(B) Determination of annual vehicle miles traveled.--In
determining annual vehicle miles per lane mile for purposes
of this paragraph, the Secretary shall use the latest
available annual estimates prepared by the Secretary.
``(c) Period of Availability.--
``(1) Obligation within 180 Days.--
``(A) In general.--Funds allocated to a State under this
section shall be obligated by the State not later than 180
days after the date of apportionment.
``(B) Unobligated funds.--Any amounts that remain
unobligated at the end of that period shall be allocated in
accordance with subsection (d).
``(2) Obligation by end of fiscal year.--
``(A) In general.--All funds allocated or reallocated under
this section shall remain available for obligation until the
last day of the fiscal year for which the funds are
apportioned.
``(B) Unobligated funds.--Any amounts allocated that remain
unobligated at the end of the fiscal year shall lapse.
``(d) Redistribution of Allocated Funds and Obligation
Authority.--
``(1) In general.--On the date that is 180 days after the
date of allocation, or as soon thereafter as practicable, for
each fiscal year, the Secretary shall--
``(A) withdraw--
``(i) any funds allocated to a State under this section
that remain unobligated; and
``(ii) an equal amount of obligation authority provided for
the use of the funds in accordance with section 1101(13) of
the Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2003; and
``(B) reallocate the funds and redistribute the obligation
authority to States that--
``(i) have fully obligated all amounts allocated under this
section for the fiscal year; and
``(ii) demonstrate that the State is able to obligate
additional amounts for projects eligible under this section
before the end of the fiscal year.
``(2) Equity bonus.--The calculation and distribution of
funds under section 105 shall not be adjusted as a result of
the allocation of funds under this subsection.
``(e) Federal Share Payable.--The Federal share payable for
a project funded under this section shall be determined in
accordance with section 120.''.
(b) Conforming Amendment.--The analysis for subchapter I of
chapter 1 of title 23, United States Code, is amended by
adding after the item relating the section 138 the following:
``105. Weighted high traffic density apportionment program.''.
SEC. 1202. FUTURE OF SURFACE TRANSPORTATION SYSTEM.
______
SA 2498. Ms. MURKOWSKI (for herself and Mr. Stevens) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 39, between lines 22 and 23, insert the following:
(17) Denali access system.--For the Denali Access System
under section 309 of the Denali Commission Act of 1998 (42
U.S.C. 3121 note; Public Law 105-277), $50,000,000 for each
of fiscal years 2004 through 2009.
______
SA 2499. Ms. MURKOWSKI (for herself and Mr. Stevens) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 18__. DENALI ACCESS SYSTEM.
(a) In General.--The Denali Commission Act of 1998 (42
U.S.C. 3121 note; Public Law 105-277) is amended--
(1) by redesignating section 309 as section 310; and
(2) by inserting after section 308 the following:
``SEC. 309. DENALI ACCESS SYSTEM.
``(a) Purpose.--It is the purpose of this section to fund
the construction of roads necessary to connect isolated rural
communities to a road system and to construct essential
access routes within isolated communities.
``(b) Definitions.--In this section:
``(1) State.--The term `State' means the State of Alaska.
[[Page S1161]]
``(2) System.--The term `System' means the Denali Access
System constructed under subsection (c).
``(c) Program.--The Secretary shall establish a program
that provides for the transfer to the Commission of funds for
the costs of construction (including the costs of planning,
design, engineering, permitting, right-of-way acquisition,
utility relocation, project management, and maintenance) of
segments of the System in the State.
``(d) Designation of System by Commission.--The Commission
shall submit to the Secretary--
``(1) designations by the Commission of the general
location and description of segments comprising the System;
``(2) priorities for construction of segments of the
System; and
``(3) other criteria applicable to the program established
under this section.
``(e) Connecting Infrastructure.--In carrying out this
section, the Commission may construct such access
infrastructure as the Commission determines to be necessary
to provide for adequate surface, water, or air access for
communities and regions in the State.
``(f) Design Standards.--Each project carried out under
this section shall use technology and design standards
determined by the Commission to be appropriate for the
associated segments of the System.
``(g) Addition to Public Transportation Systems.--At the
request of the Governor of the State, each completed segment
of the System may be added to the National Highway System or
other public transportation system, as appropriate, under the
conditions applicable to other segments of that system in the
State.
``(h) Preference to Alaska Materials and Products.--In the
construction of the System under this section, the
Commission--
``(1) shall, to the maximum extent practicable, encourage
the use of employees and businesses that are residents of the
State; and
``(2) may give preference--
``(A) to the use of materials and products produced in the
State; and
``(B) with respect to construction projects in the State,
to local residents and firms.
``(i) Matching Funds.--Notwithstanding any other provision
of law--
``(1) funds made available under this section may be used
as matching shares for any other Federal funds; and
``(2) Federal funds from any other source may be used as
matching funds for funds made available under this section if
the use of those Federal funds would contribute to the
purposes for which funds are made available under this
section, as determined by the State.
``(j) Lead Agency.--The Secretary shall delegate authority
to the Commission to serve as the lead agency in determining
the purpose of and need for, and in developing and
implementing all segments of, the System.
``(k) Obligation of Funds.--Funds made available to carry
out this section shall be available for obligation in the
same manner as if the funds were apportioned under chapter 1
of title 23, United States Code.''.
(b) Authorization of Appropriations.--Section 310 of the
Denali Commission Act of 1998 (42 U.S.C. 3121 note; Public
Law 105-277) (as redesignated by subsection (a)) is amended
by striking subsection (a) and inserting the following:
``(a) In General.--There are authorized to be appropriated
to the Commission--
``(1) to carry out the duties of the Commission under this
title (other than section 309), and in accordance with the
work plan approved under section 304, such sums as are
necessary for each fiscal year; and
``(2) to carry out section 309, $50,000,000 for each of
fiscal years 2004 through 2009.''.
______
SA 2500. Ms. MURKOWSKI (for herself, Mr. Inhofe, Mr. Stevens, and Mr.
Campbell) submitted an amendment intended to be proposed to amendment
SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to authorize funds
for Federal-aid highways, highway safety programs, and transit
programs, and for other purposes; which was ordered to lie on the
table; as follows:
Beginning on page 119, strike line 6 and all that follows
through page 129, line 18, and insert the following:
highway safety matters (including motorcyclist safety); or
``(ii) enforce highway safety laws.
``(4) State highway safety improvement program.--The term
`State highway safety improvement program' means projects or
strategies included in the State strategic highway safety
plan carried out as part of the State transportation
improvement program under section 135(f).
``(5) State strategic highway safety plan.--The term `State
strategic highway safety plan' means a plan developed by the
State transportation department that--
``(A) is developed after consultation with--
``(i) a highway safety representative of the Governor of
the State;
``(ii) regional transportation planning organizations and
metropolitan planning organizations, if any;
``(iii) representatives of major modes of transportation
(including motorcycling);
``(iv) State and local traffic enforcement officials;
``(v) persons responsible for administering section 130 at
the State level;
``(vi) representatives conducting Operation Lifesaver;
``(vii) representatives conducting a motor carrier safety
program under section 31104 or 31107 of title 49;
``(viii) motor vehicle administration agencies; and
``(ix) other major State and local safety stakeholders;
``(B) analyzes and makes effective use of State, regional,
or local crash data;
``(C) addresses engineering, management, operation,
education, enforcement, and emergency services elements of
highway safety as key factors in evaluating highway projects;
``(D) considers safety needs of, and high-fatality segments
of, public roads;
``(E) considers the results of State, regional, or local
transportation and highway safety planning processes;
``(F) describes a program of projects or strategies to
reduce or eliminate safety hazards;
``(G) is approved by the Governor of the State or a
responsible State agency; and
``(H) is consistent with the requirements of section
135(f).
``(b) Program.--
``(1) In general.--The Secretary shall carry out a highway
safety improvement program.
``(2) Purpose.--The purpose of the highway safety
improvement program shall be to achieve a significant
reduction in traffic fatalities and serious injuries on
public roads.
``(c) Eligibility.--
``(1) In general.--To obligate funds apportioned under
section 104(b)(5) to carry out this section, a State shall
have in effect a State highway safety improvement program
under which the State--
``(A) develops and implements a State strategic highway
safety plan that identifies and analyzes highway safety
problems and opportunities as provided in paragraph (2);
``(B) produces a program of projects or strategies to
reduce identified safety problems;
``(C) evaluates the plan on a regular basis to ensure the
accuracy of the data and priority of proposed improvements;
and
``(D) submits to the Secretary an annual report that--
``(i) describes, in a clearly understandable fashion, not
less than 5 percent of locations determined by the State,
using criteria established in accordance with paragraph
(2)(B)(ii), as exhibiting the most severe safety needs; and
``(ii) contains an assessment of--
``(I) potential remedies to hazardous locations identified;
``(II) estimated costs associated with those remedies; and
``(III) impediments to implementation other than cost
associated with those remedies.
``(2) Identification and analysis of highway safety
problems and opportunities.--As part of the State strategic
highway safety plan, a State shall--
``(A) have in place a crash data system with the ability to
perform safety problem identification and countermeasure
analysis;
``(B) based on the analysis required by subparagraph (A)--
``(i) identify hazardous locations, sections, and elements
(including roadside obstacles, railway-highway crossing
needs, and unmarked or poorly marked roads) that constitute a
danger to motorists (including motorcyclists), bicyclists,
pedestrians, and other highway users; and
``(ii) using such criteria as the State determines to be
appropriate, establish the relative severity of those
locations, in terms of accidents, injuries, deaths, traffic
volume levels, and other relevant data;
``(C) adopt strategic and performance-based goals that--
``(i) address traffic safety, including behavioral and
infrastructure problems and opportunities on all public
roads;
``(ii) focus resources on areas of greatest need; and
``(iii) are coordinated with other State highway safety
programs;
``(D) advance the capabilities of the State for traffic
records data collection, analysis, and integration with other
sources of safety data (such as road inventories) in a manner
that--
``(i) complements the State highway safety program under
chapter 4 and the commercial vehicle safety plan under
section 31102 of title 49;
``(ii) includes all public roads;
``(iii) identifies hazardous locations, sections, and
elements on public roads that constitute a danger to
motorists (including motorcyclists), bicyclists, pedestrians,
and other highway users; and
``(iv) includes a means of identifying the relative
severity of hazardous locations described in clause (iii) in
terms of accidents, injuries, deaths, and traffic volume
levels;
``(E)(i) determine priorities for the correction of
hazardous road locations, sections, and elements (including
railway-highway crossing improvements), as identified through
crash data analysis;
``(ii) identify opportunities for preventing the
development of such hazardous conditions; and
``(iii) establish and implement a schedule of highway
safety improvement projects for hazard correction and hazard
prevention; and
``(F)(i) establish an evaluation process to analyze and
assess results achieved by highway safety improvement
projects carried out
[[Page S1162]]
in accordance with procedures and criteria established by
this section; and
``(ii) use the information obtained under clause (i) in
setting priorities for highway safety improvement projects.
``(d) Eligible Projects.--
``(1) In general.--A State may obligate funds apportioned
to the State under section 104(b)(5) to carry out--
``(A) any highway safety improvement project on any public
road or publicly owned bicycle or pedestrian pathway or
trail; or
``(B) as provided in subsection (e), for other safety
projects.
``(2) Use of other funding for safety.--
``(A) Effect of section.--Nothing in this section prohibits
the use of funds made available under other provisions of
this title for highway safety improvement projects.
``(B) Use of other funds.--States are encouraged to address
the full scope of their safety needs and opportunities by
using funds made available under other provisions of this
title (except a provision that specifically prohibits that
use).
``(e) Flexible Funding for States With a Strategic Highway
Safety Plan.--
``(1) In general.--To further the implementation of a State
strategic highway safety plan, a State may use up to 25
percent of the amount of funds made available under this
section for a fiscal year to carry out safety projects under
any other section as provided in the State strategic highway
safety plan.
``(2) Other transportation and highway safety plans.--
Nothing in this subsection requires a State to revise any
State process, plan, or program in effect on the date of
enactment of this section.
``(f) Reports.--
``(1) In general.--A State shall submit to the Secretary a
report that--
``(A) describes progress being made to implement highway
safety improvement projects under this section;
``(B) assesses the effectiveness of those improvements; and
``(C) describes the extent to which the improvements funded
under this section contribute to the goals of--
``(i) reducing the number of fatalities on roadways;
``(ii) reducing the number of roadway-related injuries;
``(iii) reducing the occurrences of roadway-related
crashes;
``(iv) mitigating the consequences of roadway-related
crashes; and
``(v) reducing the occurrences of roadway-railroad grade
crossing crashes.
``(2) Contents; schedule.--The Secretary shall establish
the content and schedule for a report under paragraph (1).
``(3) Transparency.--The Secretary shall make reports under
paragraph (1) available to the public through--
``(A) the Internet site of the Department; and
``(B) such other means as the Secretary determines to be
appropriate.
``(4) Discovery and admission into evidence of certain
reports, surveys, and information.--Notwithstanding any other
provision of law, no report, survey, schedule, list, or other
data compiled or collected for any purpose directly relating
to paragraph (1) or subsection (c)(1)(D), or published by the
Secretary in accordance with paragraph (3), shall be--
``(A) subject to discovery or admitted into evidence in any
Federal or State judicial proceeding; or
``(B) considered for any other purpose in any action for
damages arising from an occurrence at a location identified
or addressed in the report, survey, schedule, list, or other
collection of data.
``(g) Federal Share of Highway Safety Improvement
Projects.--Except as provided in sections 120 and 130, the
Federal share of the cost of a highway safety improvement
project carried out with funds made available under this
section shall be 90 percent.
``(h) Funds for Bicycle and Pedestrian Safety.--A State
shall allocate for bicycle and pedestrian improvements in the
State a percentage of the funds remaining after
implementation of sections 130(e) and 150, in an amount that
is equal to or greater than the percentage of all fatal
crashes in the States involving bicyclists and pedestrians.
``(i) Roadway Safety Improvements for Older Drivers and
Pedestrians.--For each of fiscal years 2004 through 2009,
$25,000,000 is authorized to be appropriated out of the
Highway Trust Fund (other than the Mass Transit Account) for
projects in all States to improve traffic signs and pavement
markings in a manner consistent with the recommendations
included in the publication of the Federal Highway
Administration entitled `Guidelines and Recommendations to
Accommodate Older Drivers and Pedestrians (FHWA-RD-01-103)'
and dated October 2001.''.
(2) Motorcyclist safety--
(A) Motorcyclist safety training and motorist awareness
programs.--
(i) In general.--Chapter 4 of title 23, United States Code,
is amended--
(I) by redesignating section 413 (as added by section
4161(a)) as section 414; and
(II) by adding after section 414 (as redesignated by
subparagraph (A)) the following:
``Sec. 415. Motorcyclist safety training and motorist
awareness programs
``(a) Definitions.--In this section:
``(1) Motorcyclist safety training.--The term `motorcyclist
safety training' means any formal program of instruction
that--
``(A) provides accident avoidance and other safety-oriented
operational skills to motorcyclists, including innovative
training opportunities to meet unique regional needs; and
``(B) is approved for use in a State by the designated
State authority having jurisdiction over motorcyclist safety
issues, which may include the State Motorcycle Safety
Administrator or a motorcycle advisory council appointed by
the Governor of the State.
``(2) Motorist awareness.--The term `motorist awareness'
means individual or collective motorist awareness of--
``(A) the presence of motorcycles on or near roadways; and
``(B) safe driving practices that avoid injury to
motorcyclists, bicyclists, and pedestrians.
``(3) Motorist awareness program.--The term `motorist
awareness program' means any informational or public
awareness program designed to enhance motorist awareness that
is developed by or in coordination with the designated State
authority having jurisdiction over motorcyclist safety
issues, which may include the State Motorcycle Safety
Administrator or, in the absence of a State Administrator, a
motorcycle advisory council appointed by a Governor of the
State.
``(4) State.--The term `State' means--
``(A) a State;
``(B) the District of Columbia; and
``(C) the Commonwealth of Puerto Rico.
``(b) Eligibility.--Not later than 90 days after the date
of enactment of this section, on September 1, 2004, and on
September 1 of each fiscal year thereafter, and based on a
letter of certification provided by the Governor of each
State, the Secretary shall develop and publish a list of
States that, as of the date of publication of the list, have
established motorcyclist safety training programs and
motorist awareness programs, including information that
indicates--
``(1) the level of base funding provided for each such
program for the applicable fiscal year; and
``(2) whether the level of base funding provided for each
such program for the applicable fiscal year was increased,
decreased, or maintained from the level of funding provided
for the program for the previous fiscal year.
``(c) Allocation.--Not later than 120 days after the date
of enactment of this section, on October 1, 2004, and on
October 1 of each fiscal year thereafter, the Secretary shall
allocate to each State for which the base funding allocated
for motorcyclist safety training and motorist awareness
programs was not less than the amount allocated for the
previous year, not less than $100,000, to be used only for
motorcyclist safety training and motorist awareness programs,
including--
``(1) improvements to motorcyclist safety training
curricula;
``(2) improvements in program delivery to both urban and
rural areas, including--
``(A) procurement or repair of practice motorcycles;
``(B) instructional aides;
``(C) mobile training units; and
``(D) leasing or purchase of facilities for classroom
instruction and closed-course skill training;
``(3) an increase in the recruitment or retention of
motorcyclist safety training instructors certified by a State
Motorcycle Safety Administrator or motorcycle advisory
council appointed by the Governor; and
``(4) public awareness, public service announcements, and
other outreach programs to enhance motorist awareness.
``(d) Contracts With Organizations.--The Secretary may
enter into an agreement with an organization that is
recommended by and represents the interests of State
Motorcycle Safety Administrators to review, determine, and
disseminate a description of best practices in motorcycle
safety training and motorist awareness, and to recommend such
practices, to State administrators, governors, State
legislative bodies, and chief licensing officers of States.
``(e) Authorization of Appropriations.--There is authorized
to be appropriated to carry out this section from the Highway
Trust Fund (other than the Mass Transit Account) $5,200,000
for each of fiscal years 2004 through 2009.''.
(ii) Conforming amendment.--The analysis for chapter 4 of
title 23, United States Code, is amended--
(I) by redesignating the item relating to section 413 (as
added by section 4161(b)) as relating to section 414; and
(II) by adding at the end the following:
``415. Motorcyclist safety training and motorist awareness programs.''.
(B) Reduction of crashes involving motorcycles.--Section
402 of title 23, United States Code, is amended by inserting
after subsection (h) (as added by section 4103(c)) the
following:
``(i) Reduction of Crashes Involving Motorcycles.--
``(1) In general.--As part of the program carried out under
this section, the Secretary shall make annual grants to
States to pay the Federal share of expanding programs to
reduce single- and multiple-vehicle crashes involving
motorcycles.
``(2) Eligibility.--To be eligible for a grant under this
subsection, a State shall demonstrate to the Secretary that
for each of fiscal years 2004 and 2005, at least 1, for
fiscal years 2006 and 2007, at least 2, and for fiscal
[[Page S1163]]
years 2008 and 2009, at least 3, of the programs or
conditions described in the following subparagraphs apply to
the State:
``(A) Drivers license suspension or revocation system.--The
State has implemented a statewide drivers license suspension
or revocation system that suspends a drivers license for at
least 1 year for an individual who operates a motor vehicle
in a reckless or negligent manner that causes--
``(i) an accident with a motorcycle or other motor vehicle;
and
``(ii) injury or death to an individual.
``(B) Reduction of crash rate involving motorcycles.--The
State demonstrates to the Secretary that, for the year
following receipt of a grant under this section, there has
been a reduction in the crash rate of motor vehicles
involving motorcycles in the State (expressed as a function
of crashes per 10,000 motorcycle registrations as compared to
the previous year).
``(C) Motorcycle rider training courses.--The State
demonstrates to the Secretary that, between the fiscal year
for which a grant is received under this section and the
preceding fiscal year, there has been no reduction in the
number of individuals enrolled in motorcycle rider training
based on a course of instruction approved for the State by
the State Motorcycle Safety Administrator or, in the absence
of a State Administrator, by a motorcycle advisory council
appointed by the Governor of the State.
``(D) Motorist awareness.--The State--
``(i) has implemented a statewide program to enhance
motorist awareness of motorcyclists; and
``(ii) demonstrates to the Secretary that, between each
fiscal year for which a grant is received under this section
and the preceding fiscal year, there has been a reduction in
the rate of multiple-vehicle collisions in the State
involving motorcycles (expressed as a function of crashes per
10,000 motorcycle registrations).
``(E) Impaired motorcycle operation.--The State--
``(i) has implemented a statewide program to reduce
impaired motorcycle operation; and
``(ii) demonstrates to the Secretary that, between each
fiscal year for which a grant is received under this section
and the preceding fiscal year, there has been a reduction in
the rate of reported accidents involving alcohol- or drug-
impaired motorcycle operators (expressed as a function of
10,000 motorcycle registrations).
``(F) Motorcyclist training.--The State--
``(i) has implemented a statewide program to expedite
delivery of motorcyclist training to urban and rural areas;
and
``(ii) demonstrates to the Secretary that, between each
fiscal year for which a grant is received under this section
and the preceding fiscal year, there has been a reduction in
the rate of reported accidents involving motorcyclists with
improper licenses or lacking a motorcycle endorsement
(expressed as a function of 10,000 motorcycle registrations).
``(3) Federal share.--The Federal share of the cost of
implementing and enforcing a program described in paragraph
(2) for a fiscal year shall not exceed (as determined by the
Secretary)--
``(A) for the first 3 years for which a State receives a
grant under this subsection, 50 percent; and
``(B) for each additional year for which a State receives a
grant under this subsection, 25 percent.
``(4) Maintenance of effort.--No grant may be made to a
State under this subsection for any fiscal year unless the
State enters into such agreement with the Secretary as the
Secretary may require to ensure that the State will maintain
the aggregate expenditures of the State from all other
sources for motorcycle safety programs at a level that is at
or above the average level of such expenditures for each of
the 2 fiscal years preceding the date of enactment of this
section, as determined by the Secretary.
``(5) Funding.--
``(A) In general.--Subject to subparagraph (B), the
Secretary shall use funds authorized to be appropriated to
carry out this section for a fiscal year to carry out this
subsection for the fiscal year.
``(B) Limitation.--The amount of a grant made to a State
under this subsection for a fiscal year shall not exceed 10
percent of the amount apportioned to the State under this
section for fiscal year 2002.''.
______
SA 2501. Mr. SPECTER submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 384, strike line 21 and all that follows
through page 386, line 19, and insert the following:
SEC. 1818. HIGH-SPEED MAGNETIC LEVITATION SYSTEM DEPLOYMENT
PROGRAM.
(a) In General.--Section 322 of title 23, United States
Code, is amended to read as follows:
``Sec. 322. High-speed magnetic levitation system deployment
program
``(a) Definitions.--In this section:
``(1) Administrator.--The term `Administrator' means the
Administrator of the Federal Railroad Administration.
``(2) Eligible project costs.--
``(A) In general.--The term `eligible project costs' means
the capital cost of the fixed guideway infrastructure of a
MAGLEV project, including land, piers, guideways, propulsion
equipment and other components attached to guideways, power
distribution facilities (including substations), control and
communications facilities, access roads, and storage, repair,
and maintenance facilities.
``(B) Inclusion.--The term `eligible project costs'
includes the costs of preconstruction planning activities.
``(C) Exclusion.--The term `eligible project costs' does
not include costs incurred for a new station.
``(3) Full project costs.--The term `full project costs'
means the total capital costs of a MAGLEV project, including
eligible project costs and the costs of stations, vehicles,
and equipment.
``(4) MAGLEV.--
``(A) In general.--The term `MAGLEV' means transportation
systems in revenue service employing magnetic levitation that
would be capable of safe use by the public at a speed in
excess of 240 miles per hour.
``(B) Inclusion.--The term `MAGLEV' includes power,
control, and communication facilities required for the safe
operation of the vehicles within a system described in
subparagraph (A).
``(b) Phase I--Preconstruction Planning.--
``(1) In general.--A State, State-designated authority,
multi-State-designated authority, or special purpose entity
may apply to the Administrator for grants to conduct
preconstruction planning for proposed new MAGLEV projects, or
extensions to MAGLEV systems planned, studied, or deployed
under this or any other program.
``(2) Applications.--An application for a grant under this
subsection shall include a description of the proposed MAGLEV
project, including, at a minimum--
``(A) a description of the purpose and need for the
proposed project;
``(B) a description of the travel market to be served;
``(C) a description of the technology selected for the
project;
``(D) forecasts of ridership and revenues;
``(E) a description of preliminary engineering that is
sufficient to provide a reasonable estimate of the capital
cost of constructing, operating, and maintaining the project;
``(F) a realistic schedule for construction and equipment
for the project;
``(G) an environmental assessment;
``(H) a preliminary identification of the 1 or more
organizations that will construct and operate the project;
and
``(I) a cost-benefit analysis and tentative financial plan
for construction and operation of the project.
``(3) Deadline for applications.--The Administrator shall
establish an annual deadline for receipt of applications
under this subsection.
``(4) Evaluation.--The Administrator shall evaluate all
applications received by the annual deadline to determine
whether the applications meet criteria established by the
Administrator.
``(5) Selection.--The Administrator shall select for
Federal support for preconstruction planning any project that
the Administrator determines meets the criteria.
``(c) Phase II--Environmental Impact Studies.--
``(1) In general.--A State, State-designated authority,
multi-State-designated authority, or special purpose entity
that has conducted (under this section or any other provision
of law) 1 or more studies that address each of the
requirements of subsection (b)(2) may submit the studies to
the Administrator, to support an application for Federal
funding to assist in--
``(A) preparing an environmental impact statement or
similar analysis required under the National Environmental
Policy Act of 1969 (42 U.S.C. 4321 et seq.); and
``(B) planning for construction, operation, and maintenance
of a MAGLEV project.
``(2) Environmental impact statement.--The final
environmental impact statement or analysis described in
paragraph (1)(A) shall--
``(A) identify a preferred alternative; and
``(B) describe the organization that will own, plan,
finance, construct, equip, operate, and maintain the proposed
project.
``(3) Deadline for applications.--
``(A) In general.--The Administrator shall--
``(i) establish an annual deadline for receipt of Phase II
applications; and
``(ii) evaluate all applications received by that deadline
in accordance with criteria established under subparagraph
(B).
``(B) Criteria.--The Administrator shall establish criteria
to evaluate applications that include whether--
``(i) the technology selected is available for deployment
at the time of the application;
``(ii) operating revenues combined with known and dedicated
sources of other revenues in any year will exceed annual
operation and maintenance costs;
``(iii) over the life of the MAGLEV project, total project
benefits will exceed total project costs; and
``(iv) the proposed capital financing plan is realistic and
does not assume Federal assistance that is greater than the
maximums specified in clause (ii).
``(C) Projects selected.--If the Administrator determines
that a MAGLEV project meets the criteria established under
subparagraph (B), the Administrator shall--
[[Page S1164]]
``(i) select that project for Federal Phase II support; and
``(ii) publish in the Federal Register a notice of intent
to prepare an environmental impact statement or similar
analysis required under the National Environmental Policy Act
of 1969 (42 U.S.C. 4321 et seq.).
``(d) Phase III--Deployment.--
``(1) In general.--A proposed owner of a MAGLEV project
that has initiated a final environmental impact statement or
similar analysis required under the National Environmental
Policy Act of 1969 (42 U.S.C. 4321 et seq.) and has refined
planning for the construction, operation, and maintenance of
the MAGLEV project, under this or any other program, may
submit an application to the Administrator for Federal
funding of a portion of the capital costs of planning,
financing, constructing, and equipping the preferred
alternative identified in the final environmental impact
statement or analysis.
``(2) Record of decision.--
``(A) In general.--The Administrator shall publish a record
of decision for each application, based on the information
provided in the application and the environmental impact
statement or similar analysis required under the National
Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
``(B) Decision to construct.--The Administrator shall issue
a record of decision to construct for a project determined by
the Administrator--
``(i) to have a high probability of being financed,
constructed, equipped, and operated by the proposed owners;
and
``(ii) to meet other criteria established by the
Administrator.
``(C) Federal funding.--To the extent that funds are
available, the Administrator shall negotiate a Federal
funding agreement for each project that is recommended for
deployment in the record of decision.
``(e) Financial Assistance.--
``(1) In general.--The Secretary shall make available
financial assistance to pay the Federal share of the full
project costs of projects selected under this section.
``(2) Prevailing wage and buy america requirements.--
Sections 5333(a) and 5323(j) of title 49 shall apply to
financial assistance made available under this section and
projects funded with that assistance.
``(3) Federal share.--
``(A) Phase I and phase II.--For Phase I--preconstruction
planning and Phase II--environmental impact studies carried
out under subsections (b) and (c), respectively, the Federal
share of the costs of the planning and studies shall be not
more than \2/3\ of the full cost of the planning and studies.
``(B) Phase III.--For Phase III--deployment projects
carried out under subsection (d), not more than \2/3\ of the
full capital cost of such a project shall be made available
from funds appropriated for this program.
``(4) Funding.--
``(A) Contract authority; authorization of
appropriations.--
``(i) In general.--There is authorized to be appropriated
from the Highway Trust Fund (other than the Mass Transit
Account) for fiscal years 2004 through 2009 to carry out this
section--
``(I) $10,000,000 for Phase I--preconstruction planning
studies;
``(II) $20,000,000 for Phase II--environmental impact
studies; and
``(III) $60,000,000 for Phase III--deployment projects.
``(ii) Obligation authority.--Funds authorized by this
subparagraph shall be available for obligation in the same
manner as if the funds were apportioned under chapter I,
except that--
``(I) the Federal share of the cost of the project shall be
in accordance with paragraph (2); and
``(II) the availability of the funds shall be in accordance
with subsection (f).
``(B) Noncontract authority authorization of
appropriations.--
``(i) Phase I.--There are authorized to be appropriated
from the Highway Trust Fund (other than the Mass Transit
Account) to carry out Phase I--preconstruction planning
studies under subsection (b)--
``(I) $12,000,000 for fiscal year 2004;
``(II) $6,000,000 for fiscal year 2005; and
``(III) $2,000,000 for each of fiscal years 2006 through
2009.
``(ii) Phase II.--There are authorized to be appropriated
from the Highway Trust Fund (other than the Mass Transit
Account) to carry out Phase II--environmental impact studies
under subsection (c)--
``(I) $5,000,000 for fiscal year 2004;
``(II) $5,000,000 for fiscal year 2005;
``(III) $5,000,000 for fiscal year 2006;
``(IV) $5,000,000 for fiscal year 2007; and
``(V) $5,000,000 for fiscal year 2008.
``(iii) Phase III.--There are authorized to be appropriated
from the Highway Trust Fund (other than the Mass Transit
Account) to carry out Phase III--deployment projects under
subsection (d)--
``(I) $355,500,000 for fiscal year 2004;
``(II) $376,000,000 for fiscal year 2005;
``(III) $392,000,000 for fiscal year 2006;
``(IV) $410,000,000 for fiscal year 2007;
``(V) $423,000,000 for fiscal year 2008; and
``(VI) $443,000,000 for fiscal year 2009.
``(iv) Program administration.--There are authorized to be
appropriated from the Highway Trust Fund (other than the Mass
Transit Account) to carry out administration of this
program--
``(I) $2,500,000 for fiscal year 2004;
``(II) $13,000,000 for fiscal year 2005;
``(III) $16,000,000 for fiscal year 2006;
``(IV) $8,000,000 for fiscal year 2007; and
``(V) $5,000,000 for each of fiscal years 2008 and 2009.
``(v) Research and development.--There is authorized to be
appropriated from the Highway Trust Fund (other than the Mass
Transit Account) to carry out research and development
activities to reduce MAGLEV deployment costs $4,000,000 for
each of fiscal years 2004 through 2009.
``(f) Availability of Funds.--Funds made available under
subsection (e) shall remain available until expended.
``(g) Other Federal Funds.--Funds made available to a State
to carry out the surface transportation program under section
133 and the congestion mitigation and air quality improvement
programs under section 149 may be used by any State to pay a
portion of the full project costs of an eligible project
selected under this section, without requirement for non-
Federal funds.
``(h) Other Federal Funds.--A project selected for funding
under this section shall be eligible for other forms of
financial assistance provided by this title and title V of
the Railroad Revitalization and Regulatory Reform Act of 1976
(45 U.S.C. 821 et seq.), including loans, loan guarantees,
and lines of credit.
``(i) Mandatory Additional Selection.--
``(1) In general.--Subject to paragraph 2, in selecting
projects for preconstruction planning, deployment, and
financial assistance, the Administrator may only provide
funds to MAGLEV projects that meet the criteria established
under subsection (b)(4).
``(2) Priority funding.--The Administrator shall give
priority funding to a MAGLEV project that--
Has received funding prior to the date of enactment of this
section as a result of evaluation and contracting procedures
for MAGLEV transportation, to the extent that the project
continues to fulfill the requirements of this section;
``(B) to the maximum extent practicable, has met safety
guidelines established by the Administrator to protect the
health and safety of the public;
``(C) is based on designs that ensure the greatest life
cycle advantages for the project;
``(D) contains domestic content of at least 70 percent; and
``(E) Those projects eligible for (d) Phase III--Deployment
which were developed through a public-private partnership
shall be implemented through the efforts of such a public-
private partnership with the private sector taking a
leadership position with regard to design, development and
deployment those private sector industry participants
involved throughout the development of the various projects
under TEA-21 Section 1218, shall continue to participate in
the Phase III-Deployment effort, if the private sector
industry participants so choose.
______
SA 2502. Mr. BOND submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Beginning on page 876, strike line 12 and all that follows
through the matter between lines 6 and 7 on page 880.
______
SA 2503. Mr. BROWNBACK submitted an amendment intended to be proposed
by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Strike section 1609.
______
SA 2504. Ms. MURKOWSKI submitted an amendment intended to be proposed
by her to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
At the appropriate place, add the following:
SEC. . NATIONAL TRIBAL ROADS INVENTORY.
(a) In General.--Chapter 2 of title 23, United States Code
(as amended by
section ), is amended by adding at the end the following:
``Sec. . National tribal roads inventory
``(a) Definitions.--In this section:
``(1) Inventory.--The term `inventory' means the
comprehensive national tribal roads inventory completed under
subsection (b).
``(2) Native village.--The term `Native village' has the
meaning given the term in section 3 of the Alaska Native
Claims Settlement Act (43 U.S.C. 1602).
``(3) Primary access route.--
``(A) In general.--The term `primary access route' means,
as determined by a Native village in accordance with the
Alaska Native Claims Settlement Act (43 U.S.C. 1601 et seq.),
a route within the boundaries of land held or managed by a
Village Corporation for the Native village that--
``(i) is most commonly used;
[[Page S1165]]
``(ii)(I) is a community street; or
``(II) provides access to the center of the Native village
by the shortest practicable route; or
``(iii) in the case of a proposed route, is the shortest
practicable route connecting 2 points.
``(B) Inclusions.--The term `primary access route' includes
a road or trail that--
``(i) connects 2 villages (including a bridge over water);
``(ii) leads to a landfill;
``(iii) leads to a drinking water source;
``(iv) leads to a natural resource identified for economic
development; and
``(v) provides access to an intermodal terminus such as an
airport, harbor, or boat landing.
``(4) Village corporation.--The term `Village Corporation'
has the meaning given the term in section 3 of the Alaska
Native Claims Settlement Act (43 U.S.C. 1602).
``(b) Inventory.--
``(1) In general.--Not later than 2 years after the date of
enactment of this section, the Secretary, in conjunction with
the Secretary of the Interior, shall complete a comprehensive
national tribal roads inventory.
``(2) Inclusions.--The Secretary shall include in the
inventory--
``(A) routes previously included in any similar inventory;
and
``(B) primary access routes.
``(c) Availability of Activities, Functions, and
Services.--All activities, functions, and services relating
to or associated with the inventory shall be available to
Indian tribes and tribal organizations in accordance with the
contracting and compacting provisions of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b et
seq.).
``(d) Report.--Not later than January 1, 2006, the
Secretary shall submit to Congress a report that includes the
data gathered in completing, and the results of, the
inventory.''.
(b) Conforming Amendment.--The analysis for chapter 2 of
title 23, United States Code (as amended by section ), is
amended by adding at the end the following:
`` . National tribal roads inventory.''.
______
SA 2505. Mr. BUNNING submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Strike section 1406.
______
SA 2506. Mr. BUNNING submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the appropriate place, insert the following:
SEC. ____. GRANTS IN AID FOR AIRPORTS.
(a) Appropriations Transfer.--Title I of Division I of the
Consolidated Appropriations Resolution, 2003 (Public Law 108-
7) is amended--
(1) under the heading ``Grants-in-Aid for Airports''--
(A) by striking ``$3,100,000,000'' and inserting
``$3,100,500,000''; and
(B) by striking ``$3,400,000,000'' and inserting
``$3,400,500,000''; and
(2) under the heading ``Capital Investment Grants'', by
striking ``$607,200,000'' each place it appears and inserting
``$606,700,000''.
(b) Earmark Adjustment.--
(1) Increase.--Page 1258 of House Conference Report 108-10
is deemed to be amended by increasing the amount earmarked
for Grants-in-Aid for Airports, high priority projects by
$500,000, which is reserved for various improvements to the
Henderson City-County, Kentucky Airport.
(2) Offset.--Page 1297 of House Conference Report 108-10 is
deemed to be amended by striking the line that earmarks
$500,000 for the Henderson County, Kentucky bus facility.
______
SA 2507. Mr. PRYOR (for himself and Mrs. Lincoln) submitted an
amendment intended to be proposed to amendment SA 2285 proposed by Mr.
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 389, between lines 15 and 16, insert the following:
SEC. 1823. DEPARTEE CREEK WATERSHED PROJECT.
Pursuant to Subpart 505D of the National Watershed Manual,
the Committee on Environment and Public Works of the Senate
approves of the watershed plan and environmental impact
statement submitted by the Departee Creek Watershed Project
in Independence and Jackson Counties, Arkansas.
______
SA 2508. Mr. SMITH submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 1148, between lines 6 and 7, insert the following:
SEC. 5454. CREDIT FOR MAINTENANCE OF RAILROAD TRACK.
(a) In General.--Subpart D of part IV of subchapter A of
chapter 1 of the Internal Revenue Code of 1986 (relating to
business-related credits), as amended by section 5453 of this
Act, is further amended by adding at the end the following
new section:
``SEC. 45I. RAILROAD TRACK MAINTENANCE CREDIT.
``(a) General Rule.--For purposes of section 38, the
railroad track maintenance credit determined under this
section for the taxable year is the amount of qualified
railroad track maintenance expenditures paid or incurred by
the taxpayer during the taxable year.
``(b) Limitation.--The credit allowed under subsection (a)
shall not exceed the product of--
``(1) $10,000, and
``(2) the number of miles of railroad track owned or leased
by the taxpayer as of the close of the taxable year.
``(c) Qualified Railroad Track Maintenance Expenditures.--
For purposes of this section, the term `qualified railroad
track maintenance expenditures' means expenditures (whether
or not otherwise chargeable to capital account) for
maintaining railroad track (including roadbed, bridges, and
related track structures) owned or leased by the taxpayer of
Class II or Class III railroads (as determined by the Surface
Transportation Board).
``(d) Controlled Groups.--For purposes of subsection (b),
rules similar to the rules of paragraph (1) of section 41(f)
shall apply for purposes of this subsection.
``(e) Basis Adjustment.--For purposes of this subtitle, if
a credit is allowed under this section with respect to any
railroad track, the basis of such track shall be reduced by
the amount of the credit so allowed.
``(f) Application of Section.--This section shall apply to
qualified railroad track maintenance expenditures paid or
incurred during taxable years beginning after December 31,
2003, and before January 1, 2009.
``(g) Credit Transferability.--
``(1) In general.--Any credit allowable under this section
may be transferred as provided in this subsection, and the
determination as to whether the credit is allowable shall be
made without regard to the tax-exempt status of the
transferor.
``(2) Transfer to eligible taxpayer.--Any credit
transferred under paragraph (1) shall be transferred to an
eligible taxpayer. Any credit so transferred shall be allowed
to the transferee, but the transferee may not assign such
credit to any other person.
``(3) Eligible taxpayer.--For purposes of this subsection,
the term `eligible taxpayer' means--
``(A) any person who transports property using the rail
facilities of the taxpayer or who furnishes railroad-related
property or services to the taxpayer, and
``(B) any Class II or Class III railroad.
``(4) Minimum price for transfer.--No transfer shall be
allowed under this subsection unless the transferor receives
compensation for the credit transfer equal to at least 50
percent of the amount of credit transferred. The excess of
the amount of credit transferred over the compensation
received by the transferor for such transfer shall be
included in the gross income of the transferee.''.
(b) Limitation on Carryback.--Section 39(d) of the Internal
Revenue Code of 1986 (relating to transition rules) is
amended by adding at the end the following new paragraph:
``(11) No carryback of railroad track maintenance credit
before effective date.--No portion of the unused business
credit for any taxable year which is attributable to the
railroad track maintenance credit determined under section
45I may be carried to a taxable year beginning before January
1, 2004.''.
(c) Conforming Amendments.--
(1) Section 38(b) of the Internal Revenue Code of 1986
(relating to general business credit) is amended by striking
``plus'' at the end of paragraph (14), by striking the period
at the end of paragraph (15) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(16) the railroad track maintenance credit determined
under section 45I(a).''.
(2) Subsection (a) of section 1016 of such Code is amended
by striking ``and'' at the end of paragraph (27), by striking
the period at the end of paragraph (28) and inserting ``,
and'', and by adding at the end the following new paragraph:
``(29) in the case of railroad track with respect to which
a credit was allowed under section 45G, to the extent
provided in section 45I(e).''.
(d) Clerical Amendment.--The table of sections for subpart
D of part IV of subchapter A of chapter 1 of the Internal
Revenue Code of 1986, as amended by section 5453 of this Act,
is further amended by inserting after the item relating to
section 45H the following new item:
``Sec. 45I. Railroad track maintenance credit.''.
[[Page S1166]]
(e) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2003.
______
SA 2509. Mr. SMITH submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 91 (of the Committee Print for the proposed Federal
Public Transportation Act of 2004), line 22 in Sec. 3012(a)'s
proposed Sec. 5310(a)(1), insert a comma and the following
phrase after the words ``transportation projects'': ``and
operating costs associated with public transportation capital
projects,''
On page 93, in Sec. 3012(a)'s proposed Sec. 5310(c)(1),
replace the words ``IN GENERAL'' with ``CAPITAL PROJECTS'' at
line 17, and add the following subparagraph after line 24:
``(C) Operating assistance.--A grant made under this
section for operating assistance may not exceed 50 percent of
the net operating costs of the project, as determined by the
Secretary.
______
SA 2510. Mr. GRAHAM of Florida (for himself and Mr. Nelson of
Florida) submitted an amendment intended to be proposed by him to the
bill S. 1072, to authorize funds for Federal-aid highways, highway
safety programs, and transit programs, and for other purposes; which
was ordered to lie on the table; as follows:
On page 389, after line 15, insert the following:
SEC. __. HIGH PRIORITY CORRIDORS.
Section 1105(c) of the Intermodal Surface Transportation
Efficiency Act of 1991 (105 Stat. 2032) is amended by adding
at the end the following:
``(45) The Corridor consisting of I-95 from the border with
Canada to the terminus of I-95 in the State of Florida.
``(46) The Corridor consisting of I-75 in the State of
Florida.
``(47) The Corridor consisting of I-4 in the State of
Florida.
``(48) United States Route 1 from Maine to its terminus in
Florida.
``(49) Interstate Route 10 from Jacksonville, Florida, to
Los Angeles, California.''.
______
SA 2511. Mr. DASCHLE submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 321, strike lines 15 through 22 and insert the
following:
``(i) Reservation of funds.--In addition to any other funds
made available for Indian reservation roads for each fiscal
year, there is authorized to be appropriated from the Highway
Trust Fund (other than the Mass Transit Account) $15,000,000
for each of fiscal years 2004 through 2009 to carry out
planning, design, engineering, for bridges located on Native
American lands.
______
SA 2512. Mr. FEINGOLD submitted an amendment intended to be proposed
by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 60, after line 25, add the following:
SEC. 1106. FUNDING FORMULA.
Notwithstanding any other provision of this Act, all
transportation funding shall be determined using the formula
under the Transportation Equity Act for the 21st Century
(Public Law 105-178) as in effect before the date of
enactment of this Act.
______
SA 2513. Mr. BROWNBACK submitted an amendment intended to be proposed
by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
At the end of subtitle F of title V, insert the following:
SEC. __. CREDIT FOR MAINTENANCE OF RAILROAD TRACK;
(a) Credit for Maintenance of Railroad Track.--
(1) In general.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business-related credits) is amended
by adding at the end the following new section:
``SEC. 45I. RAILROAD TRACK MAINTENANCE CREDIT.
``(a) General Rule.--For purposes of section 38, the
railroad track maintenance credit determined under this
section for the taxable year is 50 percent of the amount of
qualified railroad track maintenance expenditures paid or
incurred by an eligible taxpayer during the taxable year.
``(b) Limitation.--The credit allowed under subsection (a)
shall not exceed the product of--
``(1) $20,000, and
``(2) the number of miles of railroad track owned or leased
by the taxpayer as of the close of the taxable year.
``(c) Qualified Railroad Track Maintenance Expenditures.--
For purposes of this section, the term `qualified railroad
track maintenance expenditures' means expenditures (whether
or not otherwise chargeable to capital account) for
maintaining railroad track (including roadbed, bridges, and
related track structures) owned or leased as of January 1,
2004, by the taxpayer of Class II or Class III railroads (as
determined by the Surface Transportation Board).
``(d) Controlled Groups.--For purposes of subsection (b),
rules similar to the rules of paragraph (1) of section 41(f)
shall apply for purposes of this subsection.
``(e) Basis Adjustment.--For purposes of this subtitle, if
a credit is allowed under this section with respect to any
railroad track, the basis of such track shall be reduced by
the amount of the credit so allowed.
``(f) Application of Section.--This section shall apply to
qualified railroad track maintenance expenditures paid or
incurred during taxable years beginning after December 31,
2003, and before January 1, 2009.
``(g) Eligible Taxpayer.--For purposes of this subsection,
the term `eligible taxpayer' means--
``(1) any person who transports property using the rail
facilities of the taxpayer or who furnishes railroad-related
property or services to the taxpayer, and
``(2) any Class II or Class III railroad.''.
(2) Limitation on carryback.--Section 39(d) (relating to
transition rules), as amended by section 5453, is amended by
adding at the end the following new paragraph:
``(14) No carryback of railroad track maintenance credit
before effective date.--No portion of the unused business
credit for any taxable year which is attributable to the
railroad track maintenance credit determined under section
45G may be carried to a taxable year beginning before January
1, 2004.''.
(3) Conforming Amendments.--
(A) Section 38(b) (relating to general business credit), as
amended by section 5253 of this Act, is amended by striking
``plus'' at the end of paragraph (18), by striking the period
at the end of paragraph (19) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(20) the railroad track maintenance credit determined
under section 45I(a).''.
(B) Subsection (a) of section 1016 is amended by striking
``and'' at the end of paragraph (27), by striking the period
at the end of paragraph (28) and inserting ``, and'', and by
adding at the end the following new paragraph:
``(29) in the case of railroad track with respect to which
a credit was allowed under section 45I, to the extent
provided in section 45I(e).''.
(4) Clerical Amendment.--The table of sections for subpart
D of part IV of subchapter A of chapter 1, as amended by this
Act, is amended by inserting after the item relating to
section 45H the following new item:
``Sec. 45I. Railroad track maintenance credit.''.
(5) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2003.
(b) Railroad Revitalization and Security Investment
Credit.--
(1) In general.--Subpart D of part IV of subchapter A of
chapter 1 (relating to business-related credits) is amended
by adding at the end the following new section:
``SEC. 45J. RAILROAD REVITALIZATION AND SECURITY INVESTMENT
CREDIT.
``(a) General Rule.--For purposes of section 38, the
railroad revitalization and security investment credit
determined under this section for the taxable year is the
amount of qualified project expenditures paid or incurred by
an eligible taxpayer during the taxable year.
``(b) Qualified Project Expenditures.--For purposes of this
section, the term `qualified project expenditures' means
expenditures (whether or not otherwise chargeable to capital
account) with respect to rail lines which are included in a
State rail plan (within the meaning of section 22101 of title
49, United States Code) for--
``(A) planning and environmental review,
``(B) rail line rehabilitation,
``(C) upgrades and development of rail lines,
``(D) projects for safety and security with respect to rail
lines,
``(E) passenger equipment acquisition with respect to rail
lines,
``(F) rail station improvement, and
``(G) intermodal facilities development.
An expenditure shall not be a qualified project expenditure
unless there is a written agreement between a State and the
owner of the infrastructure improved by the expenditures
regarding the use and ownership of such infrastructure,
including compensation for such use and assurances regarding
the capacity of such infrastructure.
``(c) Limitations.--
``(1) In general.--The credit allowed under subsection (a)
shall not exceed 50 percent of the amount allocated to such
project under this subsection.
``(2) National limitation.--There is a railroad
revitalization and security investment credit limitation of
$167,000,000 for each calendar year.
[[Page S1167]]
``(3) Allocation of limitation.--The limitation under
paragraph (2) shall be allocated by the Secretary to each
State with a State rail plan (within the meaning of section
22101 of title 49, United States Code) based on the following
considerations:
``(A) the number of rail miles in active use in the State;
``(B) the number of rail cars loaded in the State;
``(C) the number of railroad and public road grade
crossings in the State;
``(D) the number of intercity passenger rail miles; and
``(E) the number of intercity passenger embarkations.
``(d) Eligible Taxpayer.--For purposes of this section, the
term `eligible taxpayer' means a taxpayer who is an employer
for purposes of the Railroad Retirement Act of 1974 and who
is a carrier for purposes of the Railway Labor Act (unless
such person is a commuter rail passenger transportation (as
defined in section 24102 of title 49, United States Code)
operator of a State or local authority (as defined in section
5302 of such title) or an Alaska railroad or it contractor).
``(e) Controlled Groups.--For purposes of subsection (b),
rules similar to the rules of paragraph (1) of section 41(f)
shall apply for purposes of this subsection.
``(f) Basis Adjustment.--For purposes of this subtitle, if
a credit is allowed under this section with respect to any
railroad track, the basis of such track shall be reduced by
the amount of the credit so allowed.
``(g) Application of Section.--This section shall apply to
qualified railroad track maintenance expenditures paid or
incurred during taxable years beginning after December 31,
2003, and before January 1, 2009.
``(h) Credit Transferability.--
``(1) In general.--Any credit allowable under this section
may be transferred (but not more than once) as provided by
the Secretary, and the determination as to whether the credit
is allowable shall be made without regard to the tax-exempt
status of the transferor.
``(2) Minimum price for transfer.--No transfer shall be
allowed under this subsection unless the transferor receives
compensation for the credit transfer equal to at least 50
percent of the amount of credit transferred. The excess of
the amount of credit transferred over the compensation
received by the transferor for such transfer shall be
included in the gross income of the transferee.''.
(2) Limitation on carryback.--Section 39(d) (relating to
transition rules), as amended by subsection (a), is amended
by adding at the end the following new paragraph:
``(16) No carryback of section 45j credit before effective
date.--No portion of the unused business credit for any
taxable year which is attributable to the credit determined
under section 45J(a) may be carried back to a taxable year
beginning on or before the date of the enactment of section
45J.''.
(3) Conforming Amendments.--
(A) Section 38(b) (relating to general business credit), as
amended by subsection (a), is amended by striking ``plus'' at
the end of paragraph (19), by striking the period at the end
of paragraph (20) and inserting ``, plus'', and by adding at
the end the following new paragraph:
``(21) the railroad revitalization and security investment
credit determined under section 45J(a).''.
(B) Subsection (a) of section 1016 is amended by striking
``and'' at the end of paragraph (28), by striking the period
at the end of paragraph (29) and inserting ``, and'', and by
adding at the end the following new paragraph:
``(30) in the case of qualified projects with respect to
which a credit was allowed under section 45J, to the extent
provided in section 45J(f).''.
(4) Clerical Amendment.--The table of sections for subpart
D of part IV of subchapter A of chapter 1, as amended by
subsection (a), is amended by inserting after the item
relating to section 45I the following new item:
``Sec. 45J. Railroad revitalization and security investment credit.''.
(5) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2003.
SEC. __. CONSISTENT AMORTIZATION OF PERIODS FOR INTANGIBLES.
(a) Start-Up Expenditures.--
(1) Allowance of deduction.--Paragraph (1) of section
195(b) (relating to start-up expenditures) is amended to read
as follows:
``(1) Allowance of deduction.--If a taxpayer elects the
application of this subsection with respect to any start-up
expenditures--
``(A) the taxpayer shall be allowed a deduction for the
taxable year in which the active trade or business begins in
an amount equal to the lesser of--
``(i) the amount of start-up expenditures with respect to
the active trade or business, or
``(ii) $5,000, reduced (but not below zero) by the amount
by which such start-up expenditures exceed $50,000, and
``(B) the remainder of such start-up expenditures shall be
allowed as a deduction ratably over the 180-month period
beginning with the month in which the active trade or
business begins.''.
(2) Conforming amendment.--Subsection (b) of section 195 is
amended by striking ``Amortize'' and inserting ``Deduct'' in
the heading.
(b) Organizational Expenditures.--Subsection (a) of section
248 (relating to organizational expenditures) is amended to
read as follows:
``(a) Election to Deduct.--If a corporation elects the
application of this subsection (in accordance with
regulations prescribed by the Secretary) with respect to any
organizational expenditures--
``(1) the corporation shall be allowed a deduction for the
taxable year in which the corporation begins business in an
amount equal to the lesser of--
``(A) the amount of organizational expenditures with
respect to the taxpayer, or
``(B) $5,000, reduced (but not below zero) by the amount by
which such organizational expenditures exceed $50,000, and
``(2) the remainder of such organizational expenditures
shall be allowed as a deduction ratably over the 180-month
period beginning with the month in which the corporation
begins business.''.
(c) Treatment of Organizational and Syndication Fees or
Partnerships.--
(1) In general.--Section 709(b) (relating to amortization
of organization fees) is amended by redesignating paragraph
(2) as paragraph (3) and by amending paragraph (1) to read as
follows:
``(1) Allowance of deduction.--If a taxpayer elects the
application of this subsection (in accordance with
regulations prescribed by the Secretary) with respect to any
organizational expenses--
``(A) the taxpayer shall be allowed a deduction for the
taxable year in which the partnership begins business in an
amount equal to the lesser of--
``(i) the amount of organizational expenses with respect to
the partnership, or
``(ii) $5,000, reduced (but not below zero) by the amount
by which such organizational expenses exceed $50,000, and
``(B) the remainder of such organizational expenses shall
be allowed as a deduction ratably over the 180-month period
beginning with the month in which the partnership begins
business.
``(2) Dispositions before close of amortization period.--In
any case in which a partnership is liquidated before the end
of the period to which paragraph (1)(B) applies, any deferred
expenses attributable to the partnership which were not
allowed as a deduction by reason of this section may be
deducted to the extent allowable under section 165.''.
(2) Conforming amendment.--Subsection (b) of section 709 is
amended by striking ``Amortization'' and inserting
``Deduction'' in the heading.
(d) Effective Date.--The amendments made by this section
shall apply to amounts paid or incurred after the date of the
enactment of this Act.
______
SA 2514. Mr. GRASSLEY (for himself and Mr. Baucus) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1027, strike lines 14 through 18, and insert the
following:
(h) Highway Trust Fund Expenditures for Highway Use Tax
Evasion Projects.--Section 9503(c), as amended by this Act,
is amended to add at the end the following new paragraph:
``(5) Highway use tax evasion projects.--From amounts
available in the Highway Trust Fund, there is authorized to
be expended--
``(A) for each fiscal year after 2003 to the Internal
Revenue Service--
``(i) $30,000,000 for enforcement of fuel tax compliance,
including the per-certification of tax-exempt users,
``(ii) $10,000,000 for Xstars, and
``(iii) $10,000,000 for xfirs, and
``(B) for each fiscal year after 2003 to the Federal
Highway Administration, $50,000,000 to be allocated
$1,000,000 to each State to combat fuel tax evasion on the
State level.''.
______
SA 2515. Mr. KENNEDY submitted an amendment intended to be proposed
by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
At the appropriate place, please insert the following:
SEC. . SENSE OF THE SENATE CONCERNING THE NEED FOR THE
MAXIMUM POSSIBLE AMOUNT OF SURFACE
TRANSPORTATION INVESTMENT OVER THE NEXT SIX
YEARS.
(a) Findings--The Senate finds that--
(1) The U.S. Department of Transportation estimates that
simply to maintain the current physical conditions and
congestion levels of the nation's highway and transit network
an annual federal surface transportation investment of $53.6
billion is necessary, and that improving the system would
require $75 billion in annual federal investment in highways
and transit;
(2) the Senate Environment and Public Works Committee, the
Senate Banking, Housing, and Urban Affairs Committee, the
Senate Finance Committee, and the Senate Commerce Committee
have authorized a substitute amendment that provides $318
billion
[[Page S1168]]
over six years to help address these considerable surface
transportation infrastructure needs; and
(3) the United States Department of Transportation
estimates that each $1 billion in surface transportation
investment supports more than 47,000 jobs.
(b) Sense of the Senate.--It is the Sense of the Senate
that the Senate should insist that the conference report on
S. 1072 provide for a six-year federal investment in highway,
transit, and rail infrastructure totaling at least $318
billion.
______
SA 2516. Mr. MILLER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 120, line 18, after ``elements'' insert ``,
including integrated, interoperable emergency
communications,''.
______
SA 2517. Mr. MILLER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 404, line 7, before ``communication'' insert
``integrated, interoperable emergency''.
______
SA 2518. Mr. MILLER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 260, after line 9, insert the following:
``(7) if the project or program involves the purchase of
integrated, interoperable emergency communications
equipment.''.
______
SA 2519. Mr. MILLER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 423, line 14, before ``reliability'' insert
``mobile communications,''.
______
SA 2520. Mr. MILLER submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 423, line 14, before ``reliability'' insert
``mobile communications,''.
______
SA 2521. Mr. MILLER submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 489, after line 23, insert the following:
SEC. 2105. WIDEBAND MULTI-BAND MOBILE PILOT PROJECTS.
(a) In General.--The Secretary shall make grants for
wideband multi-media mobile pilot projects to demonstrate
emergency communications systems that provide wideband, two-
way information transfer capabilities utilizing the public
safety spectrum made available by the Federal Communications
Commission in the 700 MHz radio frequency band and that are
compliant with the public safety wideband data standard TIA-
902 as recommended as the wideband data interoperability
standard by the Public Safety National Coordinating Committee
to the Federal Communications Commission.
(b) Locations.--Not later than 90 days after the date of
enactment of this Act, the Secretary shall establish
locations for pilot projects under this section. In
determining pilot project locations, the Secretary shall
certify that pilot project locations awarded grants have
spectrum available for public safety purposes and are in the
700 MHz band pursuant to the Federal Communications
Commission's rules.
(c) Limit on Time.--Grants under this section shall be
awarded not later than 12 months after the date of enactment
of this Act.
______
SA 2522. Mr. KOHL submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning on page 55, strike line 25 and all that follows
through page 57, line 23, and insert the following:
``(c) Special Rules.--
``(1) Minimum combined allocation.--For each fiscal year,
before making the allocations under subsection (a)(1), the
Secretary shall allocate among the States amounts sufficient
to ensure that no State receives a combined total of amounts
allocated under subsection (a)(1), apportionments for the
programs specified in subsection (a)(2), and amounts
allocated under this subsection, that is less than 110
percent of the sum of--
``(A) the total apportionments of the State for the fiscal
year for the programs specified in subsection (a)(2); exceeds
``(B) the sum of--
``(i) the percentage of the average, for the period of
fiscal years 1998 through 2003, of the annual apportionments
of the State for all programs specified in subsection (b)(2),
as specified in paragraph (2); and
``(ii) an amount which is equivalent to--
``(I) the amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the excess of the tax rate applicable for a
gallon of gasoline over the tax rate applicable for a gallon
of gasohol for such years; plus
``(II) an amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the amount of the tax rate applicable to a
gallon of gasohol which is not deposited into the Highway
Trust Fund with respect to each such year.
``(2) Percentages.--The percentages referred to in
paragraph (1)(B)(i) are--
``(A) for fiscal year 2004, 120 percent;
``(B) for fiscal year 2005, 130 percent;
``(C) for fiscal year 2006, 134 percent;
``(D) for fiscal year 2007, 137 percent;
``(E) for fiscal year 2008, 145 percent; and
``(F) for fiscal year 2009, 250 percent.''.
``(3) No negative adjustment.--Notwithstanding subsection
(d), no negative adjustment shall be made under subsection
(a)(1) to the apportionment of any State.
``(4) Minimum share of tax payments.--Notwithstanding
subsection (d), for each fiscal year, the Secretary shall
allocate among the States amounts sufficient to ensure that
no State receives a percentage of apportionments for the
fiscal year for the programs specified in subsection (a)(2)
that is less than 90.5 percent of the percentage share of the
State of estimated tax payments attributable to highway users
in the State paid into the Highway Trust Fund (other than the
Mass Transit Account) in the most recent fiscal year for
which data are available.
``(d) Limitation on Adjustments.--
``(1) In general.--Except as provided in paragraphs (2) and
(3) of subsection (c), no State shall receive, for any fiscal
year, additional amounts under subsection (a)(1) if--
``(A) the total apportionments of the State for the fiscal
year for the programs specified in subsection (a)(2); exceeds
``(B) the sum of--
``(i) the percentage of the average, for the period of
fiscal years 1998 through 2003, of the annual apportionments
of the State for all programs specified in subsection (b)(2),
as specified in paragraph (2); and
``(ii) an amount which is equivalent to--
``(I) the amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the excess of the tax rate applicable for a
gallon of gasoline over the tax rate applicable for a gallon
of gasohol for such years; plus
``(II) an amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the amount of the tax rate applicable to a
gallon of gasohol which is not deposited into the Highway
Trust Fund with respect to each such year.
``(2) Percentages.--The percentages referred to in
paragraph (1)(B)(i) are--
``(A) for fiscal year 2004, 120 percent;
``(B) for fiscal year 2005, 130 percent;
``(C) for fiscal year 2006, 134 percent;
``(D) for fiscal year 2007, 137 percent;
``(E) for fiscal year 2008, 145 percent; and
``(F) for fiscal year 2009, 250 percent.''.
______
SA 2523. Mr. LEAHY submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1310, line 4, insert the following:
Vermont Wildlife and Transportation Demonstration
Project.--Under the Highways Safety Improvement Program,
there is $5,000,000 available to the State of Vermont to
research, design and construct connectivity infrastructure to
facilitate wildlife movement and improve transportation
safety at significant wildlife habitat areas.
______
SA 2524. Mr. LEAHY submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr.
[[Page S1169]]
Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 1310, line 4, insert the following:
Wildlife Connectors Research Program.--Under the Highway
Research and Technology Program, $15 million is authorized
for the Department to work with states to conduct research
and data collection to improve the design and placement of
connectivity infrastructure to facilitate wildlife movement
and improve transportation safety at significant wildlife
habitat areas.
______
SA 2525. Mr. LEAHY submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 288, between lines 2 and 3, insert the following:
SEC. 1622. AIR QUALITY PLANNING INITIATIVE.
Section 104 of title 23, United States Code (as amended by
section 1607(b)), is amended by adding at the end the
following:
``(o) Air Quality Planning Initiative.--
``(1) In general.--The Secretary, in cooperation with the
Administrator of the Environmental Protection Agency, shall
establish an air quality planning initiative to support State
and local governments, or groups of such governments
organized to protect air quality in a specific region, in--
``(A) developing the technical capacity to perform
transportation air quality conformity analysis, including
carbon monoxide and particulate matter hot spot analysis;
``(B) providing training in areas such as modeling,
monitoring, and data collection and synthesis to support air
quality planning and analysis;
``(C) developing materials and systems to convey air
quality information to decisionmakers and the public;
``(D) enhancing mobile source monitoring and emission
inventorying capabilities; and
``(E) carrying out other activities necessary to assist
State, regional, and local governments in achieving the
national ambient air quality standards.
``(2) Use of funds.--
``(A) In general.--Funds authorized to be appropriated to
carry out this subsection may be used for activities and
purposes consistent with paragraph (1), such as--
``(i) research;
``(ii) program and computer systems development;
``(iii) information collection and dissemination;
``(iv) technical assistance; and
``(v) training.
``(B) Cooperation.--To carry out this subsection, the
Secretary may, with the concurrence of the Administrator of
the Environmental Protection Agency--
``(i) use funds under this section independently; or
``(ii) make grants to enter into contracts or cooperative
agreements with--
``(I) Federal, State, and local agencies;
``(II) federally-recognized Indian tribal governments and
tribal consortia;
``(III) associations of State or local governments; and
``(IV) nonprofit organizations, research institutions, or
institutions of higher education.
``(3) Funding.--
``(A) Authorization of appropriations.--There is authorized
to be appropriated from the Highway Trust Fund (other than
the Mass Transit Account) to carry out this subsection
$20,000,000 for the period of fiscal years 2004 through 2009,
to remain available until expended.
``(B) Federal share.--The Federal share of the cost of a
project or activity carried out using funds made available
under subparagraph (A) shall not exceed 100 percent.''.
______
SA 2526. Mr. JOHNSON submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 619, strike line 1 and all that follows through
page 621, line 8, and insert the following:
``(1) Authorization.--The Secretary may award grants to a
State for capital public transportation projects that are
planned, designed, and carried out to meet the needs of
elderly individuals and individuals with disabilities, and
for operating costs of equipment and facilities for use in
such projects, with priority given to the needs of these
individuals to access necessary health care.
``(2) Acquisition of public transportation services.--A
capital public transportation project under this section may
include acquiring public transportation services as an
eligible capital expense.
``(3) Administrative costs.--A State may use not more than
15 percent of the amounts received under this section to
administer, plan, and provide technical assistance for a
project funded under this section.
``(b) Allotments Among States.--
``(1) In general.--From amounts made available or
appropriated in each fiscal year under subsections
(a)(1)(C)(iv) and (b)(2)(D) of section 5338 for grants under
this section, the Secretary shall allot amounts to each State
under a formula based on the number of elderly individuals
and individuals with disabilities in each State.
``(2) Transfer of funds.--Any funds allotted to a State
under paragraph (1) may be transferred by the State to the
apportionments made under sections 5311(c) and 5336 if such
funds are only used for eligible projects selected under this
section.
``(3) Reallocation of funds.--A State receiving a grant
under this section may reallocate such grant funds to--
``(A) a private nonprofit organization;
``(B) a public transportation agency or authority; or
``(C) a governmental authority that--
``(i) has been approved by the State to coordinate services
for elderly individuals and individuals with disabilities;
``(ii) certifies that nonprofit organizations are not
readily available in the area that can provide the services
described under this subsection; or
``(iii) will provide services to persons with disabilities
that exceed those services required by the Americans with
Disabilities Act.
``(c) Federal Share.--
``(1) Maximum.--
``(A) In general.--A grant for a capital project under this
section may not exceed 80 percent of the net capital costs of
the project, as determined by the Secretary.
``(B) Operating costs.--Grant funds for operating costs
under this section may not exceed 50 percent of the net
operating costs of the project, as determined by the
Secretary.
``(C) Exception.--A State described in section 120(d) of
title 23 shall receive an increased Federal share under
subparagraph (A) in accordance with the formula under that
section.
______
SA 2527. Mr. HOLLINGS submitted an amendment intended to be
proposed to amendment SA 2285 proposed by Mr. Inhofe to the
bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Beginning with line 18 on page 1006, strike through lines
20 on page 1009 and insert the following:
Subtitle F--Rail Transportation
Part 1--Railroad Track Modernization
SEC. 4601. SHORT MILE.
This part may be cited as the ``Railroad Track
Modernization Act of 2004''.
SEC. 4602. CAPITAL GRANTS FOR RAILROAD TRACK.
(a) Authority.--Chapter 223 of title 49, United States
Code, is amended to read as follows:
``CHAPTER 223--CAPITAL GRANTS FOR RAILROAD TRACK
``Sec. 22301. Capital grants for railroad track.
``Sec. 22301. Capital grants for railroad track
``(a) Establishment of Program.--``(1) Establishment.--The
Secretary of Transportation shall establish a program of
capital grants for the rehabilitation, preservation, or
improvement of railroads. Such grants shall be for rail
transportation and ensuring that track can be operated safely
and efficiently, including grants for rehabilitating,
preserving, or improving track. Grants may be provided under
this chapter to a State or a group of States for, or in
connection with, 1 or more rail capital projects that--
``(A) in accordance with section 634(a)(5) of this title,
are listed in a State rail plan approved for such State under
chapter 225 of this title; and
``(B) as determined by the Secretary, would primarily
benefit intercity passenger rail infrastructure or services
or freight rail transportation infrastructure or services and
provide significant public benefits.
``(2) Regulations.--
``(A) In general.--The Secretary shall prescribe
regulations to carry out the program under this section.
``(B) Criteria.--In developing the regulations, the
Secretary shall establish criteria that--
``(i) condition the award of a grant on reasonable
assurances that the facilities to be rehabilitated and
improved will be economically and efficiently utilized;
``(ii) ensure that the award of a grant is justified by
present and probable future demand for rail services; and
``(iii) ensure that projects are part of a State rail plan.
``(C) Grant allocations.--Of the total amount made
available for the program, 50 percent shall be awarded on a
discretionary basis for passenger rail projects, and the
remaining 50 percent shall be apportioned to States to fund
freight rail projects in accordance with a formula prescribed
by the Secretary to weigh equally for each State--
``(i) the number of rail miles in active use in the State;
``(ii) the number of rail cars loaded in the State;
``(iii) the number of rail cars unloaded in the State; and
``(iv) the number of railroad and public road grade
crossings in the State.
[[Page S1170]]
``(b) Federal Share.--The Federal share for carrying out a
project under this section shall be 80 percent of the project
cost. The non-Federal share may be provided by any non-
Federal source in cash, equipment, or supplies. Other in-kind
contributions may be approved by the Secretary on a case by
case basis consistent with this chapter.
``(c) Authorization of Appropriations.--Notwithstanding
section 4635, there are authorized to be appropriated to the
Secretary of Transportation $2,000,000,000 for each of the
fiscal years 2005, 2006, 2007, 2008, 2009, 2010 to carry out
this section.
``Sec. 22302. State rail plans
``(a) In General.--Each State may prepare and maintain a
State rail plan in accordance with the provisions of this
chapter.
``(b) Requirements.--For the preparation and periodic
revision of a State rail plan, a State shall
``(1) establish or designate a State rail transportation
authority to prepare, maintain, coordinate, and administer
the plan;
``(2) establish or designate a State rail plan approval
authority to approve the plan;
``(3) submit the State's approved plan to the Secretary of
Transportation for review; and
``(4) revise and resubmit a State-approved plan no less
frequently than once every 5 years for re-approval by the
Secretary.
``Sec. 22303. Purposes
``(a) Purposes.--The purposes of a State rail plan are as
follows:
``(1) To set forth State policy involving freight and
passenger rail transportation, including commuter rail
operations, in the State.
``(2) To establish the period covered by the State rail
plan.
``(3) To present priorities and strategies to enhance rail
service in the State that benefits the public.
``(4) To serve as the basis for Federal and State rail
investments within the State.
``(b) Coordination.--A State rail plan shall be coordinated
with other State transportation planning goals and programs
and set forth rail transportation's role within the State
transportation system. A State shall provide adequate and
reasonable notice and opportunity for comment and other input
to the public, rail carriers, commuter and transit
authorities operating in, or affected by rail operations
within the State, units of local government, and other
interested parties in the preparation and review of its State
rail plan.
``Sec. 22304. Content
``(a) In General.--Each State rail plan shall contain the
following:
``(1) An inventory of the existing overall rail
transportation system and rail services and facilities within
the State and an analysis of the role of rail transportation
within the State's surface transportation system.
``(2) A comprehensive review of all rail lines within the
State, including proposed high speed rail corridors and
significant rail line segments not currently in service.
``(3) A general analysis of rail's transportation,
economic, and environmental impacts in the State, including
congestion mitigation, trade and economic development, air
quality, land-use, energy-use, and community impacts.
``(4) A long-range rail investment program for current and
future freight and passenger infrastructure in the State that
meets the requirements of subsection (b).
``(5) A statement of public financing issues for rail
projects in the State.
``(6) An identification of rail infrastructure issues
within the State that reflects consultation with all relevant
stake holders.
``(7) A review of major passenger and freight intermodal
rail connections and facilities within the State, including
seaports.
``(8) A statement that the State is in compliance with the
requirements of section 22102.
``(b) Long-range Service and Investment Program.--
``(1) Program Content.--A long-range rail investment
program included in a State rail plan under subsection (a)(5)
shall include the following matters:
``(A) Two lists for rail capital projects, 1 for freight
rail capital projects and 1 for intercity passenger rail
capital projects.
``(B) A detailed funding plan for the projects.
``(2) Project List Content.--The list of freight and
intercity passenger rail capital projects shall contain--
``(A) a description of the anticipated public and private
benefits of each such project; and
``(B) a statement of the correlation between--
``(i) public funding contributions for the projects; and
``(ii) the public benefits.
``(3) Considerations for Project List.--In preparing the
list of freight and intercity passenger rail capital
projects, a State rail transportation authority shall take
into consideration the following matters:
``(A) Contributions made by non-Federal and non-State
sources through user fees, matching funds, or other private
capital involvement.
``(B) Rail capacity and congestion effects.
``(C) Effects to highway, aviation, and maritime capacity,
congestion, or safety.
``(D) Regional balance.
``(E) Environmental impact. .
``(F) Economic and employment impacts.
``(G) Projected ridership and other service measures for
passenger rail projects.
``(c) Waiver.--The Secretary may waive any requirement of
subsection (a) upon application under circumstances that the
Secretary determines appropriate.
``22306. Approval
``(a) Criteria.--The Secretary may approve a State rail
plan for the purposes of this chapter if
``(1) the plan meets all of the requirements applicable to
State plans under this chapter;
``(2) for each ready-to-commence project listed on the
ranked list of freight and intercity passenger rail capital
projects under the plan--
``(A) the project meets all safety and environmental
requirements including those prescribed under the National
Environmental Policy Act of 1969 (42 U.S.C. 4331 et seq.)
that are applicable to the project under law; and
``(B) the State has entered into an agreement with any
owner of rail infrastructure or right of way directly
affected by the project that provides for the State to
proceed with the project; and
``(3) the content of the plan is coordinated with State
transportation plans developed pursuant to the requirements
of section 135 of title 23.
Sec. Definitions
In this chapter:
``(1) Private benefit.---The term `private benefit'--
``(A) means a benefit accrued to a person or private
entity, other than the National Railroad Passenger
Corporation, that directly improves the economic and
competitive condition of that person or entity through
improved assets, cost reductions, service improvements, or
any other means as defined by the Secretary; and
``(B) shall be determined on a project-by-project basis,
based upon an agreement between the parties.
``(2) Public benefit.--The term `public benefit'--
``(A) means a benefit accrued to the public in the form of
enhanced mobility of people or goods, environmental
protection or enhancement, congestion mitigation, enhanced
trade and economic development, improved air quality or land
use, more efficient energy use, enhanced public safety or
security, reduction of public expenditures due to improved
transportation efficiency or infrastructure preservation, and
any other positive community effects as defined by the
Secretary; and
``(B) shall be determined on a project-by-project basis,
based upon an agreement between the parties.''.
SEC. 4603. STANDARDS AND CONDITIONS.
(a) Operators Deemed Rail Carriers and Employers for
Certain Purposes.--A person that conducts rail operations
over rail infrastructure constructed or improved with funding
provided in whole or in part in a grant made under this
title--
(1) shall be considered an employer for purposes of the
Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.); and
(2) shall be considered a carrier for purposes of the
Railway Labor Act (43 U.S.C. 151 et seq.).
SEC. 4604. GRANT PROGRAM FUNDING.
(a) In General.--Section 250(c)(4) of the Balanced Budget
and Emergency Deficit Control Act of 1985 (2 U.S.C.
900(c)(4)) is amended by adding at the end the following:
``(D) Rail infrastructure category.--The term `rail
infrastructure category' means discretionary appropriations
to the Secretary of Transportation for the provision of
grants to States for railroad infrastructure investment
activities subject to the obligation limitations on contract
authority provided under division B of the Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004 or
for which appropriations are provided in accordance with
authorizations contained in that division.''.
(b) Budget Authority; Outlays.--For purposes of section
251(c) of the Balanced Budget and Emergency Deficit Control
Act of 1985 (2 U.S.C. 901(b)):
(1) Budget authority.--The budget authority for the rail
infrastructure category shall be--
(A) $300,000,000 for fiscal year 2005;
(B) $600,000,000 for fiscal year 2006;
(C) $900,000,000 for fiscal year 2007;
(D) $1,200,000,000 for fiscal year 2008;
(E) $1,500,000,000 for fiscal year 2009; and
(F) $1,500,000,000 for fiscal year 2010.
(2) Outlays.--The level of outlays for the rail
infrastructure category is--
(A) $60,000,000 for fiscal year 2005;
(B) $180,000,000 for fiscal year 2006;
(C) $360,000,000 for fiscal year 2007;
(D) $480,000,000 for fiscal year 2008;
(E) $900,000,000 for fiscal year 2009; and
(F) $1,140,000,000 for fiscal year 2010.
(c) Applicable Percent.--From funds appropriated to carry
out the grant programs authorized by sections 651 and 652,
the Secretary of Transportation shall reserve--
(1) 50 percent for the intercity passenger rail development
grant program under section 651; and
(2) 50 percent for the freight infrastructure development
grant program under section 652.
______
SA 2528. Mr. HOLLINGS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which
[[Page S1171]]
was ordered to lie on the table; as follows:
Beginning with line 18 on page 1006, strike through lines
20 on page 1009 and insert the following:
Subtitle F--Rail Transportation
Part 1--Railroad Track Modernization
SEC. 4601. SHORT TITLE.
This part may be cited as the ``Railroad Track
Modernization Act of 2004''.
SEC. 4602. CAPITAL GRANTS FOR RAILROAD TRACK.
(a) Authority.--Chapter 223 of title 49, United States
Code, is amended to read as follows:
``CHAPTER 223--CAPITAL GRANTS FOR RAILROAD TRACK
``Sec.
``22301. Capital grants for railroad track.
``Sec. 22301. Capital grants for railroad track
``(a) Establishment of Program.--
``(1) Establishment.--The Secretary of Transportation shall
establish a program of capital grants for the rehabilitation,
preservation, or improvement of railroads. Such grants shall
be for rail transportation and ensuring that track can be
operated safely and efficiently, including grants for
rehabilitating, preserving, or improving track. Grants may be
provided under this chapter to a State or a group of States
for, or in connection with, 1 or more rail capital projects
that--
``(A) in accordance with section 634(a)(5) of this title,
are listed in a State rail plan approved for such State under
chapter 225 of this title; and
``(B) as determined by the Secretary, would primarily
benefit intercity passenger rail infrastructure or services
or freight rail transportation infrastructure or services and
provide significant public benefits.
``(2) Regulations.--
``(A) In General.--The Secretary shall prescribe
regulations to carry out the program under this section.
``(B) Criteria.--In developing the regulations, the
Secretary shall establish criteria that--
``(i) condition the award of a grant on reasonable
assurances that the facilities to be rehabilitated and
improved will be economically and efficiently utilized;
``(ii) ensure that the award of a grant is justified by
present and probable future demand for rail services; and
``(iii) ensure that projects are part of a State rail plan.
``(C) Grant allocations.--Of the total amount made
available for the program, 50 percent shall be awarded on a
discretionary basis for passenger rail projects, and the
remaining 50 percent shall be apportioned to States to fund
freight rail projects in accordance with a formula prescribed
by the Secretary to weigh equally for each State--
``(i) the number of rail miles in active use in the State;
``(ii) the number of rail cars loaded in the State;
``(iii) the number of rail cars unloaded in the State; and
``(iv) the number of railroad and public road grade
crossings in the State.
``(b) Federal Share.--The Federal share for carrying out a
project under this section shall be 80 percent of the project
cost. The non-Federal share may be provided by any non-
Federal source in cash, equipment, or supplies. Other in-kind
contributions may be approved by the Secretary on a case by
case basis consistent with this chapter.
``(c) Authorization of Appropriations.--Notwithstanding
section 4635, there are authorized to be appropriated to the
Secretary of Transportation $2,000,000,000 for each of the
fiscal years 2005, 2006, 2007, 2008, 2009, 2010 to carry out
this section.
``Sec. 22302. State rail plans
``(a) In General.--Each State may prepare and maintain a
State rail plan in accordance with the provisions of this
chapter.
``(b) Requirements.--For the preparation and periodic
revision of a State rail plan, a State shall--
``(1) establish or designate a State rail transportation
authority to prepare, maintain, coordinate, and administer
the plan;
``(2) establish or designate a State rail plan approval
authority to approve the plan;
``(3) submit the State's approved plan to the Secretary of
Transportation for review; and
``(4) revise and resubmit a State-approved plan no less
frequently than once every 5 years for reapproval by the
Secretary.
``Sec. 22303. Purposes
``(a) Purposes.--The purposes of a State rail plan are as
follows:
``(1) To set forth State policy involving freight and
passenger rail transportation, including commuter rail
operations, in the State.
``(2) To establish the period covered by the State rail
plan.
``(3) To present priorities and strategies to enhance rail
service in the State that benefits the public.
``(4) To serve as the basis for Federal and State rail
investments within the State.
``(b) Coordination.--A State rail plan shall be coordinated
with other State transportation planning goals and programs
and set forth rail transportation's role within the State
transportation system. A State shall provide adequate and
reasonable notice and opportunity for comment and other input
to the public, rail carriers, commuter and transit
authorities operating in, or affected by rail operations
within the State, units of local government, and other
interested parties in the preparation and review of its State
rail plan.
``Sec. 22304. Content
``(a) In General.--Each State rail plan shall contain the
following:
``(1) An inventory of the existing overall rail
transportation system and rail services and facilities within
the State and an analysis of the role of rail transportation
within the State's surface transportation system.
``(2) A comprehensive review of all rail lines within the
State, including proposed high speed rail corridors and
significant rail line segments not currently in service.
``(3) A general analysis of rail's transportation,
economic, and environmental impacts in the State, including
congestion mitigation, trade and economic development, air
quality, land-use, energy-use, and community impacts.
``(4) A long-range rail investment program for current and
future freight and passenger infrastructure in the State that
meets the requirements of subsection (b).
``(5) A statement of public financing issues for rail
projects in the State.
``(6) An identification of rail infrastructure issues
within the State that reflects consultation with all relevant
stake holders.
``(7) A review of major passenger and freight intermodal
rail connections and facilities within the State, including
seaports.
``(8) A statement that the State is in compliance with the
requirements of section 22102.
``(b) Long-Range Service and Investment Program.--
``(1) Program content.--A long-range rail investment
program included in a State rail plan under subsection (a)(5)
shall include the following matters:
``(A) Two lists for rail capital projects, 1 for freight
rail capital projects and 1 for intercity passenger rail
capital projects.
``(B) A detailed funding plan for the projects.
``(2) Project list content.--The list of freight and
intercity passenger rail capital projects shall contain--
``(A) a description of the anticipated public and private
benefits of each such project; and
``(B) a statement of the correlation between--
``(i) public funding contributions for the projects; and
``(ii) the public benefits.
``(3) Considerations for project list.--In preparing the
list of freight and intercity passenger rail capital
projects, a State rail transportation authority shall take
into consideration the following matters:
``(A) Contributions made by non-Federal and non-State
sources through user fees, matching funds, or other private
capital involvement.
``(B) Rail capacity and congestion effects.
``(C) Effects to highway, aviation, and maritime capacity,
congestion, or safety.
``(D) Regional balance.
``(E) Environmental impact.
``(F) Economic and employment impacts.
``(G) Projected ridership and other service measures for
passenger rail projects.
``(c) Waiver.--The Secretary may waive any requirement of
subsection (a) upon application under circumstances that the
Secretary determines appropriate.
``Sec. 22306. Approval
``(a) Criteria.--The Secretary may approve a State rail
plan for the purposes of this chapter if--
``(1) the plan meets all of the requirements applicable to
State plans under this chapter;
``(2) for each ready-to-commence project listed on the
ranked list of freight and intercity passenger rail capital
projects under the plan
``(A) the project meets all safety and environmental
requirements including those prescribed under the National
Environmental Policy Act of 1969 (42 U.S.C. 4331 et seq.)
that are applicable to the project under law; and
``(B) the State has entered into an agreement with any
owner of rail infrastructure or right of way directly
affected by the project that provides for the State to
proceed with the project; and
``(3) the content of the plan is coordinated with State
transportation plans developed pursuant to the requirements
of section 135 of title 23.
``Sec. Definitions
``In this chapter:
``(1) Private benefit.--The term `private benefit'--
``(A) means a benefit accrued to a person or private
entity, other than the National Railroad Passenger
Corporation, that directly improves the economic and
competitive condition of that person or entity through
improved assets, cost reductions, service improvements, or
any other means as defined by the Secretary; and
``(B) shall be determined on a project-by-project basis,
based upon an agreement between the parties.
``(2) Public benefit.--The term `public benefit'--
``(A) means a benefit accrued to the public in the form of
enhanced mobility of people or goods, environmental
protection or enhancement, congestion mitigation, enhanced
trade and economic development, improved air quality or land
use, more efficient energy use, enhanced public safety or
security, reduction of public expenditures due to improved
transportation efficiency or infrastructure preservation, and
any other positive community effects as defined by the
Secretary; and
[[Page S1172]]
``(B) shall be determined on a project-by-project basis,
based upon an agreement between the parties.''.
SEC. 4603. STANDARDS AND CONDITIONS.
(a) Operators Deemed Rail Carriers and Employers for
Certain Purposes.--A person that conducts rail operations
over rail infrastructure constructed or improved with funding
provided in whole or in part in a grant made under this
title--
(1) shall be considered an employer for purposes of the
Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.); and
(2) shall be considered a carrier for purposes of the
Railway Labor Act (43 U.S.C. 151 et seq.).
______
SA 2529. Mr. HOLLINGS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
Beginning with line 18 on page 1006, strike through lines
20 on page 1009 and insert the following:
SUBTITLE F--RAIL TRANSPORTATION
Part 1--Railroad Track Modernization
SEC. 4601. SHORT TITLE.
This part may be cited as the ``Railroad Track
Modernization Act of 2004''.
SEC. 4602. CAPITAL GRANTS FOR RAILROAD TRACK.
(a) Authority.--Chapter 223 of title 49, United States
Code, is amended to read as follows:
``CHAPTER 223--CAPITAL GRANTS FOR RAILROAD TRACK
``Sec.
``22301. Capital grants for railroad track.
``Sec. 22301. Capital grants for railroad track
``(a) Establishment of Program.--
``(1) Establishment.--The Secretary of Transportation shall
establish a program of capital grants for the rehabilitation,
preservation, or improvement of railroads. Such grants shall
be for rail transportation and ensuring that track can be
operated safely and efficiently, including grants for
rehabilitating, preserving, or improving track. Grants may be
provided under this chapter to a State or a group of States
for, or in connection with, 1 or more rail capital projects
that--
``(A) in accordance with section 634(a)(5) of this title,
are listed in a State rail plan approved for such State under
chapter 225 of this title; and
``(B) as determined by the Secretary, would primarily
benefit intercity passenger rail infrastructure or services
or freight rail transportation infrastructure or services and
provide significant public benefits.
``(2) Regulations.--
``(A) In general.--The Secretary shall prescribe
regulations to carry out the program under this section.
``(B) Criteria.--In developing the regulations, the
Secretary shall establish criteria that--
``(i) condition the award of a grant on reasonable
assurances that the facilities to be rehabilitated and
improved will be economically and efficiently utilized;
``(ii) ensure that the award of a grant is justified by
present and probable future demand for rail services; and
``(iii) ensure that projects are part of a State rail plan.
``(C) Grant allocations.--Of the total amount made
available for the program, 50 percent shall be awarded on a
discretionary basis for passenger rail projects, and the
remaining 50 percent shall be apportioned to States to fund
freight rail projects in accordance with a formula prescribed
by the Secretary to weigh equally for each State--
``(i) the number of rail miles in active use in the State;
``(ii) the number of rail cars loaded in the State;
``(iii) the number of rail cars unloaded in the State; and
``(iv) the number of railroad and public road grade
crossings in the State.
``(b) Federal Share.--The Federal share for carrying out a
project under this section shall be 80 percent of the project
cost. The non-Federal share may be provided by any non-
Federal source in cash, equipment, or supplies. Other in-kind
contributions may be approved by the Secretary on a case by
case basis consistent with this chapter.
``(c) Authorization of Appropriations.--Notwithstanding
section 4635, there are authorized to be appropriated to the
Secretary of Transportation $2,000,000,000 for each of the
fiscal years 2005, 2006, 2007, 2008, 2009, 2010 to carry out
this section.
``Sec. 22302. State rail plans
``(a) In General.--Each State may prepare and maintain a
State rail plan in accordance with the provisions of this
chapter.
``(b) Requirements.--For the preparation and periodic
revision of a State rail plan, a State shall--
``(1) establish or designate a State rail transportation
authority to prepare, maintain, coordinate, and administer
the plan;
``(2) establish or designate a State rail plan approval
authority to approve the plan;
``(3) submit the State's approved plan to the Secretary of
Transportation for review; and
``(4) revise and resubmit a State-approved plan no less
frequently than once every 5 years for reapproval by the
Secretary.
``Sec. 22303. Purposes
``(a) Purposes.--The purposes of a State rail plan are as
follows:
``(1) To set forth State policy involving freight and
passenger rail transportation, including commuter rail
operations, in the State.
``(2) To establish the period covered by the State rail
plan.
``(3) To present priorities and strategies to enhance rail
service in the State that benefits the public.
``(4) To serve as the basis for Federal and State rail
investments within the State.
``(b) Coordination.--A State rail plan shall be coordinated
with other State transportation planning goals and programs
and set forth rail transportation's role within the State
transportation system. A State shall provide adequate and
reasonable notice and opportunity for comment and other input
to the public, rail carriers, commuter and transit
authorities operating in, or affected by rail operations
within the State, units of local government, and other
interested parties in the preparation and review of its State
rail plan.
``Sec. 22304. Content
``(a) In General.--Each State rail plan shall contain the
following:
``(1) An inventory of the existing overall rail
transportation system and rail services and facilities within
the State and an analysis of the role of rail transportation
within the State's surface transportation system.
``(2) A comprehensive review of all rail lines within the
State, including proposed high speed rail corridors and
significant rail line segments not currently in service.
``(3) A general analysis of rail's transportation,
economic, and environmental impacts in the State, including
congestion mitigation, trade and economic development, air
quality, land-use, energy-use, and community impacts.
``(4) A long-range rail investment program for current and
future freight and passenger infrastructure in the State that
meets the requirements of subsection (b).
``(5) A statement of public financing issues for rail
projects in the State.
``(6) An identification of rail infrastructure issues
within the State that reflects consultation with all relevant
stake holders.
``(7) A review of major passenger and freight intermodal
rail connections and facilities within the State, including
seaports.
``(8) A statement that the State is in compliance with the
requirements of section 22102.
``(b) Long-Range Service and Investment Program.--
``(1) Program content.--A long-range rail investment
program included in a State rail plan under subsection (a)(5)
shall include the following matters:
``(A) Two lists for rail capital projects, 1 for freight
rail capital projects and 1 for intercity passenger rail
capital projects.
``(B) A detailed funding plan for the projects.
``(2) Project list content.--The list of freight and
intercity passenger rail capital projects shall contain--
``(A) a description of the anticipated public and private
benefits of each such project; and
``(B) a statement of the correlation between--
``(1) public funding contributions for the projects; and
``(ii) the public benefits.
``(3) Considerations for project list.--In preparing the
list of freight and intercity passenger rail capital
projects, a State rail transportation authority shall take
into consideration the following matters:
``(A) Contributions made by non-Federal and non-State
sources through user fees, matching funds, or other private
capital involvement.
``(B) Rail capacity and congestion effects.
``(C) Effects to highway, aviation, and maritime capacity,
congestion, or safety.
``(D) Regional balance.
``(E) Environmental impact.
``(F) Economic and employment impacts.
``(G) Projected ridership and other service measures for
passenger rail projects.
``(c) Waiver.--The Secretary may waive any requirement of
subsection (a) upon application under circumstances that the
Secretary determines appropriate.
``Sec. 22306. Approval
``(a) Criteria.--The Secretary may approve a State rail
plan for the purposes of this chapter if--
``(1) the plan meets all of the requirements applicable to
State plans under this chapter;
``(2) for each ready-to-commence project listed on the
ranked list of freight and intercity passenger rail capital
projects under the plan--
``(A) the project meets all safety and environmental
requirements including those prescribed under the National
Environmental Policy Act of 1969 (42 U.S.C. 4331 et seq.)
that are applicable to the project under law; and
``(B) the State has entered into an agreement with any
owner of rail infrastructure or right of way directly
affected by the project that provides for the State to
proceed with the project; and
``(3) the content of the plan is coordinated with State
transportation plans developed pursuant to the requirements
of section 135 of title 23.
``Sec. Definitions
In this chapter:
[[Page S1173]]
``(1) Private benefit.--The term `private benefit'--
``(A) means a benefit accrued to a person or private
entity, other than the National Railroad Passenger
Corporation, that directly improves the economic and
competitive condition of that person or entity through
improved assets, cost reductions, service improvements, or
any other means as defined by the Secretary; and
``(B) shall be determined on a project-by-project basis,
based upon an agreement between the parties.
``(2) Public benefit.--The term `public benefit'--
``(A) means a benefit accrued to the public in the form of
enhanced mobility of people or goods, environmental
protection or enhancement, congestion mitigation, enhanced
trade and economic development, improved air quality or land
use, more efficient energy use, enhanced public safety or
security, reduction of public expenditures due to improved
transportation efficiency or infrastructure preservation, and
any other positive community effects as defined by the
Secretary; and
``(B) shall be determined on a project-by-project basis,
based upon an agreement between the parties.''.
SEC. 4603. STANDARDS AND CONDITIONS.
(a) Operators Deemed Rail Carriers and Employers for
Certain Purposes.--A person that conducts rail operations
over rail infrastructure constructed or improved with funding
provided in whole or in part in a grant made under this
title--
(1) shall be considered an employer for purposes of the
Railroad Retirement Act of 1974 (45 U.S.C. 231 et seq.); and
(2) shall be considered a carrier for purposes of the
Railway Labor Act (43 U.S.C. 151 et seq.).
SEC. 4604. GRANT PROGRAM FUNDING.
(a) In General.--Section 250(c)(4) of the Balanced Budget
and Emergency Deficit Control Act of 1985 (2 U.S.C.
900(c)(4)) is amended by adding at the end the following:
``(D) Rail Infrastructure Category.--The term `rail
infrastructure category' means discretionary appropriations
to the Secretary of Transportation for the provision of
grants to States for railroad infrastructure investment
activities subject to the obligation limitations on contract
authority provided under division B of the Safe, Accountable,
Flexible, and Efficient Transportation Equity Act of 2004 or
for which appropriations are provided in accordance with
authorizations contained in that division.''.
(b) Budget Authority; Outlays.--For purposes of section
251(c) of the Balanced Budget and Emergency Deficit Control
Act of 1985 (2 U.S.C. 901(b)):
(1) Budget authority.--The budget authority for the rail
infrastructure category shall be--
(A) $300,000,000 for fiscal year 2005;
(B) $600,000,000 for fiscal year 2006;
(C) $900,000,000 for fiscal year 2007;
(D) $1,200,000,000 for fiscal year 2008;
(E) $1,500,000,000 for fiscal year 2009; and
(F) $1,500,000,000 for fiscal year 2010.
(2) Outlays.--The level of outlays for the rail
infrastructure category is--
(A) $60,000,000 for fiscal year 2005;
(B) $180,000,000 for fiscal year 2006;
(C) $360,000,000 for fiscal year 2007;
(D) $480,000,000 for fiscal year 2008;
(E) $900,000,000 for fiscal year 2009; and
(F) $1,140,000,000 for fiscal year 2010.
(c) Applicable Percent.--From funds appropriated to carry
out the grant programs authorized by sections 651 and 652,
the Secretary of Transportation shall reserve--
(1) 50 percent for the intercity passenger rail development
grant program under section 651; and
(2) 50 percent for the freight infrastructure development
grant program under section 652.
SEC. 4605. EXTENSION OF CUSTOMS USER FEES.
Section 13031(j)(3) of the Consolidated Omnibus Budget
Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)) is amended
by striking ``March 31, 2004,'' and inserting ``March 31,
2014,''.
______
SA 2530. Mr. HOLLINGS submitted an amendment intended to be proposed
by him to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
Strike section 601 and add the following after section 662:
SUBTITLE D--AMTRAK AUTHORIZATIONS
SEC. 681. NATIONAL RAILROAD PASSENGER TRANSPORTATION SYSTEM
DEFINED.
(a) In General.--Section 24102 is amended--
(1) by striking paragraph (2);
(2) by redesignating paragraphs (3), (4), and (5) as
paragraphs (2), (3), and (4), respectively; and
(3) by inserting after paragraph (4) as so redesignated the
following:
``(5) `national rail passenger transportation system'
means--
``(A) the segment of the Northeast Corridor between Boston,
Massachusetts and Washington, D.C.;
``(B) rail corridors that have been designated by the
Secretary of Transportation as high-speed corridors, but only
after they have been improved to permit operation of high-
speed service;
``(C) long-distance routes of more than 750 miles between
endpoints operated by Amtrak as of the date of enactment of
the Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004; and
``(D) short-distance corridors or routes operated by
Amtrak.''.
(b) Amtrak Routes with State Funding.--
(1) In general.--Chapter 247 is amended by inserting after
section 24701 the following:
``Sec. 24702. Transportation requested by States,
authorities, and other persons
``(a) Contracts for Transportation.--Amtrak and a State, a
regional or local authority, or another person may enter into
a contract for Amtrak to operate an intercity rail service or
route not included in the national rail passenger
transportation system upon such terms as the parties thereto
may agree.
``(b) Discontinuance.--Upon termination of a contract
entered into under this section, or the cessation of
financial support under such a contract by either party,
Amtrak may discontinue such service or route, notwithstanding
any other provision of law.''.
(2) Conforming amendment.--The chapter analysis for chapter
247 is amended by inserting after the item relating to
section 24701 the following:
``24702. Transportation requested by States, authorities, and other
persons''.
(c) Amtrak To Continue To Provide Non-High-Speed
Services.--Nothing in this subtitle is intended to preclude
Amtrak from restoring, improving, or developing non-high-
speed intercity passenger rail service.
SEC. 682. REPAYMENT OF LOAN TO NATIONAL RAILROAD PASSENGER
CORPORATION.
(a) In General.--The Secretary of Transportation may not
collect any payments of principal or interest for the direct
loan made to the National Railroad Passenger Corporation
under section 502 of the Railroad Revitalization and
Regulatory Reform Act of 1976 (45 U.S.C. 822). There are
authorized to be appropriated to the Secretary for fiscal
year 2005 $100,000,000 for the purpose of repaying that
loan to the Secretary of the Treasury. The Secretary of
Transportation shall waive any conditions imposed under
the loan.
(b) Certain Conditions Waived.--Section 151 of the
Transportation, Treasury, and Independent Agencies
Appropriations Act, 2004, is repealed.
(c) Federal Railroad Administration.--
(1) In general.--Section 11123 is amended--
(A) by striking ``failure of existing commuter rail
passenger transportation operations caused by a cessation of
service by the National Railroad Passenger Corporation,'' in
subsection (a);
(B) by inserting ``or'' after the semicolon in subsection
(a)(3);
(C) by striking ``permits; or'' in subsection (a)(4) and
inserting ``permits.'';
(D) by striking paragraph (5) of subsection (a);
(E) by striking ``(A) Except as provided in subparagraph
(B), when'' in subsection (b)(3) and inserting ``When'';
(F) by striking subparagraph (B) of sub section (b)(3);
(G) by striking paragraph (4) of subsection (c); and
(H) by striking subsections (e) and (f).
(2) Section 24301(c) is amended by striking ``11123,''.
SEC. 683. RESTRUCTURING OF LONG-TERM DEBT AND CAPITAL LEASES.
(a) In General.--The Secretary of the Treasury shall work
with the Secretary of Transportation and Amtrak to
restructure Amtrak's indebtedness as of the date of enactment
of this Act.
(b) New Debt Prohibition.--Except as approved by the
Secretary of Transportation, Amtrak may not enter into any
obligation secured by assets of the Corporation after the
date of enactment of this Act. This section does not prohibit
unsecured lines of credit used by Amtrak or any subsidiary
for working capital purposes.
(c) Debt Redemption.--The Secretary of Transportation, in
consultation with the Secretary of the Treasury, shall enter
into negotiations with the holders of Amtrak debt, including
leases, that is outstanding on the date of enactment of this
Act for the purpose of redeeming or restructuring that debt.
The Secretary, in consultation with the Secretary of the
Treasury, shall secure agreements for repayment on such terms
as the Secretary deems favorable to the interests of the
Government. Payments for such redemption may be made after
October 1, 2005, in either a single payment or a series of
payments, but in no case shall the repayment period extend
beyond September 30, 2010.
(d) Criteria.--In redeeming or restructuring Amtrak's
indebtedness, the Secretaries and Amtrak--
(1) shall ensure that the restructuring imposes the least
practicable burden on taxpayers; and
(2) take into consideration repayment costs, the term of
any loan or loans, and market conditions.
(e) Authorization.--There are authorized to be appropriated
to the Secretary such sums as may be necessary for fiscal
years 2005 through 2010 to restructure or redeem Amtrak's
secured debt.
(f) Amtrak Principal and Interest Payments.--
(1) Principal on debt service.--Unless the Secretary of
Transportation and the Secretary of the Treasury restructure
in its entirety or redeem the debt, there are authorized to
be appropriated to the Secretary of
[[Page S1174]]
Transportation for the use of Amtrak for retirement of
principal on loans for capital equipment, or capital leases,
not more than the following amounts:
(A) For fiscal year 2005, $109,500,000.
(B) For fiscal year 2006, $114,700,000.
(C) For fiscal year 2007, $202,900,000.
(D) For fiscal year 2008, $164,300,000.
(E) For fiscal year 2009, $155,800,000.
(F) For fiscal year 2010, $203,500,000.
(2) Interest on debt.--Unless the Secretary of
Transportation and the Secretary of the Treasury restructure
or redeem the debt, there are authorized to be appropriated
to the Secretary of Transportation for the use of Amtrak for
the payment of interest on loans for capital equipment, or
capital leases, the following amounts:
(A) For fiscal year 2005, $151,300,000.
(B) For fiscal year 2006, $146,300,000.
(C) For fiscal year 2007, $137,500,000.
(D) For fiscal year 2008, $125,300,000.
(E) For fiscal year 2009, $117,100,000.
(F) For fiscal year 2010, $107,800,000.
(3) Reductions in authorization levels.--Whenever action
taken by the Secretary of the Treasury under subsection (c)
results in reductions in amounts of principle and interest
that Amtrak must service on existing debt, Amtrak shall
submit to the Senate Committee on Commerce, Science and
Transportation, the House of Representatives Committee on
Transportation and Infrastructure, the Senate Committee on
Appropriations, and House of Representatives Committee on
Appropriations revised requests for amounts authorized by
paragraphs (1) and (2) that reflect such reductions.
SEC. 684. GENERAL AMTRAK AUTHORIZATIONS.
(a) Repeal of Self-Sufficiency Requirements.--
(1) Title 49 amendments.--Chapter 241 is amended--
(A) by striking the last sentence of section 24101(d); and
(B) by striking the last sentence of section 24104(a).
(2) Amtrak reform and accountability act amendments.--Title
II of the Amtrak Reform and Accountability Act of 1997 (49
U.S.C. 24101 nt) is amended by striking sections 204 and 205.
(3) Common stock redemption date.--Section 415 of the
Amtrak Reform and Accountability Act of 1997 (49 U.S.C. 24304
nt) is amended by striking subsection (b).
(b) Lease Arrangements.--Amtrak may obtain services from
the Administrator of General Services, and the Administrator
may provide services to Amtrak, under section 201(b) and
211(b) of the Federal Property and Administrative Service Act
of 1949 (40 U.S.C. 481(b) and 491(b)) for each of fiscal
years 2005 through 2009.
(c) Financial Powers.--Section 415(d) of the Amtrak Reform
and Accountability Act of 1997 by adding at the end the
following:
``(3) This section does not affect the applicability of
section 3729 of title 31, United States Code, to claims made
against Amtrak.''.
(d) Amtrak Reports.--Section 24315 is amended--
(1) by striking ``February 15'' in subsection (a) and
inserting ``January 31st'';
(2) by striking subparagraph (B) of subsection (a)(1) and
inserting the following:
``(B) the route profitability survey data, excluding
interest and depreciation costs, or any other route cost
allocation or profitability analysis that Amtrak develops;'';
(3) by striking subparagraph (D) of subsection (a)(1) and
inserting the following:
``(D) the total revenue-to-total cost ratio;'';
(4) by striking subparagraphs (C), (F), and (G) of
subsection (a)(1), and redesignating subparagraphs (D), (E),
and (H) as subparagraphs (C), (D), and (E), respectively; and
(5) by striking ``February 15'' in subsection (b) and
inserting ``January 31st''.
SEC. 685. EXCESS RAILROAD RETIREMENT.
Beginning in fiscal year 2005, the Secretary of the
Treasury each year shall pay to the Railroad Retirement
Account an amount equal to the amount Amtrak must pay under
section 3221 of the Internal Revenue Code of 1986 in fiscal
years that is more than the amount needed for benefits for
individuals who retire from Amtrak and for their
beneficiaries. There are authorized to be appropriated such
sums as may be necessary in each fiscal year beginning after
fiscal year 2005 through 2010 for these payments.
SEC. 686. AUTHORIZATIONS FOR ENVIRONMENTAL COMPLIANCE AND
STATION IMPROVEMENTS.
(a) Environmental Compliance.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak in order to comply with environmental regulations
the following amounts:
(A) For fiscal year 2005, $18,800,000.
(B) For fiscal year 2006, $21,700,000.
(C) For fiscal year 2007, $22,300,000.
(D) For fiscal year 2008, $15,100,000.
(E) For fiscal year 2009, $15,900,000.
(F) For fiscal year 2010, $16,000,000.
(b) Capital Improvements to Stations.--
(1) In general.--There are authorized to be appropriated to
the Secretary of Transportation for the use of Amtrak for
capital improvements to stations, including an initial
assessment of the full set of accessibility needs across the
national rail passenger transportation system and improved
accessibility for the elderly and people with disabilities
and in Amtrak facilities and stations, the following amounts:
(A) For fiscal year 2005, $17,100,000.
(B) For fiscal year 2006, $19,800,000.
(C) For fiscal year 2007, $19,800,000.
(D) For fiscal year 2008, $19,000,000.
(E) For fiscal year 2009, $19,000,000.
(F) For fiscal year 2010, $19,000,000.
(2) Study of compliance requirements at existing intercity
rail stations.--Amtrak shall evaluate the improvements
necessary to make all existing stations it serves readily
accessible to and usable by individuals with disabilities, as
required by section 242(e)(2) of the Americans with
Disabilities Act of 1990 (42 U.S.C. 12162(e)(2)). The
evaluation shall include the estimated cost of the
improvements necessary, the identification of the responsible
person (as defined in section 241(5) of that Act (42 U.S.C.
12161(5))), and the earliest practicable date when such
improvements can be made. Amtrak shall submit the survey to
the Senate Committee on Commerce, Science, and
Transportation, the House of Representatives Committee on
Transportation and Infrastructure, and the National Council
on Disability by September 30, 2005, along with
recommendations for funding the necessary improvements.
SEC. 687. TUNNEL LIFE SAFETY.
(a) Life Safety Needs.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak for fiscal year 2005:
(1) $677,000,000 for the 6 New York tunnels built in 1910
to provide ventilation, electrical, and fire safety
technology upgrades, emergency communication and lighting
systems, and emergency access and egress for passengers.
(2) $57,000,000 for the Baltimore & Potomac tunnel built in
1872 to provide adequate drainage, ventilation,
communication, lighting, and passenger egress upgrades.
(3) $40,000,000 for the Washington, D.C., Union Station
tunnels built in 1904 under the Supreme Court and House and
Senate Office Buildings to improve ventilation,
communication, lighting, and passenger egress upgrades.
(b) Infrastructure Upgrades.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak $3,000,000 for fiscal year 2005 for the preliminary
design of options for a new tunnel on a different alignment
to augment the capacity of the existing Baltimore tunnels.
(c) Financial Contribution From Other Tunnel Users.--The
Secretary shall, taking into account the need for the timely
completion of all life safety portions of the tunnel projects
described in subsection (a)--
(1) consider the extent to which rail carriers other than
Amtrak use the tunnels;
(2) consider the feasibility of seeking a financial
contribution from those other rail carriers toward the costs
of the projects; and
(3) obtain financial contributions or commitments from such
other rail carriers if feasible.
(d) Availability of Funds.--Amounts appropriated pursuant
to this section shall remain available until expended.
SEC. 688. AUTHORIZATION FOR CAPITAL AND OPERATING EXPENSES.
(a) Operating Expenses.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak for operating costs the following amounts:
(1) For fiscal year 2005, $581,400,000.
(2) For fiscal year 2006, $566,700,000.
(3) For fiscal year 2007, $557,700,000.
(4) For fiscal year 2008, $528,500,000.
(5) For fiscal year 2009, $522,000,000.
(6) For fiscal year 2010, $522,000,000.
(b) Capital Backlog and Upgrades.--There are authorized to
be appropriated to the Secretary of Transportation for the
use of Amtrak for capital expenses, the following amounts:
(1) For fiscal year 2005, $741,500,000.
(2) For fiscal year 2006, $835,200,000.
(3) For fiscal year 2007, $760,800,000.
(4) For fiscal year 2008, $733,600,000.
(5) For fiscal year 2009, $774,300,000.
(6) For fiscal year 2010, $874,300,000.
(c) Replacement Equipment.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak for the purchase of replacement passenger rail
equipment the following amounts:
(1) For fiscal year 2006, $250,000,000.
(2) For fiscal year 2007, $250,000,000.
(3) For fiscal year 2008, $350,000,000.
(4) For fiscal year 2009, $350,000,000.
(5) For fiscal year 2010, $350,000,000.
SEC. 689. GRANTS NOT CONSIDERED TO REPLACE FEDERAL OPERATING
OR CAPITAL SUPPORT.
Grants or assistance provided directly to a State or group
of States by the Secretary under this title for rail
infrastructure investments shall not be considered to reduce
or replace the authorizations or the need for annual Federal
appropriations for the National Railroad Passenger
Corporation.
SEC. 690. ESTABLISHMENT OF GRANT PROCESS.
(a) Grant Requests.--Amtrak shall submit grant requests to
the Secretary of Transportation for funds authorized to be
appropriated to the Secretary for the use of Amtrak under
sections 686, 687, and 688.
(b) Procedures for Grant Requests.--The Secretary shall
establish substantive and procedural requirements, including
schedules, for grant requests under this section not later
than 30 days after the date of enactment of this Act and
shall transmit copies to the Senate Committee on Commerce,
Science, and Transportation and the House of Representatives
Committee on Transportation and Infrastructure.
(c) Review and Approval.--
[[Page S1175]]
(1) 30-day process.--The Secretary shall complete the
review of a grant request and approve or disapprove the
request within 30 days after the date on which Amtrak submits
the grant request.
(2) Incomplete or deficient requests.--If the Secretary
disapproves the request or determines that the request is
incomplete or deficient, the Secretary shall immediately
notify Amtrak of the reason for disapproval or the incomplete
items or deficiencies. Within 15 days after receiving
notification from the Secretary under the preceding sentence,
Amtrak shall submit a modified request for the Secretary's
review.
(3) Revised requests.--Within 15 days after receiving a
modified request from Amtrak, the Secretary shall either
approve the modified request, or, if the Secretary finds that
the request is still incomplete or deficient, the Secretary
shall identify in writing to the Senate Committee on
Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and
Infrastructure the remaining deficiencies and recommend a
process for resolving the outstanding portions of the
request.
SEC. 691. STATE-SUPPORTED ROUTES.
The Board of Directors of Amtrak, in consultation with the
Secretary of Transportation and the chief executive officer
of each State and the District of Columbia, shall develop a
formula for funding the operating costs of trains operating
on routes not in excess of 750 miles in length that--
(1) is equitable and fair; and
(2) ensures, within 5 years after the date of enactment of
this Act, equal treatment of all States (and the District of
Columbia) and groups of States (including the District of
Columbia).
SEC. 692. RE-ESTABLISHMENT OF NORTHEAST CORRIDOR SAFETY
COMMITTEE.
(a) Re-establishment of Northeast Corridor Safety
Committee.--The Secretary of Transportation shall re-
establish the Northeast Corridor Safety Committee authorized
by section 24905(b) of title 49, United States Code.
(b) Termination Date.--Section 24905(b)(4) is amended by
striking ``January 1, 1999,'' and inserting ``January 1,
2009,''.
SEC. 693. AMTRAK BOARD OF DIRECTORS.
Section 24302 is amended to read as follows:
``Sec. 24302. Board of directors
``(a) Composition and Terms.--
``(1) The board of directors of Amtrak is composed of the
following 9 directors, each of whom must be a citizen of the
United States:
``(A) The President of Amtrak.
``(B) The Secretary of Transportation.
``(C) 7 individuals appointed by the President of the
United States, by and with the advice and consent of the
Senate, with experience and qualifications in or directly
related to rail transportation, including representatives of
freight and passenger rail transportation, travel,
hospitality, cruise line, and passenger air transportation
businesses, consumers of passenger rail transportation, and
State government.
``(2) In selecting individuals described in paragraph (1)
for nominations for appointments to the Board, the President
shall consult with the Speaker of the House of
Representatives, the Minority Leader of the House of
Representatives, the Majority Leader of the Senate, and the
Minority Leader of the Senate and should ensure adequate and
balanced representation of the major geographic regions of
the United States.
``(3) Each member shall be appointed for a term of 5 years
and until the individual's successor is appointed and
qualified. Not more than 4 individuals appointed under
paragraph (1)(C) may be members of the same political party.
``(4) The board shall elect a chairman and a vice chairman
from among its membership. The vice chairman shall serve as
chairman in the absence of the chairman.
``(5) The Secretary may be represented at board meetings by
the Secretary's designee.
``(b) Pay and Expenses.--Each director not employed by the
United States Government is entitled to $300 a day when
performing board duties and powers. Each director is
entitled to reimbursement for necessary travel, reasonable
secretarial and professional staff support, and
subsistence expenses incurred in attending board meetings.
``(c) Vacancies.--A vacancy on the board is filled in the
same way as the original selection, except that an individual
appointed by the President of the United States under
subsection (a)(1)(C) of this section to fill a vacancy
occurring before the end of the term for which the
predecessor of that individual was appointed is appointed for
the remainder of that term. A vacancy required to be filled
by appointment under subsection (a)(1)(C) must be filled not
later than 120 days after the vacancy occurs.
``(d) Bylaws.--The board may adopt and amend bylaws
governing the operation of Amtrak. The bylaws shall be
consistent with this part and the articles of
incorporation.''.
SEC. 694. ESTABLISHMENT OF FINANCIAL ACCOUNTING SYSTEM FOR
AMTRAK OPERATIONS BY INDEPENDENT AUDITOR.
(a) In General.--The Inspector General of the Department of
Transportation shall employ an independent financial
consultant with experience in railroad accounting--
(1) to assess Amtrak's financial accounting and reporting
system and practices;
(2) to design and assist Amtrak in implementing a modern
financial accounting and reporting system, on the basis of
the assessment, that will produce accurate and timely
financial information in sufficient detail--
(A) to enable Amtrak to assign revenues and expenses
appropriately to each of its lines of business and to each
major activity within each line of business activity,
including train operations, equipment maintenance, ticketing,
and reservations;
(B) to aggregate expenses and revenues related to
infrastructure and distinguish them from expenses and
revenues related to rail operations; and
(C) to provide ticketing and reservation information on a
real-time basis.
(b) Verification of System; Report.--The Inspector General
of the Department of Transportation shall review the
accounting system designed and implemented under subsection
(a) to ensure that it accomplishes the purposes for which it
is intended. The Inspector General shall report his findings
and conclusions, together with any recommendations, to the
Senate Committee on Commerce, Science, and Transportation and
the House of Representatives Committee on Transportation and
Infrastructure.
(c) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Transportation
$2,500,000 for fiscal year 2005 to carry out subsection (a),
such sums to remain available until expended.
SEC. 695. DEVELOPMENT OF 5-YEAR FINANCIAL PLAN.
(a) Development of 5-Year Financial Plan.--The Amtrak board
of directors shall submit an annual budget for Amtrak, and a
5-year financial plan for the fiscal year to which that
budget relates and the subsequent 4 years, prepared in
accordance with this section, to the Secretary of
Transportation and the Inspector General of the Department of
Transportation no later than--
(1) the first day of each fiscal year beginning after the
date of enactment of this Act; or
(2) the date that is 60 days after the date of enactment of
an appropriation Act for the fiscal year, if later.
(b) Contents of 5-Year Financial Plan.--The 5-year
financial plan for Amtrak shall include, at a minimum--
(1) all projected revenues and expenditures for Amtrak,
including governmental funding sources,
(2) projected ridership levels for all Amtrak passenger
operations;
(3) revenue and expenditure forecasts for nonpassenger
operations;
(4) capital funding requirements and expenditures necessary
to maintain passenger service which will accommodate
predicted ridership levels and predicted sources of capital
funding;
(5) operational funding needs, if any, to maintain current
and projected levels of passenger service, including state-
supported routes and predicted funding sources;
(6) projected capital and operating requirements,
ridership, and revenue for any new passenger service
operations or service expansions;
(7) an assessment of the continuing financial stability of
Amtrak, as indicated by factors such as: the ability of the
federal government to adequately meet capital and operating
requirements, Amtrak's access to long-term and short-term
capital markets, Amtrak's ability to efficiently manage its
workforce, and Amtrak's ability to effectively provide
passenger train service.
(8) lump sum expenditures of $10,000,000 or more and
sources of funding.
(9) estimates of long-term and short-term debt and
associated principle and interest payments (both current and
anticipated);
(10) annual cash flow forecasts; and
(11) a statement describing methods of estimation and
significant assumptions.
(C) Standards to Promote Financial Stability.--In meeting
the requirements of subsection (b) with respect to a 5-year
financial plan, Amtrak shall--
(1) apply sound budgetary practices, including reducing
costs and other expenditures, improving productivity,
increasing revenues, or combinations of such practices; and
(2) use the categories specified in the financial
accounting and reporting system developed under section 652
when preparing its 5-year financial plan.
(d) Assessment by DOT Inspector General.--
(1) In general.--The Inspector General of the Department of
Transportation shall assess the 5-year financial plans
prepared by Amtrak under this section to determine whether
they meet the requirements of subsection (b), and may suggest
revisions to any components thereof that do not meet those
requirements.
(2) Assessment to be furnished to the congress.--The
Inspector General shall furnish to the House of
Representatives Committee on Appropriations, the Senate
Committee on Appropriations, the House of Representatives
Committee on Transportation and Infrastructure, and the
Senate Committee on Commerce, Science, and Transportation--
(A) an assessment of the annual budget within 90 days after
receiving it from Amtrak; and
(B) an assessment of the remaining 4 years of the 5-year
financial plan within 180 days after receiving it from
Amtrak.
SEC. 696. INDEPENDENT AUDITOR TO ESTABLISH METHODOLOGIES FOR
AMTRAK ROUTE AND SERVICE PLANNING DECISIONS.
(a) Review.--The Secretary of Transportation shall, in
consultation with the Federal Railroad Administration,
execute a contract to obtain the services of an independent
auditor or consultant to research
[[Page S1176]]
and define Amtrak's past and current methodologies for
determining intercity passenger rail routes and services.
(b) Recommendations.--The independent auditor or consultant
shall recommend objective methodologies for determining such
routes and services, including the establishment of new
routes, the elimination of existing routes, and the
contraction or expansion of services or frequencies over such
routes.
(c) Submittal to Congress.--The Secretary shall submit
recommendations received under subsection (b) to Amtrak, the
House of Representatives Committee on Transportation and
Infrastructure, and the Senate Committee on Commerce,
Science, and Transportation.
(d) Authorization of Appropriations.--There are authorized
to be made available to the Secretary of Transportation, out
of any amounts authorized by this title to be appropriated
for the benefit of Amtrak and not otherwise obligated or
expended, such sums as may be necessary to carry out this
section.
SEC. 697. METRICS AND STANDARDS.
The Administrator of the Federal Railroad Administration
shall, in consultation with Amtrak and host railroads,
develop new or improve existing metrics and minimum standards
for measuring the service quality of intercity train
operations, including on-time performance, on-board services,
stations, facilities, equipment, and other services.
SEC. 698. ON-TIME PERFORMANCE.
Section 24308 is amended by adding at the end the
following:
``(f) On-Time Performance and Other Standards.--If the on-
time performance of any intercity passenger train averages
less than 80 percent for any consecutive 6-month period, or
the service quality of intercity train operations for which
minimum standards are established under section 697 of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 Act fails to meet those standards, Amtrak
may petition the Surface Transportation Board to investigate
whether, and to what extent, delays or failure to achieve
minimum standards are due to causes that could reasonably be
addressed by a rail carrier over the tracks of which the
intercity passenger train operates, or by a regional
authority providing commuter service, if any. In carrying out
such an investigation, the Surface Transportation Board shall
obtain information from all parties involved and make
recommendations regarding reasonable measures to improve the
service, quality, and on-time performance of the train.''.
SEC. 699. RAIL COOPERATIVE RESEARCH PROGRAM.
(a) Requirement for Program.--
(1) Establishment and content.--Chapter 249 is amended by
adding at the end the following:
``Sec. 24910. Rail cooperative research program
``(a) In General.--The Secretary shall establish and carry
out a rail cooperative research program. The program shall--
``(1) address, among other matters, intercity rail
passenger services, including existing rail passenger
technologies and speeds, incrementally enhanced rail systems
and infrastructure, and new high-speed wheel-on-rail systems
and rail security;
``(2) consider research on the interconnectedness of
commuter rail, passenger rail, and other rail networks; and
``(3) give consideration to regional concerns regarding
rail passenger transportation, including meeting research
needs common to designated high speed corridors, long-
distance rail services, and regional intercity rail
corridors, projects, and entities.
``(b) Content.--The program to be carried out under this
section shall include research designed--
``(1) to identify the unique aspects and attributes of rail
passenger service;
``(2) to develop more accurate models for evaluating the
impact of rail passenger service, including the effects on
highway and airport and airway congestion, environmental
quality, and energy consumption;
``(3) to develop a better understanding of modal choice as
it affects rail passenger transportation, including
development of better models to predict utilization;
``(4) to recommend priorities for technology demonstration
and development;
``(5) to meet additional priorities as determined by the
advisory board established under subsection (c), including
any recommendations made by the National Research Council;
``(6) to explore improvements in management, financing, and
institutional structures;
``(7) to address rail capacity constraints that affect
passenger rail service through a wide variety of options,
ranging from operating improvements to dedicated new
infrastructure, taking into account the impact of such
options on operations;
``(8) to improve maintenance, operations, customer service,
or other aspects of intercity rail passenger service;
``(9) to recommend objective methodologies for determining
intercity passenger rail routes and services, including the
establishment of new routes, the elimination of existing
routes, and the contraction or expansion of services or
frequencies over such routes;
``(10) to review the impact of equipment and operational
safety standards on the further development of high speed
passenger rail operations connected to or integrated with
non-high speed freight or passenger rail operations; and
``(11) to recommend any legislative or regulatory changes
necessary to foster further development and implementation of
high speed passenger rail operations while ensuring the
safety of such operations that are connected to or integrated
with non-high speed freight or passenger rail operations.
``(c) Advisory Board.--
``(1) Establishment.--In consultation with the heads of
appropriate Federal departments and agencies, the Secretary
shall establish an advisory board to recommend research,
technology, and technology transfer activities related to
rail passenger and freight transportation.
``(2) Membership.--The advisory board shall include--
``(A) representatives of State transportation agencies;
``(B) transportation and environmental economists,
scientists, and engineers; and
``(C) representatives of Amtrak, the Alaska Railroad,
transit operating agencies, intercity rail passenger
agencies, railway labor organizations, and environmental
organizations.
``(d) National Academy of Sciences.--The Secretary may make
grants to, and enter into cooperative agreements with, the
National Academy of Sciences to carry out such activities
relating to the research, technology, and technology transfer
activities described in subsection (b) as the Secretary deems
appropriate.''.
(2) Clerical Amendment.--The chapter analysis for chapter
249 is amended by adding at the end the following:
``24910. Rail cooperative research program''.
(b) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Transportation
$5,000,000 for each of fiscal years 2005 through 2010 to
carry out the rail cooperative research program under section
24910 of title 49, United States Code.
Strike section 4601 and add the following after section
4662:
PART 4--AMTRAK AUTHORIZATIONS
SEC. 4681. NATIONAL RAILROAD PASSENGER TRANSPORTATION SYSTEM
DEFINED.
(a) In General.--Section 24102 is amended--
(1) by striking paragraph (2);
(2) by redesignating paragraphs (3), (4), and (5) as
paragraphs (2), (3), and (4), respectively; and
(3) by inserting after paragraph (4) as so redesignated the
following:
``(5) `national rail passenger transportation system'
means--
``(A) the segment of the Northeast Corridor between Boston,
Massachusetts and Washington, D.C.;
``(B) rail corridors that have been designated by the
Secretary of Transportation as high-speed corridors, but only
after they have been improved to permit operation of high-
speed service;
``(C) long-distance routes of more than 750 miles between
endpoints operated by Amtrak as of the date of enactment of
the Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004; and
``(D) short-distance corridors or routes operated by
Amtrak.''.
(b) Amtrak Routes With State Funding.--
(1) In general.--Chapter 247 is amended by 1 inserting
after section 24701 the following:
``24702. Transportation requested by States, authorities, and
other persons
``(a) Contracts for, Transportation.--Amtrak and a State, a
regional or local authority, or another person may enter into
a contract for Amtrak to operate an intercity rail service or
route not included in the national rail passenger
transportation system upon such terms as the parties thereto
may agree.
``(b) Discontinuance.--Upon termination of a contract
entered into under this section, or the cessation of
financial support under such a contract by either party,
Amtrak may discontinue such service or route, notwithstanding
any other provision of law.''.
(2) Conforming amendment.--The chapter analysis for chapter
247 is amended by inserting after the item relating to
section 24701 the following:
``24702. Transportation requested by States, authorities, and other
persons''.
(c) Amtrak To Continue To Provide Non-High-speed
Services.--Nothing in this subtitle is intended to preclude
Amtrak from restoring, improving, or developing non-high-
speed intercity passenger rail service.
SEC. 4682. REPAYMENT OF LOAN TO NATIONAL RAILROAD PASSENGER
CORPORATION.
(a) In General.--The Secretary of Transportation may not
collect any payments of principal or interest for the direct
loan made to the National Railroad Passenger Corporation
under section 502 of the Railroad Revitalization and
Regulatory Reform Act of 1976 (45 U.S.C. 822). There are
authorized to be appropriated to the Secretary for fiscal
year 2005 $100,000,000 for the purpose of repaying that loan
to the Secretary of the Treasury. The Secretary of
Transportation shall waive any conditions imposed under the
loan.
(b) Certain Conditions Waived.--Section 151 of the
Transportation, Treasury, and Independent Agencies
Appropriations Act, 2004, is repealed.
(c) Federal Railroad Administration.--
(1) In general--Section 11123 is amended--
(A) by striking ``failure of existing commuter rail
passenger transportation operations caused by a cessation of
service by the
[[Page S1177]]
National Railroad Passenger Corporation,'' in subsection (a);
(B) by inserting ``or'' after the semicolon in subsection
(a)(3);
(C) by striking ``permits; or'' in subsection (a)(4) and
inserting ``permits.'';
(D) by striking paragraph (5) of subsection (a);
(E) by striking ``(A) Except as provided in subparagraph
(B), when'' in subsection (b)(3) and inserting ``When'';
(F) by striking subparagraph (B) of subsection (b)(3);
(G) by striking paragraph (4) of subsection (c); and
(H) by striking subsections (e) and (f).
(2) Section 24301(c) is amended by striking ``11123,''.
SEC. 4683. RESTRUCTURING OF LONG-TERM DEBT AND CAPITAL
LEASES.
(a) In General.--The Secretary of the Treasury shall work
with the Secretary of Transportation and Amtrak to
restructure Amtrak's indebtedness as of the date of enactment
of this Act.
(b) New Debt Prohibition.--Except as approved by the
Secretary of Transportation, Amtrak may not enter into any
obligation secured by assets of the Corporation after the
date of enactment of this Act. This section does not prohibit
unsecured lines of credit used by Amtrak or any subsidiary
for working capital purposes.
(c) Debt Redemption.--The Secretary of Transportation, in
consultation with the Secretary of the Treasury, shall enter
into negotiations with the holders of Amtrak debt, including
leases, that is outstanding on the date of enactment of this
Act for the purpose of redeeming or restructuring that debt.
The Secretary, in consultation with the Secretary of the
Treasury, shall secure agreements for repayment on such terms
as the Secretary deems favorable to the interests of the
Government. Payments for such redemption may be made after
October 1, 2005, in either a single payment or a series of
payments, but in no case shall the repayment period extend
beyond September 30, 2010.
(d) Criteria.--In redeeming or restructuring Amtrak's
indebtedness, the Secretaries and Amtrak--
(1) shall ensure that the restructuring imposes the least
practicable burden on taxpayers; and
(2) take into consideration repayment costs, the term of
any loan or loans, and market conditions.
(e) Authorization.--There are authorized to be appropriated
to the Secretary such sums as may be necessary for fiscal
years 2005 through 2010 to restructure or redeem Amtrak's
secured debt.
(f) Amtrak Principal and Interest Payments.--
(1) Principal on debt service.--Unless the Secretary of
Transportation and the Secretary of the Treasury restructure
in its entirety or redeem the debt, there are authorized to
be appropriated to the Secretary of Transportation for the
use of Amtrak for retirement of principal on loans for
capital equipment, or capital leases, not more than the
following amounts:
(A) For fiscal year 2005, $109,500,000.
(B) For fiscal year 2006, $114,700,000.
(C) For fiscal year 2007, $202,900,000.
(D) For fiscal year 2008, $164,300,000.
(E) For fiscal year 2009, $155,800,000.
(F) For fiscal year 2010, $203,500,000.
(2) Interest on debt.--Unless the Secretary of
Transportation and the Secretary of the Treasury restructure
or redeem the debt, there are authorized to be appropriated
to the Secretary of Transportation for the use of Amtrak for
the payment of interest on loans for capital equipment, or
capital leases, the following amounts:
(A) For fiscal year 2005, $151,300,000.
(B) For fiscal year 2006, $146,300,000.
(C) For fiscal year 2007, $137,500,000.
(D) For fiscal year 2008, $125,300,000.
(E) For fiscal year 2009, $117,100,000.
(F) For fiscal year 2010, $107,800,000.
(3) Reductions in authorization on levels.--Whenever action
taken by the Secretary of the Treasury under subsection (c)
results in reductions in amounts of principle and interest
that Amtrak must service on existing debt, Amtrak shall
submit to the Senate Committee on Commerce, Science and
Transportation, the House of Representatives Committee on
Transportation and Infrastructure, the Senate Committee on
Appropriations, and House of Representatives Committee on
Appropriations revised requests for amounts authorized by
paragraphs (1) and (2) that reflect the such reductions.
SEC. 4684. GENERAL AMTRAK AUTHORIZATIONS.
(a) Repeal of Self-Sufficiency Requirements.
(1) Title 49 amendments.--Chapter 241 is amended--
(A) by striking the last sentence of section 24101(d); and
(B) by striking the last sentence of section 24104(a).
(2) Amtrak reform and accountability act amendments.--Title
II of the Amtrak Reform and Accountability Act of 1997 (49
U.S.C. 24101 nt) is amended by striking sections 204 and 205.
(3) Common stock redemption date.--Section 415 of the
Amtrak Reform and Accountability Act of 1997 (49 U.S.C. 24304
nt) is amended by striking subsection (b).
(b) Lease Arrangements.--Amtrak may obtain services from
the Administrator of General Services, and the Administrator
may provide services to Amtrak, under section 201(b) and
211(b) of the Federal Property and Administrative Service Act
of 1949 (40 U.S.C. 481(b) and 491(b)) for each of fiscal
years 2005 through 2009.
(c) Financial Powers.--Section 415(d) of the Amtrak Reform
and Accountability Act of 1997 by adding at the end the
following:
``(3) This section does not affect the applicability of
section 3729 of title 31, United States Code, to claims made
against Amtrak.''.
(d) Amtrak Reports.--Section 24315 is amended--
(1) by striking ``February 15'' in subsection (a) and
inserting ``January 31st'';
(2) by striking subparagraph (B) of subsection (a)(1) and
inserting the following:
``(B) the route profitability survey data, excluding
interest and depreciation costs, or any other route cost
allocation or profitability analysis that Amtrak develops;'';
(3) by striking subparagraph (D) of subsection (a)(1) and
inserting the following:
``(D) the total revenue-to-total cost ratio;'';
(4) by striking subparagraphs (C), (F), and (G) of
subsection (a)(1), and redesignating subparagraphs (D), (E),
and (H) as subparagraphs (C), (D), and (E), respectively; and
(5) by striking ``February 15'' in subsection (b) and
inserting ``January 31st''.
SEC. 4685. EXCESS RAILROAD RETIREMENT.
Beginning in fiscal year 2005, the Secretary of the
Treasury each year shall pay to the Railroad Retirement
Account an amount equal to the amount Amtrak must pay under
section 3221 of the Internal Revenue Code of 1986 in fiscal
years that is more than the amount needed for benefits for
individuals who retire from Amtrak and for their
beneficiaries. There are authorized to be appropriated such
sums as may be necessary in each fiscal year beginning after
fiscal year 2005 through 2010 for these payments.
SEC. 4686. AUTHORIZATIONS FOR ENVIRONMENTAL COMPLIANCE AND
STATION IMPROVEMENTS.
(a) Environmental Compliance.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak in order to comply with environmental regulations
the following amounts:
(A) For fiscal year 2005, $18,800,000.
(B) For fiscal year 2006, $21,700,000.
(C) For fiscal year 2007, $22,300,000.
(D) For fiscal year 2008, $15,100,000.
(E) For fiscal year 2009, $15,900,000.
(F) For fiscal year 2010, $16,000,000.
(b) Capital Improvements to Stations.--
(1) In general.--There are authorized to be appropriated to
the Secretary of Transportation for the use of Amtrak for
capital improvements to stations, including an initial
assessment of the full set of accessibility needs across the
national rail passenger transportation system and improved
accessibility for the elderly and people with disabilities
and in Amtrak facilities and stations, the following amounts:
(A) For fiscal year 2005, $17,100,000.
(B) For fiscal year 2006, $19,800,000.
(C) For fiscal year 2007, $19,800,000.
(D) For fiscal year 2008, $19,000,000.
(E) For fiscal year 2009, $19,000,000.
(F) For fiscal year 2010, $19,000,000.
(2) Study of compliance requirements at existing intercity
rail stations.--Amtrak shall evaluate the improvements
necessary to make all existing stations it serves readily
accessible to and usable by individuals with disabilities, as
required by section 242(e)(2) of the Americans with
Disabilities Act of 1990 (42 U.S.C. 12162(e)(2)). The
evaluation shall include the estimated cost of the
improvements necessary, the identification of the responsible
person (as defined in section 241(5) of that Act (42 U.S.C.
12161(5))), and the earliest practicable date when such
improvements can be made. Amtrak shall submit the survey to
the Senate Committee on Commerce, Science, and
Transportation, the House of Representatives Committee on
Transportation and Infrastructure, and the National Council
on Disability by September 30, 2005, along with
recommendations for funding the necessary improvements.
SEC. 4687. TUNNEL LIFE SAFETY.
(a) Life Safety Needs.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak for fiscal year 2005:
(1) $677,000,000 for the 6 New York tunnels built in 1910
to provide ventilation, electrical, and fire safety
technology upgrades, emergency communication and lighting
systems, and emergency access and egress for passengers.
(2) $57,000,000 for the Baltimore & Potomac tunnel built in
1872 to provide adequate drainage, ventilation,
communication, lighting, and passenger egress upgrades.
(3) $40,000,000 for the Washington, D.C., Union Station
tunnels built in 1904 under the Supreme Court and House and
Senate Office Buildings to improve ventilation,
communication, lighting, and passenger egress upgrades.
(b) Infrastructure Upgrades.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak $3,000,000 for fiscal year 2005 for the preliminary
design of options for a new tunnel on a different alignment
to augment the capacity of the existing Baltimore tunnels.
(d) Financial Contribution From Other Tunnel Users.--The
Secretary shall, taking into account the need for the timely
completion of all life safety portions of the tunnel projects
described in subsection (a)--
(1) consider the extent to which rail carriers other than
Amtrak use the tunnels;
(2) consider the feasibility of seeking a financial
contribution from those other rail carriers toward the costs
of the projects; and
(3) obtain financial contributions or commitments from such
other rail carriers if feasible.
[[Page S1178]]
(e) Availability of Funds.--Amounts appropriated pursuant
to this section shall remain available until expended.
SEC. 4688. AUTHORIZATION FOR CAPITAL AND OPERATING EXPENSES.
(a) Operating Expenses.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak for operating costs the following amounts:
(1) For fiscal year 2005, $581,400,000.
(2) For fiscal year 2006, $566,700,000.
(3) For fiscal year 2007, $557,700,000.
(4) For fiscal year 2008; $528,500,000.
(5) For fiscal year 2009, $522,000,000.
(6) For fiscal year 2010, $522,000,000.
(b) Capital Backlog and Upgrades.--There are authorized to
be appropriated to the Secretary of Transportation for the
use of Amtrak for capital expenses, the following amounts:
(1) For fiscal year 2005, $741,500,000.
(2) For fiscal year 2006, $835,200,000.
(3) For fiscal year 2007, $760,800,000.
(4) For fiscal year 2008, $733,600,000.
(5) For fiscal year 2009, $774,300,000.
(6) For fiscal year 2010, $874,300,000.
(c) Replacement Equipment.--There are authorized to be
appropriated to the Secretary of Transportation for the use
of Amtrak for the purchase of replacement passenger rail
equipment the following amounts:
(1) For fiscal year 2006, $250,000,000.
(2) For fiscal year 2007, $250,000,000.
(3) For fiscal year 2008, $350,000,000.
(4) For fiscal year 2009, $350,000,000.
(5) For fiscal year 2010, $350,000,000.
SEC. 4689. GRANTS NOT CONSIDERED TO REPLACE FEDERAL OPERATING
OR CAPITAL SUPPORT.
Grants or assistance provided directly to a State or group
of States by the Secretary under this title for rail
infrastructure investments shall not be considered to reduce
or replace the authorizations or the need for annual Federal
appropriations for the National Railroad Passenger
Corporation.
SEC. 4690. ESTABLISHMENT OF GRANT PROCESS.
(a) Grant Requests.--Amtrak shall submit grant requests to
the Secretary of Transportation for funds authorized to be
appropriated to the Secretary for the use of Amtrak under
sections 686, 687, and 688.
(b) Procedures for Grant Requests.--The Secretary shall
establish substantive and procedural requirements, including
schedules, for grant requests under this section not later
than 30 days after the date of enactment of this Act and
shall transmit copies to the Senate Committee on Commerce,
Science, and Transportation and the House of Representatives
Committee on Transportation and Infrastructure.
(c) Review and Approval.--
(1) 30-Day process.--The Secretary shall complete the
review of a grant request and approve or disapprove the
request within 30 days after the date on which Amtrak submits
the grant request.
(2) Incomplete or deficient requests.--If the Secretary
disapproves the request or determines that the request is
incomplete or deficient, the Secretary shall immediately
notify Amtrak of the reason for disapproval or the incomplete
items or deficiencies. Within 15 days after receiving
notification from the Secretary under the preceding
sentence, Amtrak shall submit a modified request for the
Secretary's review.
(3) Revised requests.--Within 15 days after receiving a
modified request from Amtrak, the Secretary shall either
approve the modified request, or, if the Secretary finds that
the request is still incomplete or deficient, the Secretary
shall identify in writing to the Senate Committee on
Commerce, Science, and Transportation and the House of
Representatives Committee on Transportation and
Infrastructure the remaining deficiencies and recommend a
process for resolving the outstanding portions of the
request.
SEC. 4691. STATE-SUPPORTED ROUTES.
The Board of Directors of Amtrak, in consultation with the
Secretary of Transportation and the chief executive officer
of each State and the District of Columbia, shall develop a
formula for funding the operating costs of trains operating
on routes not in excess of 750 miles in length that--
(1) is equitable and fair; and
(2) ensures, within 5 years after the date of enactment of
this Act, equal treatment of all States (and the District of
Columbia) and groups of States (including the District of
Columbia).
SEC. 4692. RE-ESTABLISHMENT OF NORTHEAST CORRIDOR SAFETY
COMMITTEE.
(a) Re-establishment of Northeast Corridor Safety
Committee.--The Secretary of Transportation shall re-
establish the Northeast Corridor Safety Committee authorized
by section 24905(b) of title 49, United States Code.
(b) Termination Date.--Section 24905(b)(4) is amended by
striking ``January 1, 1999,'' and inserting ``January 1,
2009,''.
SEC. 4693. AMTRAK BOARD OF DIRECTORS.
Section 24302 is amended to read as follows:
``Sec. 24302. Board of directors
``(a) Composition and Terms.--
``(1) The board of directors of Amtrak is composed of the
following 9 directors, each of whom must be a citizen of the
United States:
``(A) The President of Amtrak.
``(B) The Secretary of Transportation.
``(C) 7 individuals appointed by the President of the
United States, by and with the advice and consent of the
Senate, with experience and qualifications in or directly
related to rail transportation, including representatives of
freight and passenger rail transportation, travel,
hospitality, cruise line, and passenger air transportation
businesses, consumers of passenger rail transportation, and
State government.
``(2) In selecting individuals described in paragraph (1)
for nominations for appointments to the Board, the President
shall consult with the Speaker of the House of
Representatives, the Minority Leader of the House of
Representatives, the Majority Leader of the Senate, and the
Minority Leader of the Senate and should ensure adequate and
balanced representation of the major geographic regions of
the United States.
``(3) Each member shall be appointed for a term of 5 years
and until the individual's successor is appointed and
qualified. Not more than 4 individuals appointed under
paragraph (1)(C) may be members of the same political party.
``(4) The board shall elect a chairman and a vice chairman
from among its membership. The vice chairman shall serve as
chairman in the absence of the chairman.
``(5) The Secretary may be represented at board meetings by
the Secretary's designee.
``(b) Pay and Expenses.--Each director not employed by the
United States Government is entitled to $300 a day when
performing board duties and powers. Each director is entitled
to reimbursement for necessary travel, reasonable secretarial
and professional staff support, and subsistence expenses
incurred in attending board meetings.
``(c) Vacancies.--A vacancy on the board is filled in the
same way as the original selection, except that an individual
appointed by the President of the United States under
subsection (a)(1)(C) of this section to fill a vacancy
occurring before the end of the term for which the
predecessor of that individual was appointed is appointed for
the remainder of that term. A vacancy required to be filled
by appointment under subsection (a)(1)(C) must be filled not
later than 120 days after the vacancy occurs.
``(d) Bylaws.--The board may adopt and amend bylaws
governing the operation of Amtrak. The bylaws shall be
consistent with this part and the articles of
incorporation.''.
SEC. 4694. ESTABLISHMENT OF FINANCIAL ACCOUNTING SYSTEM FOR
AMTRAK OPERATIONS BY INDEPENDENT AUDITOR.
(a) In General.--The Inspector General of the Department of
Transportation shall employ an independent financial
consultant with experience in railroad accounting--
(1) to assess Amtrak's financial accounting and reporting
system and practices;
(2) to design and assist Amtrak in implementing a modern
financial accounting and reporting system, on the basis of
the assessment, that will produce accurate and timely
financial information in sufficient detail--
(A) to enable Amtrak to assign revenues and expenses
appropriately to each of its lines of business and to each
major activity within each line of business activity,
including train operations, equipment maintenance, ticketing,
and reservations;
(B) to aggregate expenses and revenues related to
infrastructure and distinguish them from expenses and
revenues related to rail operations; and
(C) to provide ticketing and reservation information on a
real-time basis.
(b) Verification of System; Report.--The Inspector General
of the Department of Transportation shall review the
accounting system designed and implemented under subsection
(a) to ensure that it accomplishes the purposes for which it
is intended. The Inspector General shall report his findings
and conclusions, together with any recommendations, to the
Senate Committee on Commerce, Science, and Transportation and
the House of Representatives Committee on Transportation and
Infrastructure.
(c) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Transportation
$2,500,000 for fiscal year 2005 to carry out subsection (a),
such sums to remain available until expended.
SEC. 4695. DEVELOPMENT OF 5-YEAR FINANCIAL PLAN.
(a) Development of 5-year, Financial Plan.--The Amtrak
board of directors shall submit an annual budget for Amtrak,
and a 5-year financial plan for the fiscal year to which that
budget relates and the subsequent 4 years, prepared in
accordance with this section, to the Secretary of
Transportation and the Inspector General of the Department of
Transportation no later than--
(1) the first day of each fiscal year beginning after the
date of enactment of this Act; or
(2) the date that is 60 days after the date of enactment of
an appropriation Act for the fiscal year, if later.
(b) Contents of 5-year Financial Plan.--The 5-year
financial plan for Amtrak shall include, at a minimum--
(1) all projected revenues and expenditures for Amtrak,
including governmental funding sources;
(2) projected ridership levels for all Amtrak passenger
operations;
(3) revenue and expenditure forecasts for nonpassenger
operations;
(4) capital funding requirements and expenditures necessary
to maintain passenger service which will accommodate
predicted ridership levels and predicted sources of capital
funding;
(5) operational funding needs, if any, to maintain current
and projected levels of passenger service, including state-
supported routes and predicted funding sources;
[[Page S1179]]
(6) projected capital and operating requirements,
ridership, and revenue for any new passenger service
operations or service expansions;
(7) an assessment of the continuing financial stability of
Amtrak, as indicated by factors such as: the ability of the
federal government to adequately meet capital and operating
requirements, Amtrak's access to long-term and short-term
capital markets, Amtrak's ability to efficiently manage its
workforce, and Amtrak's ability to effectively provide
passenger train service;
(8) lump sum expenditures of $10,000,000 or more and
sources of funding;
(9) estimates of long-term and short-term debt and
associated principle and interest payments (both current and
anticipated);
(10) annual cash flow forecasts; and
(11) a statement describing methods of estimation and
significant assumptions.
(c) Standards To Promote Financial Stability.--In meeting
the requirements of subsection (b) with respect to a 5-year
financial plan, Amtrak shall--
(1) apply sound budgetary practices, including reducing
costs and other expenditures, improving productivity,
increasing revenues, or combinations of such practices; and
(2) use the categories specified in the financial
accounting and reporting system developed under section 4652
when preparing its 5-year financial plan.
(d) Assessment by DOT Inspector General.--
(1) In general.--The Inspector General of the Department of
Transportation shall assess the 5-year financial plans
prepared by Amtrak under this section to determine whether
they meet the requirements of subsection (b), and may suggest
revisions to any components thereof that do not meet those
requirements.
(2) Assessment to be furnished to the congress.--The
Inspector General shall furnish to the House of
Representatives Committee on Appropriations, the Senate
Committee on Appropriations, the House of Representatives
Committee on Transportation and Infrastructure, and the
Senate Committee on Commerce, Science, and Transportation--
(A) an assessment of the annual budget within 90 days after
receiving it from Amtrak; and
(B) an assessment of the remaining 4 years of the 5-year
financial plan within 180 days after receiving it from
Amtrak.
SEC. 4696. INDEPENDENT AUDITOR TO ESTABLISH METHODOLOGIES FOR
AMTRAK ROUTE AND SERVICE PLANNING DECISIONS.
(a) Review.--The Secretary of Transportation shall, in
consultation with the Federal Railroad Administration,
execute a contract to obtain the services of an independent
auditor or consultant to research and define Amtrak's past
and current methodologies for determining intercity passenger
rail routes and services.
(b) Recommendations.--The independent auditor or consultant
shall recommend objective methodologies for determining such
routes and services, including the establishment of new
routes, the elimination of existing routes, and the
contraction or expansion of services or frequencies over such
routes.
(c) Submittal to Congress.--The Secretary shall submit
recommendations received under subsection (b) to Amtrak, the
House of Representatives Committee on Transportation and
Infrastructure, and the Senate Committee on Commerce,
Science, and Transportation.
(d) Authorization of Appropriations.--There are authorized
to be made available to the Secretary of Transportation, out
of any amounts authorized by this title to be appropriated
for the benefit of Amtrak and not otherwise obligated or
expended, such sums as may be necessary to carry out this
section.
SEC. 4697. METRICS AND STANDARDS.
The Administrator of the Federal Railroad Administration
shall, in consultation with Amtrak and host railroads,
develop new or improve existing metrics and minimum standards
for measuring the service quality of intercity train
operations, including on-time performance, onboard services,
stations, facilities, equipment, and other services.
SEC. 4698. ON-TIME PERFORMANCE.
Section 24308 is amended by adding at the end the
following:
``(f) On-Time Performance and Other Standards.--If the on-
time performance of any intercity passenger train averages
less than 80 percent for any consecutive 6-month period, or
the service quality of intercity train operations for which
minimum standards are established under section 4697 of the
Safe, Accountable, Flexible, and Efficient Transportation
Equity Act of 2004 Act fails to meet those standards, Amtrak
may petition the Surface Transportation Board to investigate
whether, and to what extent, delays or failure to achieve
minimum standards are due to causes that could reasonably be
addressed by a rail carrier over the tracks of which the
intercity passenger train operates, or by a regional
authority providing commuter service, if any. In carrying out
such an investigation, the Surface Transportation Board shall
obtain information from all parties involved and make
recommendations regarding reasonable measures to improve the
service, quality, and on-time performance of the train.''.
SEC. 4699. RAIL COOPERATIVE RESEARCH PROGRAM.
(a) Requirement for Program.--
(1) Establishment and content.--Chapter 249 is amended by
adding at the end the following:
``24910. Rail cooperative research program
``(a) In General.--The Secretary shall establish and carry
out a rail cooperative research program. The program shall--
``(1) address, among other matters, intercity rail
passenger services, including existing rail passenger
technologies and speeds, incrementally enhanced rail systems
and infrastructure, and new high-speed wheel-on-rail systems
and rail security;
``(2) consider research on the interconnectedness of
commuter rail, passenger rail, and other rail networks; and
``(3) give consideration to regional concerns regarding
rail passenger transportation, including meeting research
needs common to designated high speed corridors, long-
distance rail services, and regional intercity rail
corridors, projects, and entities.
``(b) Content.--The program to be carried out finder this
section shall include research designed--
``(1) to identify the unique aspects and attributes of rail
passenger service;
``(2) to develop more accurate models for evaluating the
impact of rail passenger service, including the effects on
highway and airport and airway congestion, environmental
quality, and energy consumption;
``(3) to develop a better understanding of modal choice as
it affects rail passenger transportation, including
development of better models to predict utilization;
``(4) to recommend priorities for technology demonstration
and development;
``(5) to meet additional priorities as determined by the
advisory board established under subsection (c), including
any recommendations made by the National Research Council;
``(6) to explore improvements in management, financing, and
institutional structures;
``(7) to address rail capacity constraints that affect
passenger rail service through a wide variety of options,
ranging from operating improvements to dedicated new
infrastructure, taking into account the impact of such
options on operations;
``(8) to improve maintenance, operations, customer service,
or other aspects of intercity rail passenger service;
``(9) to recommend objective methodologies for determining
intercity passenger rail routes and services, including the
establishment of new routes, the elimination of existing
routes, and the contraction or expansion of services or
frequencies over such routes;
``(10) to review the impact of equipment and operational
safety standards on the further development of high speed
passenger rail operations connected to or integrated with
non-high speed freight or passenger rail operations; and
``(11) to recommend any legislative or regulatory changes
necessary to foster further development and implementation of
high speed passenger rail operations while ensuring the
safety of such operations that are connected to or integrated
with non-high speed freight or passenger rail operations.
``(c) Advisory Board.--
``(1) Establishment.--In consultation with the heads of
appropriate Federal departments and agencies, the Secretary
shall establish an advisory board to recommend research,
technology, and technology transfer activities related to
rail passenger and freight transportation.
``(2) Membership.--The advisory board shall include--
``(A) representatives of State transportation agencies;
``(B) transportation and environmental economists,
scientists, and engineers; and
``(C) representatives of Amtrak, the Alaska Railroad,
transit operating agencies, intercity rail passenger
agencies, railway labor organizations, and environmental
organizations.
``(d) National Academy of Sciences.--The Secretary may make
grants to, and enter into cooperative agreements with, the
National Academy of Sciences to carry out such activities
relating to the research, technology, and technology transfer
activities described in subsection (b) as the Secretary deems
appropriate.''.
(2) Clerical Amendment.--The chapter analysis for chapter
249 is amended by adding at the end the following:
``24910. Rail cooperative research program''.
(b) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of Transportation
$5,000,000 for each of fiscal years 2005 through 2010 to
carry out the rail cooperative research program under section
24910 of title 49, United States Code.
______
SA 2531. Mr. CRAPO (for himself, Mr. Thomas, and Mr. Enzi) submitted
an amendment intended to be proposed to amendment SA 2285 proposed by
Mr. Inhofe to the bill S. 1072, to authorize funds for Federal-aid
highways, highway safety programs, and transit programs, and for other
purposes; which was ordered to lie on the table; as follows:
On page 51, between lines 20 and 21, insert the following:
(d) Flexibility in Meeting Set Aside Requirements.--Section
104(b) of title 23,
[[Page S1180]]
United States Code (as amended by section 1401(b)(2)), is
amended by adding at the end the following:
``(6) Flexibility in meeting set aside requirements.--
``(A) In general.--Subject to subparagraph (B), any
provision of this title that establishes a requirement on or
after the date of enactment of this paragraph that a portion
of funds apportioned to a State under paragraph (1), (3), or
(4) be reserved or obligated for a particular purpose, on an
annual basis, shall be considered satisfied if the State sets
aside or obligates, as applicable, over the 6-year period of
fiscal years 2004 through 2009, the sum of the individual
annual requirements over the 6-year period.
``(B) Requirement.--The flexibility provided by
subparagraph (A) does not permit a State to have set aside or
obligated, as of the end of a fiscal year, with respect to a
requirement, an amount less than--
``(i) the sum of the individual annual requirements for
each of fiscal years 2004 through the fiscal year; less
``(ii) the sum obtained by adding the individual
requirement for fiscal year 2004 and an amount equal to 50
percent of the requirement for fiscal year 2005.''.
____
SA 2532. Mr. SHELBY submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows;
At the appropriate place, insert:
``SEC. . THE DELTA REGIONAL AUTHORITY.
(1) In General.--Subchapter I of chapter 1 of title 23,
United States Code (as amended by section 1814(a), is amended
by adding at the end the following:
``178. Delta Region transportation development program
``(a) In General.--The Secretary shall carry out a program
to--
``(1) support and encourage multistate transportation
planning and corridor development;
``(2) provide for transportation project development;
``(3) facilitate transportation decisionmaking; and
``(4) support transportation construction.
``(b) Eligible Recipients.--A State transportation
department or metropolitan planning organization may receive
and administer funds provided under the program.
``(c) Eligible Activities.--The Secretary shall make
allocations under the program for multistate highway and
transit planning, development, and construction projects.
``(d) Other Provisions Regarding Eligibility.--All
activities funded under this program shall be consistent with
the continuing, cooperative, and comprehensive planning
processes required by section 134 and 135.
``(e) Selection Criteria.--The Secretary shall select
projects to be carried out under the program based on--
``(1) whether the project is located--
``(A) in an area that is part of the Delta Regional
Authority; and
``(B) on the Federal-aid system;
``(2) endorsement of the project by the State department
of transportation; and
``(3) evidence of the ability to complete the project.
``(f) Program Priorities.--In administering the program,
the Secretary shall--
``(1) encourage State and local officials to work together
to develop plans for multimodal and multijurisdictional
transportation decisionmaking; and
``(2) give priority to projects that emphasize multimodal
planning, including planning for operational improvements
that--
``(A) increase the mobility of people and goods;
``(B) improve the safety of the transportation system with
respect to catastrophic--
``(i) natural disasters; or
``(ii) disasters caused by human activity; and
``(C) contribute to the economic vitality of the area in
which the project is being carried out.
``(g) Federal Share.--Amounts provided by the Delta
Regional Authority to carry out a project under this section
shall be applied to the non-Federal share required by section
120.
``(h) Availability of Funds.--Amounts made available to
carry out this section shall remain available until
expended.''.
(b) Conforming Amendment.--The analysis for chapter I of
title 23, United States Code (as amended by section 1841(b)),
is amended by adding at the end the following:
`'178. Delta Region transportation development program.''.''
On page 678, after line 5, insert:
(16) Delta Region Transportation Development Program.--For
planning and construction activities authorized under the
Delta Regional Authority, $400,000,000 for each of fiscal
years 2004 through 2009.
______
SA 2533. Mr. SHELBY submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Sec. . Section 201(b) of the Appalachian Regional
Development Act of 1965 is amended by striking ``and'' before
(4) and inserting after ``section'' the following:
``, and an estimate of the cost to construct highways and
access roads for the Appalachian development highway system
every 24 months.''
______
SA 2534. Mr. SHELBY submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
On page 930, line 6 insert the following:
``(3) Cost to complete study.--The Appalachian Regional
Commission shall prepare an estimate of the cost to construct
highways and access roads for the Appalachian development
highway system every 24 months.''
______
SA 2535. Ms. CANTWELL submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 255, strike line 18 and insert the following:
(c) Pay-As-You-Drive-And-You-Save (PAYDAYS) Grant
Program.--Section 129 of title 23, United States Code (as
amended by subsection (b)), is amended by adding at the end
the following:
``(f) Pay-As-You-Drive-And-You-Save (PAYDAYS) Grant
Program.--
``(1) Establishment.--The Secretary shall establish a Pay-
As-You-Drive-And-You-Save (PAYDAYS) grant program to fund
pilot and related activities that convert fixed driving costs
and general taxes that support transportation to vehicle use
charges.
``(2) Special requirements.--
``(A) In general.--Beginning not later than 60 days after
the date of enactment of this subsection and continuing each
October 1 (or first subsequent business day) of each of
fiscal years 2004 through 2009, a $10,000,000 grant in the
form of a single payment shall be made by the Secretary to 1
designated university or other institutional partner
(referred to in this subsection as the `designated partner').
``(B) Grant purpose.--A grant under subparagraph (A) shall
be available for soliciting and underwriting applications
from governmental, university, and other institutional
entities, and public-private partnerships to--
``(i) design, test, implement, and evaluate innovative
mileage and parking pricing strategies; and
``(ii) forge partnerships between private sector entities
and consumers to offer innovative mileage and variable
parking pricing products.
``(C) Subgrants, loans, and revenue and loss guarantees.--
In consultation with the Secretary, the designated partner
shall, using at least 92.5 percent of the funding made
available for the grant, provide subgrants, loans, and
revenue and loss guarantees to, and enter into contracts
with, the governmental, university, and other institutional
entities, and public-private partnerships to meet the
objectives of this section.
``(D) Limitation on use.--Not more than 7.5 percent of the
grant funds provided for the program shall be available to be
spent directly by the designated partner to--
``(i) solicit applications;
``(ii) oversee grant activities; and
``(iii) conduct research and outreach.
``(E) Federal share.--
``(i) In general.--The Federal share of the costs of
activities carried out with a grant to the designated partner
under this section shall be 100 percent.
``(ii) Matching funds.--The designated partner shall
require a subgrantee to provide matching funds.
``(F) Minimum funding guarantees.--Funds provided under
this section shall be excluded when calculating minimum
funding guarantees under section 105.
``(3) Reporting.--
``(A) In general.--The designated partner, in cooperation
with the Secretary and subgrant recipients, shall--
``(i) publish performance goals for the PAYDAYS grant
program and for each project; and
``(ii) monitor and, at least every 2 years after the
enactment of this subsection, 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 assesses the effects of
projects on the achievement of those goals.
``(B) Performance goals.--Performance goals shall include--
``(i) traffic volumes and congestion;
``(ii) air quality;
``(iii) safety;
``(iv) use of alternative transportation modes; and
``(v) equity.
``(4) Authorization of appropriations.--There is authorized
to be appropriated from the Highway Trust Fund (other than
the Mass Transit Account) to carry out this subsection
$10,000,000 in contract authority
[[Page S1181]]
funding for each of fiscal years 2004 through 2009, not
subject to obligation limitations.''.
(d) Conforming Amendments.--
______
SA 2536. Ms. CANTWELL submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 255, strike line 18 and insert the following:
(c) Pay-As-You-Drive-And-You-Save (PAYDAYS) Grant
Program.--Section 129 of title 23, United States Code (as
amended by subsection (b)), is amended by adding at the end
the following:
``(f) Pay-As-You-Drive-And-You-Save (PAYDAYS) Grant
Program.--
``(1) Establishment.--The Secretary shall establish a Pay-
As-You-Drive-And-You-Save (PAYDAYS) grant program to fund
pilot and related activities that convert fixed driving costs
and general taxes that support transportation to vehicle use
charges.
``(2) Special requirements.--
``(A) In general.--Beginning not later than 60 days after
the date of enactment of this subsection and continuing each
October 1 (or first subsequent business day) of each of
fiscal years 2004 through 2009, a $10,000,000 grant in the
form of a single payment shall be made by the Secretary to 1
designated university or other institutional partner
(referred to in this subsection as the `designated partner').
``(B) Grant purpose.--A grant under subparagraph (A) shall
be available for soliciting and underwriting applications
from governmental, university, and other institutional
entities, and public-private partnerships to--
``(i) design, test, implement, and evaluate innovative
mileage and parking pricing strategies; and
``(ii) forge partnerships between private sector entities
and consumers to offer innovative mileage and variable
parking pricing products.
``(C) Subgrants, loans, and revenue and loss guarantees.--
In consultation with the Secretary, the designated partner
shall, using at least 92.5 percent of the funding made
available for the grant, provide subgrants, loans, and
revenue and loss guarantees to, and enter into contracts
with, the governmental, university, and other institutional
entities, and public-private partnerships to meet the
objectives of this section.
``(D) Limitation on use.--Not more than 7.5 percent of the
grant funds provided for the program shall be available to be
spent directly by the designated partner to--
``(i) solicit applications;
``(ii) oversee grant activities; and
``(iii) conduct research and outreach.
``(E) Federal share.--
``(i) In general.--The Federal share of the costs of
activities carried out with a grant to the designated partner
under this section shall be 100 percent.
``(ii) Matching funds.--The designated partner shall
require a subgrantee to provide matching funds.
``(F) Minimum funding guarantees.--Funds provided under
this section shall be excluded when calculating minimum
funding guarantees under section 105.
``(3) Reporting.--
``(A) In general.--The designated partner, in cooperation
with the Secretary and subgrant recipients, shall--
``(i) publish performance goals for the PAYDAYS grant
program and for each project; and
``(ii) monitor and, at least every 2 years after the
enactment of this subsection, 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 assesses the effects of
projects on the achievement of those goals.
``(B) Performance goals.--Performance goals shall include--
``(i) traffic volumes and congestion;
``(ii) air quality;
``(iii) safety;
``(iv) use of alternative transportation modes; and
``(v) equity.
``(4) Authorization of appropriations.--There is authorized
to be appropriated from the Highway Trust Fund (other than
the Mass Transit Account) to carry out this subsection
$10,000,000 in contract authority funding for each of fiscal
years 2004 through 2009, not subject to obligation
limitations.''.
(d) Conforming Amendments.--
______
SA 2537. Ms. CANTWELL submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 255, strike line 18 and insert the following:
(c) Pay-As-You-Drive-And-You-Save (PAYDAYS) Grant
Program.--Section 129 of title 23, United States Code (as
amended by subsection (b)), is amended by adding at the end
the following:
``(f) Pay-As-You-Drive-And-You-Save (PAYDAYS) Grant
Program.--
``(1) Establishment.--The Secretary shall establish a Pay-
As-You-Drive-And-You-Save (PAYDAYS) grant program to fund
pilot and related activities that convert fixed driving costs
and general taxes that support transportation to vehicle use
charges.
``(2) Special requirements.--
``(A) In general.--Beginning not later than 60 days after
the date of enactment of this subsection and continuing each
October 1 (or first subsequent business day) of each of
fiscal years 2004 through 2009, a $10,000,000 grant in the
form of a single payment shall be made by the Secretary to 1
designated university or other institutional partner
(referred to in this subsection as the `designated partner').
``(B) Grant purpose.--A grant under subparagraph (A) shall
be available for soliciting and underwriting applications
from governmental, university, and other institutional
entities, and public-private partnerships to--
``(i) design, test, implement, and evaluate innovative
mileage and parking pricing strategies; and
``(ii) forge partnerships between private sector entities
and consumers to offer innovative mileage and variable
parking pricing products.
``(C) Subgrants, loans, and revenue and loss guarantees.--
In consultation with the Secretary, the designated partner
shall, using at least 92.5 percent of the funding made
available for the grant, provide subgrants, loans, and
revenue and loss guarantees to, and enter into contracts
with, the governmental, university, and other institutional
entities, and public-private partnerships to meet the
objectives of this section.
``(D) Limitation on use.--Not more than 7.5 percent of the
grant funds provided for the program shall be available to be
spent directly by the designated partner to--
``(i) solicit applications;
``(ii) oversee grant activities; and
``(iii) conduct research and outreach.
``(E) Federal share.--
``(i) In general.--The Federal share of the costs of
activities carried out with a grant to the designated partner
under this section shall be 100 percent.
``(ii) Matching funds.--The designated partner shall
require a subgrantee to provide matching funds.
``(F) Minimum funding guarantees.--Funds provided under
this section shall be excluded when calculating minimum
funding guarantees under section 105.
``(3) Reporting.--
``(A) In general.--The designated partner, in cooperation
with the Secretary and subgrant recipients, shall--
``(i) publish performance goals for the PAYDAYS grant
program and for each project; and
``(ii) monitor and, at least every 2 years after the
enactment of this subsection, 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 assesses the effects of
projects on the achievement of those goals.
``(B) Performance goals.--Performance goals shall include--
``(i) traffic volumes and congestion;
``(ii) air quality;
``(iii) safety;
``(iv) use of alternative transportation modes; and
``(v) equity.
``(4) Authorization of appropriations.--There is authorized
to be appropriated from the Highway Trust Fund (other than
the Mass Transit Account) to carry out this subsection
$10,000,000 in contract authority funding for each of fiscal
years 2004 through 2009, not subject to obligation
limitations.''.
(d) Conforming Amendments.--
______
SA 2538. Ms. CANTWELL submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 638, before line 16, insert the following:
(c) National Technical Assistance Center for Senior
Transportation.--Section 5314 is amended by adding at the end
the following:
``(c) National Technical Assistance Center for Senior
Transportation.--
``(1) Establishment.--The Secretary, in consultation with
the Federal Transit Administration, shall award a grant of
$2,500,000 to a national not-for-profit organization for the
establishment and maintenance of a national technical
assistance center.
``(2) Eligibility.--An organization shall be eligible to
receive the grant under paragraph (1) if the organization--
``(A) focuses significantly on serving the needs of the
elderly;
``(B) has demonstrated knowledge and expertise in senior
transportation policy and planning issues;
``(C) has affiliates in a majority of the States;
``(D) has the capacity to convene local groups to consult
on operation and development of senior transportation
programs; and
[[Page S1182]]
``(E) has established close working relationships with the
Federal Transit Administration and the Administration on
Aging.
``(3) Use of funds.--The national technical assistance
center established under this section shall--
``(A) gather best practices from throughout the country and
provide such practices to local communities that are
implementing senior transportation programs;
``(B) work with teams from local communities to identify
how they are successfully meeting the transportation needs of
senior and any gaps in services in order to create a plan for
an integrated senior transportation program;
``(C) provide resources on ways to pay for senior
transportation services;
``(D) create a web site to publicize and circulate
information on senior transportation programs;
``(E) establish a clearinghouse for print, video, and audio
resources on senior mobility; and
``(F) administer the demonstration grant program
established under paragraph (4).
``(4) Grants authorized.--
``(A) In general.--The national technical assistance center
established under this section, in consultation with the
Federal Transit Administration, shall award senior
transportation demonstration grants to--
``(i) local transportation organizations;
``(ii) State agencies;
``(iii) units of local government; and
``(iv) nonprofit organizations.
``(B) Use of funds.--Grant funds received pursuant to
subparagraph (A) may be used to create model programs to--
``(i) provide direct transportation services to senior
citizens; and
``(ii) demonstrate effective mechanisms for establishing
community-based plans for senior transportation.
``(5) Allocations.--From the funds made available for each
fiscal year under subsections (a)(5)(C)(iv) and (b)(2)(G)(iv)
of section 5338--
``(A) $2,500,000 shall be allocated to carry out the
provisions of paragraphs (1) through (3); and
``(B) $2,500,000 shall be allocated to carry out the
provisions of paragraph (4).''.
______
SA 2539. Ms. CANTWELL submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 638, before line 16, insert the following:
(c) National Technical Assistance Center for Senior
Transportation.--Section 5314 is amended by adding at the end
the following:
``(c) National Technical Assistance Center for Senior
Transportation.--
``(1) Establishment.--The Secretary, in consultation with
the Federal Transit Administration, shall award a grant of
$2,500,000 to a national not-for-profit organization for the
establishment and maintenance of a national technical
assistance center.
``(2) Eligibility.--An organization shall be eligible to
receive the grant under paragraph (1) if the organization--
``(A) focuses significantly on serving the needs of the
elderly;
``(B) has demonstrated knowledge and expertise in senior
transportation policy and planning issues;
``(C) has affiliates in a majority of the States;
``(D) has the capacity to convene local groups to consult
on operation and development of senior transportation
programs; and
``(E) has established close working relationships with the
Federal Transit Administration and the Administration on
Aging.
``(3) Use of funds.--The national technical assistance
center established under this section shall--
``(A) gather best practices from throughout the country and
provide such practices to local communities that are
implementing senior transportation programs;
``(B) work with teams from local communities to identify
how they are successfully meeting the transportation needs of
senior and any gaps in services in order to create a plan for
an integrated senior transportation program;
``(C) provide resources on ways to pay for senior
transportation services;
``(D) create a web site to publicize and circulate
information on senior transportation programs;
``(E) establish a clearinghouse for print, video, and audio
resources on senior mobility; and
``(F) administer the demonstration grant program
established under paragraph (4).
``(4) Grants authorized.--
``(A) In general.--The national technical assistance center
established under this section, in consultation with the
Federal Transit Administration, shall award senior
transportation demonstration grants to--
``(i) local transportation organizations;
``(ii) State agencies;
``(iii) units of local government; and
``(iv) nonprofit organizations.
``(B) Use of funds.--Grant funds received pursuant to
subparagraph (A) may be used to create model programs to--
``(i) provide direct transportation services to senior
citizens; and
``(ii) demonstrate effective mechanisms for establishing
community-based plans for senior transportation.
``(5) Allocations.--From the funds made available for each
fiscal year under subsections (a)(5)(C)(iv) and (b)(2)(G)(iv)
of section 5338--
``(A) $2,500,000 shall be allocated to carry out the
provisions of paragraphs (1) through (3); and
``(B) $2,500,000 shall be allocated to carry out the
provisions of paragraph (4).''.
______
SA 2540. Ms. CANTWELL submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 638, before line 16, insert the following:
(c) National Technical Assistance Center for Senior
Transportation.--Section 5314 is amended by adding at the end
the following:
``(c) National Technical Assistance Center for Senior
Transportation.--
``(1) Establishment.--The Secretary, in consultation with
the Federal Transit Administration, shall award a grant of
$2,500,000 to a national not-for-profit organization for the
establishment and maintenance of a national technical
assistance center.
``(2) Eligibility.--An organization shall be eligible to
receive the grant under paragraph (1) if the organization--
``(A) focuses significantly on serving the needs of the
elderly;
``(B) has demonstrated knowledge and expertise in senior
transportation policy and planning issues;
``(C) has affiliates in a majority of the States;
``(D) has the capacity to convene local groups to consult
on operation and development of senior transportation
programs; and
``(E) has established close working relationships with the
Federal Transit Administration and the Administration on
Aging.
``(3) Use of funds.--The national technical assistance
center established under this section shall--
``(A) gather best practices from throughout the country and
provide such practices to local communities that are
implementing senior transportation programs;
``(B) work with teams from local communities to identify
how they are successfully meeting the transportation needs of
senior and any gaps in services in order to create a plan for
an integrated senior transportation program;
``(C) provide resources on ways to pay for senior
transportation services;
``(D) create a web site to publicize and circulate
information on senior transportation programs;
``(E) establish a clearinghouse for print, video, and audio
resources on senior mobility; and
``(F) administer the demonstration grant program
established under paragraph (4).
``(4) Grants authorized.--
``(A) In general.--The national technical assistance center
established under this section, in consultation with the
Federal Transit Administration, shall award senior
transportation demonstration grants to--
``(i) local transportation organizations;
``(ii) State agencies;
``(iii) units of local government; and
``(iv) nonprofit organizations.
``(B) Use of funds.--Grant funds received pursuant to
subparagraph (A) may be used to create model programs to--
``(i) provide direct transportation services to senior
citizens; and
``(ii) demonstrate effective mechanisms for establishing
community-based plans for senior transportation.
``(5) Allocations.--From the funds made available for each
fiscal year under subsections (a)(5)(C)(iv) and (b)(2)(G)(iv)
of section 5338--
``(A) $2,500,000 shall be allocated to carry out the
provisions of paragraphs (1) through (3); and
``(B) $2,500,000 shall be allocated to carry out the
provisions of paragraph (4).''.
______
SA 2541. Mr. SMITH submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 619, strike line 1 and all that follows through
page 621, line 8, and insert the following:
``(1) Authorization.--The Secretary may award grants to a
State for public transportation capital projects, and
operating costs associated with public transportation capital
projects, that are planned, designed, and carried out to meet
the needs of elderly individuals and individuals with
disabilities, with priority given to the needs of these
individuals to access necessary health care.
``(2) Acquisition of public transportation services.--A
capital public transportation
[[Page S1183]]
project under this section may include acquiring public
transportation services as an eligible capital expense.
``(3) Administrative costs.--A State may use not more than
15 percent of the amounts received under this section to
administer, plan, and provide technical assistance for a
project funded under this section.
``(b) Allotments Among States.--
``(1) In general.--From amounts made available or
appropriated in each fiscal year under subsections
(a)(1)(C)(iv) and (b)(2)(D) of section 5338 for grants under
this section, the Secretary shall allot amounts to each State
under a formula based on the number of elderly individuals
and individuals with disabilities in each State.
``(2) Transfer of funds.--Any funds allotted to a State
under paragraph (1) may be transferred by the State to the
apportionments made under sections 5311(c) and 5336 if such
funds are only used for eligible projects selected under this
section.
``(3) Reallocation of funds.--A State receiving a grant
under this section may reallocate such grant funds to--
``(A) a private nonprofit organization;
``(B) a public transportation agency or authority; or
``(C) a governmental authority that--
``(i) has been approved by the State to coordinate services
for elderly individuals and individuals with disabilities;
``(ii) certifies that nonprofit organizations are not
readily available in the area that can provide the services
described under this subsection; or
``(iii) will provide services to persons with disabilities
that exceed those services required by the Americans with
Disabilities Act.
``(c) Federal Share.--
``(1) Maximum.--
``(A) Capital projects.--A grant for a capital project
under this section may not exceed 80 percent of the net
capital costs of the project, as determined by the Secretary.
``(B) Exception.--A State described in section 120(d) of
title 23 shall receive an increased Federal share in
accordance with the formula under that section.
``(C) Operating costs.--Grant funds for operating costs
under this section may not exceed 50 percent of the net
operating costs of the project, as determined by the
Secretary.''
______
SA 2542. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Insert the following before equipment in Section
148(a)(2)(B)(xiv): ``integrated, interoperable emergency
communications''.
______
SA 2543. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Insert the following after elements in Section
148(a)(5)(C): ``, including integrated, interoperable
emergency communications,''.
______
SA 2544. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Insert the following before communications in Section
501(2): ``integrated, interoperable emergency''.
______
SA 2545. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Insert the following before communications in Section
501(2)(C): ``integrated, interoperable emergency''.
______
SA 2546. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways
safety programs, and transit programs, and for other purposes; which
was ordered to lie on the table; as follows:
Strike enhanced and insert the following in Section
502(h)(2)(iii): ``integrated, interoperable emergency''.
______
SA 2547. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Add new paragraph (7) to Section 149(b): ``If the project
or program involves the purchase of integrated, interoperable
emergency communications equipment.''
______
SA 2548. Mr. BAUCUS submitted an amendment intended to be proposed by
him to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
Insert the following before reliability in Section
503(a)(3)(B): ``, mobile communications,''.
______
SA 2549. Mr. GRASSLEY (for himself and Mr. Baucus) submitted an
amendment intended to be proposed by him to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
On page 1027, strike lines 3 through 13, and insert the
following:
(g) Prohibition on Use of Highway Account for Rail Projects
Under New Programs.--Section 9503(c) (relating to transfers
from Highway Trust Fund for certain repayments and credits)
is amended by adding at the end the following new paragraph:
``(6) Prohibition on use of highway account for certain
rail projects.--With respect to rail projects under programs
beginning after the date of the enactment of this paragraph,
no amount shall be available from the Highway Account (as
defined in subsection (e)(5)(B)).''.
______
SA 2550. Mr. THOMAS submitted an amendment intended to be proposed to
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the appropriate place, insert the following:
(a) Amendment to 23 U.S.C. 306.--Section 23 U.S.C. 306 is
amended as follows:
SEC. 306.--MAPPING.
(a) In General.----
In carrying out the provisions of this title, the Secretary
may, wherever practicable, authorize the use of
photogrammetric methods in mapping, and the utilization of
commercial enterprise for such services.
(b) Regulations.--
The Secretary shall issue regulations to require States to
utilize, to the maximum extent practicable, private sector
sources for surveying and mapping services for projects under
this title. In carrying out this subsection, the Secretary
shall recommend appropraite roles for States and private
mapping and surveying activities, including--
(1) State participation in--
(i) Preparation of standards and specifications;
(ii) research in surveying and mapping instrumentation and
procedures and technology transfer to the private sector; and
(iii) providing technical guidance, coordination, and
administration of State surveying and mapping activities; and
(2) private sector participations in--
(i) performance of surveying and mapping activities, to
include but not be limited to such activities as measuring,
locating and preparing maps, charts, surveys, aerial
photographs, satellite images, or other graphical or digital
presentations depicting natural or manmade physical features,
phenomena, and legal boundaries of the Earth.
(c) The Secretary shall implement a program to assure that
States implement this section in such a manner as to assure
that government agencies do not complete with its citizens
and that such agencies not start or carry on any activity to
provide a commercial surveying and mapping product or service
if the product or service can be procured more economically
from the commercial sources to supply the surveying and
mapping products and services the government needs.
______
SA 2551. Mr. SESSIONS submitted an amendment intended to be proposed
to amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
At the end of title IV, add the following:
Subtitle G--Immigration Related Provisions
SEC. 4701. PROHIBITION OF ISSUANCE OF DRIVER'S LICENSES TO
ILLEGAL ALIENS.
(a) Withholding of Funds for Noncompliance.--The Secretary
of Transportation shall withhold 10 per cent of the amount
required to be apportioned to any State under this Act on the
first day of each fiscal year after the second fiscal year
beginning after September 30, 2004, if such State permits by
statute, regulation, or executive order the issuance of a
State Driver's license or identification card to aliens who
do not present valid documentation of lawful presence in the
United States as determined by the Immigration and
Nationality Act (8 U.S.C. 1101).
[[Page S1184]]
(b) Effect of Withholding of Funds.--Any funds recovered
due to a reduction in State funding in accordance with
subsection (a) shall be redistributed amongst the States that
are in compliance with this section in accordance with the
formulas set forth in this Act, calculated without taking
into account the States that have violated this section.
(c) The Bureau of Immigration and Customs Enforcement of
the Department of Homeland Security shall issue a list of
documents or combinations of documents establishing legal
presence in the United States by September 30, 2004. The
Secretary shall utilize such list for the purpose of
determinations of compliance with subsection (a).
______
SA 2552. Mr. WYDEN (for himself and Mr. Talent) submitted an
amendment intended to be proposed to amendment SA 2341 submitted by Mr.
Talent (for himself and Mr. Wyden) and intended to be proposed to the
bill S. 1072, to authorize funds for Federal-aid highways, highway
safety programs, and transit programs, and for other purposes; which
was ordered to lie on the table; as follows:
Strike all after the first word and insert the following:
4602. ESTABLISHMENT OF BUILD AMERICA CORPORATION.
There is established a nonprofit corporation, to be known
as the ``Build America Corporation''. The Build America
Corporation is not an agency or establishment of the United
States Government. The purpose of the Corporation is to
support qualified projects described in section 4603(c)(2)
through the issuance of Build America bonds. The Corporation
shall be subject, to the extent consistent with this section,
to the laws of the State of Delaware applicable to
corporations not for profit.
SEC. 4603. FEDERAL BONDS FOR TRANSPORTATION INFRASTRUCTURE.
(a) Use of Bond Proceeds.--The proceeds from the sale of--
(1) any bonds authorized, issued, or guaranteed by the
Federal Government that are available to fund passenger rail
projects pursuant to any Federal law (enacted before, on, or
after the date of the enactment of this Act), and
(2) any Build America bonds issued by the Build America
Corporation as authorized by section 4602,
may be used to fund a qualified project if the Secretary of
Transportation determines that the qualified project is a
cost-effective alternative for efficiently maximizing
mobility of individuals and goods.
(b) Compliance of Beneficiaries With Certain Standards.--A
recipient of proceeds of a grant, loan, Federal tax-credit
bonds, or any other form of financial assistance provided
under this title shall comply with the standards described in
section 24312 of title 49, United States Code, as in effect
on June 25, 2003, with respect to any qualified project
described in subsection (c)(1) in the same manner that the
National Passenger Railroad Corporation is required to comply
with such standards for construction work financed under an
agreement entered into under section 24308(a) of such title.
(c) Qualified Project Defined.--In this section--
(1) In general.--Except as provided in paragraph (2), the
term ``qualified project'' means any transportation
infrastructure project of any governmental unit or other
person that is proposed by a State, including a highway
project, a transit system project, a railroad project, an
airport project, a port project, and an inland waterways
project.
(2) Build america corporation projects.--
(A) In general.--With respect to any Build America bonds
issued by the Build America Corporation as authorized by
section 4602, the term ``qualified project'' means any--
(i) qualified highway project,
(ii) qualified public transportation project, and
(iii) congestion relief project,
proposed by 1 or more States and approved by the Build
America Corporation, which meets the requirements under
clauses (i), (ii), and (iii) of subparagraph (D).
(B) Qualified highway project.--The term ``qualified
highway project'' means a project for highway facilities or
other facilities which are eligible for assistance under
title 23, United States Code.
(C) Qualified public transportation project.--The term
``qualified public transportation project'' means a project
for public transportation facilities or other facilities
which are eligible for assistance under chapter 53 of title
49, United States Code.
(D) Congestion relief project.--The term ``congestion
relief project'' means an intermodal freight transfer
facility, freight rail facility, freight movement corridor,
intercity passenger rail or facility, intercity bus vehicle
or facility, border crossing facility, or other public or
private facility approved as a congestion relief project by
the Secretary of Transportation. In making such approvals,
the Secretary of Transportation shall--
(i) consider the economic, environmental, mobility, and
national security improvements to be realized through the
project, and
(ii) give preference to projects with national or regional
significance, including any projects sponsored by a coalition
of States or a combination of States and private sector
entities, in terms of generating economic benefits,
supporting international commerce, or otherwise enhancing the
national transportation system.
(D) Additional requirements for qualified projects.--For
purposes of subparagraph (A)--
(i) Costs of qualified projects.--The requirement of this
clause is met if the costs of the qualified project funded by
Build America bonds only relate to capital investments in
depreciable assets and do not include any costs relating to
operations, maintenance, or rolling stock.
(ii) Applicability of federal law.--The requirement of this
clause is met if the requirements of any Federal law,
including titles 23, 40, and 49 of the United States Code,
which would otherwise apply to projects to which the United
States is a party or to funds made available under such law
and projects assisted with those funds are applied to--
(I) funds made available under Build America bonds for
similar qualified projects, and
(II) similar qualified projects assisted by the Build
America Corporation through the use of such funds.
(iii) Utilization of updated construction technology for
qualified projects.--The requirement of this clause is met if
the appropriate State agency relating to the qualified
project has updated its accepted construction technologies to
match a list prescribed by the Secretary of Transportation
and in effect on the date of the approval of the project as a
qualified project.
Part 2--Railroad Track Modernization
SEC. 4631. SHORT TITLE.
This part may be cited as the ``Railroad Track
Modernization Act of 2004''.
SEC. 4632. CAPITAL GRANTS FOR RAILROAD TRACK.
(a) Authority.--Chapter 223 of title 49, United States
Code, is amended to read as follows:
``CHAPTER 223--CAPITAL GRANTS FOR RAILROAD TRACK
``Sec.
``22301. Capital grants for railroad track.
``Sec. 22301. Capital grants for railroad track
``(a) Establishment of Program.--
``(1) Establishment.--The Secretary of Transportation shall
establish a program of capital grants for the rehabilitation,
preservation, or improvement of railroad track (including
roadbed, bridges, and related track structures) of class II
and class III railroads. Such grants shall be for
rehabilitating, preserving, or improving track used primarily
for freight transportation to a standard ensuring that the
track can be operated safely and efficiently, including
grants for rehabilitating, preserving, or improving track to
handle 286,000 pound rail cars. Grants may be provided under
this chapter--
``(A) directly to the class II or class III railroad; or
``(B) with the concurrence of the class II or class III
railroad, to a State or local government.
``(2) State cooperation.--Class II and class III railroad
applicants for a grant under this chapter are encouraged to
utilize the expertise and assistance of State transportation
agencies in applying for and administering such grants. State
transportation agencies are encouraged to provide such
expertise and assistance to such railroads.
``(3) Regulations.--
``(A) In general.--The Secretary shall prescribe
regulations to carry out the program under this section.
``(B) Criteria.--In developing the regulations, the
Secretary shall establish criteria that--
``(i) condition the award of a grant to a railroad on
reasonable assurances by the railroad that the facilities to
be rehabilitated and improved will be economically and
efficiently utilized;
``(ii) ensure that the award of a grant is justified by
present and probable future demand for rail services by the
railroad to which the grant is to be awarded;
``(iii) ensure that consideration is given to projects that
are part of a State-sponsored rail plan; and
``(iv) ensure that all such grants are awarded on a
competitive basis.
``(b) Maximum Federal Share.--The maximum Federal share for
carrying out a project under this section shall be 80 percent
of the project cost. The non-Federal share may be provided by
any non-Federal source in cash, equipment, or supplies. Other
in-kind contributions may be approved by the Secretary on a
case by case basis consistent with this chapter.
``(c) Project Eligibility.--For a project to be eligible
for assistance under this section the track must have been
operated or owned by a class II or class III railroad as of
the date of the enactment of the Railroad Track Modernization
Act of 2004.
``(d) Use of Funds.--Grants provided under this section
shall be used to implement track capital projects as soon as
possible. In no event shall grant funds be contractually
obligated for a project later than the end of the third
Federal fiscal year following the year in which the grant was
awarded. Any funds not so obligated by the end of such fiscal
year shall be returned to the Secretary for reallocation.
``(e) Additional Purpose.--In addition to making grants for
projects as provided in subsection (a), the Secretary may
also make
[[Page S1185]]
grants to supplement direct loans or loan guarantees made
under title V of the Railroad Revitalization and Regulatory
Reform Act of 1976 (45 U.S.C. 822(d)), for projects described
in the last sentence of section 502(d) of such title. Grants
made under this subsection may be used, in whole or in part,
for paying credit risk premiums, lowering rates of interest,
or providing for a holiday on principal payments.
``(f) Employee Protection.--The Secretary shall require as
a condition of any grant made under this section that the
recipient railroad provide a fair arrangement at least as
protective of the interests of employees who are affected by
the project to be funded with the grant as the terms imposed
under section 11326(a), as in effect on the date of the
enactment of the Railroad Track Modernization Act of 2001.
``(g) Labor Standards.--
``(1) Prevailing wages.--The Secretary shall ensure that
laborers and mechanics employed by contractors and
subcontractors in construction work financed by a grant made
under this section will be paid wages not less than those
prevailing on similar construction in the locality, as
determined by the Secretary of Labor under the Act of March
3, 1931 (known as the Davis-Bacon Act; 40 U.S.C. 276a et
seq.). The Secretary shall make a grant under this section
only after being assured that required labor standards will
be maintained on the construction work.
``(2) Wage rates.--Wage rates in a collective bargaining
agreement negotiated under the Railway Labor Act (45 U.S.C.
151 et seq.) are deemed for purposes of this subsection to
comply with the Act of March 3, 1931 (known as the Davis-
Bacon Act; 40 U.S.C. 276a et seq.).''.
(b) Conforming Amendment.--The item relating to chapter 223
in the table of chapters of subtitle V of title 49, United
States Code, is amended to read as follows:
``223. Capital grants for railroad track.......................22301''.
SEC. 4633. REGULATIONS.
(a) Regulations.--The Secretary of Transporation shall
prescribe under subsection (a)(3) of section 22301 of title
49, United States Code (as added by section 4601), interim
and final regulations for the administration of the grant
program under such section as follows:
(1) Interim regulations.--The Secretary shall prescribe the
interim regulations to implement the program not later than
December 31, 2003.
(2) Final regulations.--The Secretary shall prescribe the
final regulations not later than October 1, 2004.
(b) Inapplicability of Rulemaking Procedure to Interim
Regulations.--Subchapter II of chapter 5 of title 5, United
States Code, shall not apply to the issuance of an interim
regulation or to any amendment of such an interim regulation.
(c) Criteria.--The requirement for the establishment of
criteria under subparagraph (B) of section 22301(a)(3) of
title 49, United States Code, applies to the interim
regulations as well as to the final regulations.
SEC. 4634. STUDY OF GRANT-FUNDED PROJECTS.
(a) Requirement for Study.--The Secretary of Transportation
shall conduct a study of the projects carried out with grant
assistance under section 22301 of title 49, United States
Code (as added by section 4601), to determine the public
interest benefits associated with the light density railroad
networks in the States and their contribution to a multimodal
transportation system.
(b) Report.--Not later than March 31, 2004, the Secretary
shall submit to Congress a report on the results of the study
under subsection (a). The report shall include any
recommendations that the Secretary considers appropriate
regarding the eligibility of light density rail networks for
Federal infrastructure financing.
SEC. 4635. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to the Secretary of
Transportation $350,000,000 for each of fiscal years 2004,
2005, and 2006 for carrying out section 22301 of title 49,
United States Code (as added by section 4601).
Part 3--Other Rail Transportation-related Provisions
SEC. 4661. CAPITAL GRANTS FOR RAIL LINE RELOCATION PROJECTS.
(a) Establishment of Program.--
(1) Program requirements.--Chapter 201 of title 49, United
States Code, is amended by adding at the end of subchapter II
the following:
``Sec. 20154. Capital grants for rail line relocation
projects
``(a) Establishment of Program.--The Secretary of
Transportation shall carry out a grant program to provide
financial assistance for local rail line relocation projects.
``(b) Eligibility.--A State is eligible for a grant under
this section for any project for the improvement of the route
or structure of a rail line passing through a municipality of
the State that--
``(1) is carried out for the purpose of mitigating the
adverse effects of rail traffic on safety, motor vehicle
traffic flow, or economic development in the municipality;
``(2) involves a lateral or vertical relocation of any
portion of the rail line within the municipality to avoid a
closing of a grade crossing or the construction of a road
underpass or overpass; and
``(3) meets the costs-benefits requirement set forth in
subsection (c).
``(c) Costs-Benefits Requirement.--A grant may be awarded
under this section for a project for the relocation of a rail
line only if the benefits of the project for the period equal
to the estimated economic life of the relocated rail line
exceed the costs of the project for that period, as
determined by the Secretary considering the following
factors:
``(1) The effects of the rail line and the rail traffic on
motor vehicle and pedestrian traffic, safety, and area
commerce if the rail line were not so relocated.
``(2) The effects of the rail line, relocated as proposed,
on motor vehicle and pedestrian traffic, safety, and area
commerce.
``(3) The effects of the rail line, relocated as proposed,
on the freight and passenger rail operations on the rail
line.
``(d) Considerations for Approval of Grant Applications.--
In addition to considering the relationship of benefits to
costs in determining whether to award a grant to an eligible
State under this section, the Secretary shall consider the
following factors:
``(1) The capability of the State to fund the rail line
relocation project without Federal grant funding.
``(2) The requirement and limitation relating to allocation
of grant funds provided in subsection (e).
``(3) Equitable treatment of the various regions of the
United States.
``(e) Allocation Requirements.--
``(1) Grants not greater than $20,000,000.--At least 50
percent of all grant funds awarded under this section out of
funds appropriated for a fiscal year shall be provided as
grant awards of not more than $20,000,000 each.
``(2) Limitation per project.--Not more than 25 percent of
the total amount available for carrying out this section for
a fiscal year may be provided for any 1 project in that
fiscal year.
``(f) Federal Share.--The total amount of a grant awarded
under this section for a rail line relocation project shall
be 90 percent of the shared costs of the project, as
determined under subsection (g)(4).
``(g) State Share.--
``(1) Percentage.--A State shall pay 10 percent of the
shared costs of a project that is funded in part by a grant
awarded under this section.
``(2) Forms of contributions.--The share required by
paragraph (1) may be paid in cash or in kind.
``(3) In-kind contributions.--The in-kind contributions
that are permitted to be counted under paragraph (2) for a
project for a State are as follows:
``(A) A contribution of real property or tangible personal
property (whether provided by the State or a person for the
State).
``(B) A contribution of the services of employees of the
State, calculated on the basis of costs incurred by the State
for the pay and benefits of the employees, but excluding
overhead and general administrative costs.
``(C) A payment of any costs that were incurred for the
project before the filing of an application for a grant for
the project under this section, and any in-kind contributions
that were made for the project before the filing of the
application, if and to the extent that the costs were
incurred or in-kind contributions were made, as the case may
be, to comply with a provision of a statute required to be
satisfied in order to carry out the project.
``(4) Costs not shared.--
``(A) In general.--For the purposes of subsection (f) and
this subsection, the shared costs of a project in a
municipality do not include any cost that is defrayed with
any funds or in-kind contribution that a source other than
the municipality makes available for the use of the
municipality without imposing at least 1 of the following
conditions:
``(i) The condition that the municipality use the funds or
contribution only for the project.
``(ii) The condition that the availability of the funds or
contribution to the municipality is contingent on the
execution of the project.
``(B) Determinations of the secretary.--The Secretary shall
determine the amount of the costs, if any, that are not
shared costs under this paragraph and the total amount of the
shared costs. A determination of the Secretary shall be
final.
``(h) Multistate Agreements To Combine Amounts.--Two or
more States (not including political subdivisions of States)
may, pursuant to an agreement entered into by the States,
combine any part of the amounts provided through grants for a
project under this section if--
``(1) the project will benefit each of the States entering
into the agreement; and
``(2) the agreement is not a violation of a law of any such
State.
``(i) Regulations.--The Secretary shall prescribe
regulations for carrying out this section.
``(j) State Defined.--In this section, the term `State'
includes, except as otherwise specifically provided, a
political subdivision of a State.
``(k) Authorization of Appropriations.--There are
authorized to be appropriated to the Secretary for use in
carrying out this section $350,000,000 for each of the fiscal
years 2004 through 2008.''.
(2) Clerical amendment.--The chapter analysis for such
chapter is amended by adding at the end the following:
``20154. Capital grants for rail line relocation projects.''.
(b) Regulations.--
[[Page S1186]]
(1) Interim regulations.--Not later than October 1, 2003,
the Secretary of Transportation shall issue temporary
regulations to implement the grant program under section
20154 of title 49, United States Code, as added by subsection
(a). Subchapter II of chapter 5 of title 5, United States
Code, shall not apply to the issuance of a temporary
regulation under this subsection or of any amendment of such
a temporary regulation.
(2) Final regulations.--Not later than March 31, 2004, the
Secretary shall issue final regulations implementing the
program.
______
SA 2553. Mr. WYDEN (for himself and Mr. Talent) submitted an
amendment intended to be proposed to amendment SA 2340 submitted by Mr.
Talent (for himself, Mr. Wyden, Mr. Corzine, and Mr. Coleman) and
intended to be proposed to the bill S. 1072, to authorize funds for
Federal-aid highways, highway safety programs, and transit programs,
and for other purposes; which was ordered to lie on the table; as
follows:
Strike all after the first word and insert the following:
Subtitle H--Build America Bonds
SEC. 5671. SHORT TITLE; ETC.
(a) Short Title.--This subtitle may be cited as the ``Build
America Bonds Act of 2004''.
(b) References to Internal Revenue Code of 1986.--Except as
otherwise expressly provided, whenever in this subtitle an
amendment or repeal is expressed in terms of an amendment to,
or repeal of, a section or other provision, the reference
shall be considered to be made to a section or other
provision of the Internal Revenue Code of 1986.
SEC. 5672. FINDINGS AND PURPOSE.
(a) Findings.--Congress finds the following:
(1) Our Nation's highways, public transportation systems,
and rail systems drive our economy, enabling all industries
to achieve growth and productivity that makes America strong
and prosperous.
(2) The establishment, maintenance, and improvement of the
national transportation network is a national priority, for
economic, environmental, energy, security, and other reasons.
(3) The ability to move people and goods is critical to
maintaining State, metropolitan, rural, and local economies.
(4) The construction of infrastructure requires the skills
of numerous occupations, including those in the contracting,
engineering, planning and design, materials supply,
manufacturing, distribution, and safety industries.
(5) Investing in transportation infrastructure creates
long-term capital assets for the Nation that will help the
United States address its enormous infrastructure needs and
improve its economic productivity.
(6) Investment in transportation infrastructure creates
jobs and spurs economic activity to put people back to work
and stimulate the economy.
(7) Every billion dollars in transportation investment has
the potential to create up to 47,500 jobs.
(8) Every dollar invested in the Nation's transportation
infrastructure yields at least $5.70 in economic benefits
because of reduced delays, improved safety, and reduced
vehicle operating costs.
(9) The proposed increases to the Transportation Equity Act
for the 21st Century (TEA-21) will not be sufficient to
compensate for the Nation's transportation infrastructure
deficit.
(b) Purpose.--The purpose of this subtitle is to provide
financing for long-term infrastructure capital investments
that are not currently being met by existing transportation
and infrastructure investment programs, including mega-
projects, projects of national significance and high priority
projects, multi-State transportation corridors, intermodal
transportation facilities, replacement and reconstruction of
deficient and obsolete bridges, interstate highways, public
transportation systems, and rail systems.
SEC. 5673. CREDIT TO HOLDERS OF BUILD AMERICA BONDS.
(a) In General.--Part IV of subchapter A of chapter 1
(relating to credits against tax) is amended by adding at the
end the following new subpart:
``Subpart H--Nonrefundable Credit for Holders of Build America Bonds
``Sec. 54. Credit to holders of Build America bonds.
``SEC. 54. CREDIT TO HOLDERS OF BUILD AMERICA BONDS.
``(a) Allowance of Credit.--In the case of a taxpayer who
holds a Build America bond on a credit allowance date of such
bond which occurs during the taxable year, there shall be
allowed as a credit against the tax imposed by this chapter
for such taxable year an amount equal to the sum of the
credits determined under subsection (b) with respect to
credit allowance dates during such year on which the taxpayer
holds such bond.
``(b) Amount of Credit.--
``(1) In general.--The amount of the credit determined
under this subsection with respect to any credit allowance
date for a Build America bond is 25 percent of the annual
credit determined with respect to such bond.
``(2) Annual credit.--The annual credit determined with
respect to any Build America bond is the product of--
``(A) the applicable credit rate, multiplied by
``(B) the outstanding face amount of the bond.
``(3) Applicable credit rate.--For purposes of paragraph
(2), the applicable credit rate with respect to an issue is
the rate equal to an average market yield (as of the day
before the date of sale of the issue) on outstanding long-
term corporate debt obligations (determined in such manner as
the Secretary prescribes).
``(4) Credit allowance date.--For purposes of this section,
the term `credit allowance date' means--
``(A) March 15,
``(B) June 15,
``(C) September 15, and
``(D) December 15.
Such term includes the last day on which the bond is
outstanding.
``(5) Special rule for issuance and redemption.--In the
case of a bond which is issued during the 3-month period
ending on a credit allowance date, the amount of the credit
determined under this subsection with respect to such credit
allowance date shall be a ratable portion of the credit
otherwise determined based on the portion of the 3-month
period during which the bond is outstanding. A similar rule
shall apply when the bond is redeemed.
``(c) Limitation Based on Amount of Tax.--
``(1) In general.--The credit allowed under subsection (a)
for any taxable year shall not exceed the excess of--
``(A) the sum of the regular tax liability (as defined in
section 26(b)) plus the tax imposed by section 55, over
``(B) the sum of the credits allowable under this part
(other than this subpart and subpart C).
``(2) Carryover of unused credit.--If the credit allowable
under subsection (a) exceeds the limitation imposed by
paragraph (1) for such taxable year, such excess shall be
carried to the succeeding taxable year and added to the
credit allowable under subsection (a) for such taxable year.
``(d) Credit Included in Gross Income.--Gross income
includes the amount of the credit allowed to the taxpayer
under this section (determined without regard to subsection
(c)) and the amount so included shall be treated as interest
income.
``(e) Build America Bond.--For purposes of this part, the
term `Build America bond' means any bond issued as part of an
issue if--
``(1) the net spendable proceeds from the sale of such
issue are to be used--
``(A) for expenditures incurred after the date of the
enactment of this section for any qualified project, or
``(B) for deposit in the Build America Trust Account for
repayment of Build America bonds at maturity,
``(2) the bond is issued by the Transportation Finance
Corporation, is in registered form, and meets the Build
America bond limitation requirements under subsection (g),
``(3) the Transportation Finance Corporation certifies that
it meets the State contribution requirement of subsection (k)
with respect to such project, as in effect on the date of
issuance,
``(4) the Transportation Finance Corporation certifies that
the State in which an approved qualified project is located
meets the requirement described in subsection (l),
``(5) except for bonds issued in accordance with subsection
(g)(6), the term of each bond which is part of such issue
does not exceed 30 years,
``(6) the payment of principal with respect to such bond is
the obligation of the Transportation Finance Corporation, and
``(7) with respect to bonds described in paragraph (1)(A),
the issue meets the requirements of subsection (h) (relating
to arbitrage).
``(f) Qualified Project.--For purposes of this section--
``(1) In general.--The term `qualified project' means any--
``(A) qualified highway project,
``(B) qualified public transportation project, and
``(C) congestion relief project,
proposed by 1 or more States and approved by the
Transportation Finance Corporation.
``(2) Qualified highway project.--The term `qualified
highway project' means a project for highway facilities or
other facilities which are eligible for assistance under
title 23, United States Code.
``(3) Qualified public transportation project.--The term
`qualified public transportation project' means a project for
public transportation facilities or other facilities which
are eligible for assistance under chapter 53 of title 49,
United States Code.
``(4) Congestion relief project.--The term `congestion
relief project' means an intermodal freight transfer
facility, freight rail facility, freight movement corridor,
intercity passenger rail or facility, intercity bus vehicle
or facility, border crossing facility, or other public or
private facility approved as a congestion relief project by
the Secretary of Transportation. In making such approvals,
the Secretary of Transportation shall--
``(A) consider the economic, environmental, mobility, and
national security improvements to be realized through the
project, and
``(B) give preference to projects with national or regional
significance, including any
[[Page S1187]]
projects sponsored by a coalition of States or a combination
of States and private sector entities, in terms of generating
economic benefits, supporting international commerce, or
otherwise enhancing the national transportation system.
``(g) Limitation on Amount of Bonds Designated; Allocation
of Bond Proceeds.--
``(1) National limitation.--There is a Build America bond
limitation for each calendar year. Such limitation is--
``(A) with respect to bonds described in subsection
(e)(1)(A),
``(i) $11,000,000,000 for 2004,
``(ii) $16,000,000,000 for 2005,
``(iii) $16,000,000,000 for 2006,
``(iv) $6,000,000,000 for 2007,
``(v) $3,500,000,000 for 2008,
``(vi) $3,500,000,000 for 2009, and
``(vii) except as provided in paragraph (5), zero
thereafter, plus
``(B) with respect to bonds described in subsection
(e)(1)(B), such amount each calendar year as determined
necessary by the Transportation Finance Corporation to
provide funds in the Build America Trust Account for the
repayment of Build America bonds at maturity.
``(2) Congestion relief projects.--From Build America bonds
issued under the annual limitation in paragraph (1)(A),
$1,000,000,000 of net spendable proceeds shall be reserved
for each of the calendar years 2004, 2005, 2006, 2007, 2008,
and 2009 for allocation to congestion relief projects.
``(3) Allocation of bonds for highway and public
transportation purposes.--Except with respect to qualified
projects described in subsection (j)(3), and subject to
paragraphs (2) and (4)--
``(A) Qualified highway projects.--From Build America bonds
issued under the annual limitation in paragraph (1)(A), the
Transportation Finance Corporation shall allocate 80 percent
of the net spendable proceeds to the States for qualified
highway projects in the following manner:
``(i) 50 percent of such allocation shall be in accordance
with the formulas for apportioning funds under sections
104(b) and 144 of title 23, United States Code.
``(ii) 50 percent of such allocation shall be for projects,
including projects of national significance and high priority
projects, designated by law.
``(B) Qualified public transportation projects.--From Build
America bonds issued under the annual limitation in paragraph
(1)(A), the Transportation Finance Corporation shall allocate
20 percent of the net spendable proceeds to the States for
qualified public transportation projects in the following
manner:
``(i) 50 percent of such allocation shall be in accordance
with the distribution of public transportation formula grants
under sections 5307, 5308, 5310, 5311, and 5327 of title 49,
United States Code.
``(ii) 50 percent of such allocation shall be for projects,
including projects of national significance and high priority
projects, designated by law.
``(4) Minimum allocations to states.--In making allocations
for each calendar year under paragraph (3), the
Transportation Finance Corporation shall ensure that the
amount allocated for qualified projects located in each State
for such calendar year is not less than 1 percent of the
total amount allocated for such year.
``(5) Carryover of unused issuance limitation.--If for any
calendar year the limitation amount imposed by paragraph (1)
exceeds the amount of Build America bonds issued during such
year, such excess shall be carried forward to one or more
succeeding calendar years as an addition to the limitation
imposed by paragraph (1) and until used by issuance of Build
America bonds.
``(6) Issuance of small denomination bonds.--From the Build
America bond limitation for each year, the Transportation
Finance Corporation shall issue a limited quantity of Build
America bonds in small denominations suitable for purchase as
gifts by individual investors wishing to show their support
for investing in America's infrastructure.
``(h) Special Rules Relating to Arbitrage.--
``(1) In general.--Subject to paragraph (2), an issue shall
be treated as meeting the requirements of this subsection if
as of the date of issuance, the Transportation Finance
Corporation reasonably expects--
``(A) to spend at least 85 percent of the net spendable
proceeds from the sale of the issue for 1 or more qualified
projects within the 5-year period beginning on such date,
``(B) to incur a binding commitment with a third party to
spend at least 10 percent of the net spendable proceeds from
the sale of the issue, or to commence construction, with
respect to such projects within the 12-month period beginning
on such date, and
``(C) to proceed with due diligence to complete such
projects and to spend the net spendable proceeds from the
sale of the issue.
``(2) Spent proceeds.--Net spendable proceeds are
considered spent by the Transportation Finance Corporation
when a sponsor of a qualified project obtains a reimbursement
from the Transportation Finance Corporation for eligible
project costs.
``(3) Rules regarding continuing compliance after 5-year
determination.--If at least 85 percent of the net spendable
proceeds from the sale of the issue is not expended for 1 or
more qualified projects within the 5-year period beginning on
the date of issuance, but the requirements of paragraph (1)
are otherwise met, an issue shall be treated as continuing to
meet the requirements of this subsection if the
Transportation Finance Corporation uses all unspent net
spendable proceeds from the sale of the issue to redeem bonds
of the issue within 90 days after the end of such 5-year
period.
``(4) Reallocation.--In the event the recipient of an
allocation under subsection (g) fails to demonstrate to the
satisfaction of the Transportation Finance Corporation that
its actions will allow the Transportation Finance Corporation
to meet the requirements under this subsection, the
Transportation Finance Corporation may redistribute the
allocation meant for such recipient to other recipients.
``(i) Recapture of Portion of Credit Where Cessation of
Compliance.--
``(1) In general.--If any bond which when issued purported
to be a Build America bond ceases to be such a qualified
bond, the Transportation Finance Corporation shall pay to the
United States (at the time required by the Secretary) an
amount equal to the sum of--
``(A) the aggregate of the credits allowable under this
section with respect to such bond (determined without regard
to subsection (c)) for taxable years ending during the
calendar year in which such cessation occurs and the 2
preceding calendar years, and
``(B) interest at the underpayment rate under section 6621
on the amount determined under subparagraph (A) for each
calendar year for the period beginning on the first day of
such calendar year.
``(2) Failure to pay.--If the Transportation Finance
Corporation fails to timely pay the amount required by
paragraph (1) with respect to such bond, the tax imposed by
this chapter on each holder of any such bond which is part of
such issue shall be increased (for the taxable year of the
holder in which such cessation occurs) by the aggregate
decrease in the credits allowed under this section to such
holder for taxable years beginning in such 3 calendar years
which would have resulted solely from denying any credit
under this section with respect to such issue for such
taxable years.
``(3) Special rules.--
``(A) Tax benefit rule.--The tax for the taxable year shall
be increased under paragraph (2) only with respect to credits
allowed by reason of this section which were used to reduce
tax liability. In the case of credits not so used to reduce
tax liability, the carryforwards and carrybacks under section
39 shall be appropriately adjusted.
``(B) No credits against tax.--Any increase in tax under
paragraph (2) shall not be treated as a tax imposed by this
chapter for purposes of determining--
``(i) the amount of any credit allowable under this part,
or
``(ii) the amount of the tax imposed by section 55.
``(j) Build America Trust Account.--
``(1) In general.--The following amounts shall be held in a
Build America Trust Account by the Transportation Finance
Corporation:
``(A) The proceeds from the sale of all bonds issued under
this section.
``(B) The amount of any matching contributions with respect
to such bonds.
``(C) The investment earnings on proceeds from the sale of
such bonds.
``(D) Any earnings on any amounts described in subparagraph
(A), (B), or (C).
``(2) Use of funds.--Amounts in the Build America Trust
Account may be used only to pay costs of qualified projects,
redeem Build America bonds, and fund the operations of the
Transportation Finance Corporation, except that amounts
withdrawn from the Build America Trust Account to pay costs
of qualified projects may not exceed the aggregate proceeds
from the sale of Build America bonds described in subsection
(e)(1)(A).
``(3) Use of remaining funds in build america trust
account.--Upon the redemption of all Build America bonds
issued under this section, any remaining amounts in the Build
America Trust Account shall be available to the
Transportation Finance Corporation to pay the costs of any
qualified project.
``(4) Costs of qualified projects.--For purposes of this
section, the costs of qualified projects which may be funded
by amounts in the Build America Trust Account may only relate
to capital investments in depreciable assets and may not
include any costs relating to operations, maintenance, or
rolling stock.
``(5) Applicability of federal law.--The requirements of
any Federal law, including titles 23, 40, and 49 of the
United States Code, which would otherwise apply to projects
to which the United States is a party or to funds made
available under such law and projects assisted with those
funds shall apply to--
``(A) funds made available under the Build America Trust
Account for similar qualified projects, including
contributions required under subsection (k), and
``(B) similar qualified projects assisted by the
Transportation Finance Corporation through the use of such
funds.
``(6) Investment.--It shall be the duty of the
Transportation Finance Corporation to invest in investment
grade obligations such portion of the Build America Trust
Account as is not, in the judgment of the Board of Directors
of the Transportation Finance Corporation, required to meet
current withdrawals. Such investments may be made in State
and local transportation bonds.
``(k) State Contribution Requirements.--
[[Page S1188]]
``(1) In general.--For purposes of subsection (e)(3), the
State contribution requirement of this subsection is met with
respect to any qualified project if the Transportation
Finance Corporation has received from 1 or more States, not
later than the date of issuance of the bond, written
commitments for matching contributions of not less than 20
percent of the cost of the qualified project.
``(2) State matching contributions may not include federal
funds.--For purposes of this subsection, State matching
contributions shall not be derived, directly or indirectly,
from Federal funds, including any transfers from the Highway
Trust Fund under section 9503.
``(l) Utilization of Updated Construction Technology for
Qualified Projects.--For purposes of subsection (e)(4), the
requirement of this subsection is met if the appropriate
State agency relating to the qualified project has updated
its accepted construction technologies to match a list
prescribed by the Secretary of Transportation and in effect
on the date of the approval of the project as a qualified
project.
``(m) Other Definitions and Special Rules.--For purposes of
this section--
``(1) Administrative costs.--The term `administrative
costs' shall only include costs of issuance of Build America
bonds and operation costs of the Transportation Corporation.
``(2) Bond.--The term `bond' includes any obligation.
``(3) Net spendable proceeds.--The term `net spendable
proceeds' means the proceeds from the sale of any Build
America bond issued under this section reduced by not more
than 5 percent of such proceeds for administrative costs.
``(4) State.--The term `State' shall have the meaning given
such term by section 101 of title 23, United States Code.
``(5) Treatment of changes in use.--For purposes of
subsection (e)(1)(A), the net spendable proceeds from the
sale of an issue shall not be treated as used for a qualified
project to the extent that the Transportation Finance
Corporation takes any action within its control which causes
such proceeds not to be used for a qualified project. The
Secretary shall specify remedial actions which may be taken
(including conditions to taking such remedial actions) to
prevent an action described in the preceding sentence from
causing a bond to fail to be a Build America bond.
``(6) Partnership; s corporation; and other pass-thru
entities.--In the case of a partnership, trust, S
corporation, or other pass-thru entity, rules similar to the
rules of section 41(g) shall apply with respect to the credit
allowable under subsection (a).
``(7) Bonds held by regulated investment companies.--If any
Build America bond is held by a regulated investment company,
the credit determined under subsection (a) shall be allowed
to shareholders of such company under procedures prescribed
by the Secretary.
``(8) Credits may be stripped.--Under regulations
prescribed by the Secretary--
``(A) In general.--There may be a separation (including at
issuance) of the ownership of a Build America bond and the
entitlement to the credit under this section with respect to
such bond. In case of any such separation, the credit under
this section shall be allowed to the person who on the credit
allowance date holds the instrument evidencing the
entitlement to the credit and not to the holder of the bond.
``(B) Certain rules to apply.--In the case of a separation
described in subparagraph (A), the rules of section 1286
shall apply to the Build America bond as if it were a
stripped bond and to the credit under this section as if it
were a stripped coupon.
``(9) Credits may be transferred.--Nothing in any law or
rule of law shall be construed to limit the transferability
of the credit or bond allowed by this section through sale
and repurchase agreements.
``(10) Reporting.--The Transportation Finance Corporation
shall submit reports similar to the reports required under
section 149(e).
``(11) Prohibition on Use of Highway Trust Fund.--
Notwithstanding any other provision of law, no funds derived
from the Highway Trust Fund established under section 9503
shall be used to pay costs associated with the Build America
bonds issued under this section.''.
(b) Amendments to Other Code Sections.--
(1) Reporting.--Subsection (d) of section 6049 (relating to
returns regarding payments of interest) is amended by adding
at the end the following new paragraph:
``(8) Reporting of credit on build america bonds.--
``(A) In general.--For purposes of subsection (a), the term
`interest' includes amounts includible in gross income under
section 54(d) and such amounts shall be treated as paid on
the credit allowance date (as defined in section 54(b)(4)).
``(B) Reporting to corporations, etc.--Except as otherwise
provided in regulations, in the case of any interest
described in subparagraph (A), subsection (b)(4) shall be
applied without regard to subparagraphs (A), (H), (I), (J),
(K), and (L)(i) of such subsection.
``(C) Regulatory authority.--The Secretary may prescribe
such regulations as are necessary or appropriate to carry out
the purposes of this paragraph, including regulations which
require more frequent or more detailed reporting.''.
(2) Treatment for estimated tax purposes.--
(A) Individual.--Section 6654 (relating to failure by
individual to pay estimated income tax) is amended by
redesignating subsection (m) as subsection (n) and by
inserting after subsection (l) the following new subsection:
``(m) Special Rule for Holders of Build America Bonds.--For
purposes of this section, the credit allowed by section 54 to
a taxpayer by reason of holding a Build America bond on a
credit allowance date shall be treated as if it were a
payment of estimated tax made by the taxpayer on such
date.''.
(B) Corporate.--Subsection (g) of section 6655 (relating to
failure by corporation to pay estimated income tax) is
amended by adding at the end the following new paragraph:
``(5) Special rule for holders of build america bonds.--For
purposes of this section, the credit allowed by section 54 to
a taxpayer by reason of holding a Build America bond on a
credit allowance date shall be treated as if it were a
payment of estimated tax made by the taxpayer on such
date.''.
(c) Clerical Amendments.--
(1) The table of subparts for part IV of subchapter A of
chapter 1 is amended by adding at the end the following new
item:
``Subpart H. Nonrefundable Credit for Holders of Build America
Bonds.''.
(2) Section 6401(b)(1) is amended by striking ``and G'' and
inserting ``G, and H''.
(d) Effective Date.--The amendments made by this section
shall apply to obligations issued after the day after the
date of the enactment of this Act.
SEC. 5674. TRANSPORTATION FINANCE CORPORATION.
(a) Establishment and Status.--There is established a body
corporate to be known as the ``Transportation Finance
Corporation'' (hereafter in this section referred to as the
``Corporation''). The Corporation is not a department,
agency, or instrumentality of the United States Government,
and shall not be subject to title 31, United States Code.
(b) Principal Office; Application of Laws.--The principal
office and place of business of the Corporation shall be in
the District of Columbia, and, to the extent consistent with
this section, the District of Columbia Business Corporation
Act (D.C. Code 29-301 et seq.) shall apply.
(c) Functions of Corporation.--The Corporation shall--
(1) issue Build America bonds for the financing of
qualified projects as required under section 54 of the
Internal Revenue Code of 1986,
(2) establish and operate the Build America Trust Account
as required under section 54(j) of such Code,
(3) act as a centralized entity to provide financing for
qualified projects,
(4) leverage resources and stimulate public and private
investment in transportation infrastructure,
(5) encourage States to create additional opportunities for
the financing of transportation infrastructure and to provide
technical assistance to States, if needed,
(6) perform any other function the sole purpose of which is
to carry out the financing of qualified projects through
Build America bonds, and
(7) not later than February 15 of each year submit a report
to Congress--
(A) describing the activities of the Corporation for the
preceding year, and
(B) specifying whether the amounts deposited and expected
to be deposited in the Build America Trust Account are
sufficient to fully repay at maturity the principal of any
outstanding Build America bonds issued pursuant to such
section 54.
(d) Powers of Corporation.--The Corporation--
(1) may sue and be sued, complain and defend, in its
corporate name, in any court of competent jurisdiction,
(2) may adopt, alter, and use a seal, which shall be
judicially noticed,
(3) may prescribe, amend, and repeal such rules and
regulations as may be necessary for carrying out the
functions of the Corporation,
(4) may make and perform such contracts and other
agreements with any individual, corporation, or other private
or public entity however designated and wherever situated, as
may be necessary for carrying out the functions of the
Corporation,
(5) may determine and prescribe the manner in which its
obligations shall be incurred and its expenses allowed and
paid,
(6) may, as necessary for carrying out the functions of the
Corporation, employ and fix the compensation of employees and
officers,
(7) may lease, purchase, or otherwise acquire, own, hold,
improve, use, or otherwise deal in and with such property
(real, personal, or mixed) or any interest therein, wherever
situated, as may be necessary for carrying out the functions
of the Corporation,
(8) may accept gifts or donations of services or of
property (real, personal, or mixed), tangible or intangible,
in furtherance of the purposes of this Act, and
(9) shall have such other powers as may be necessary and
incident to carrying out this Act.
(e) Nonprofit Entity; Restriction on Use of Moneys;
Conflict of Interests; Audits.--
(1) Nonprofit entity.--The Corporation shall be a nonprofit
corporation and shall have no capital stock.
[[Page S1189]]
(2) Restriction.--No part of the Corporation's revenue,
earnings, or other income or property shall inure to the
benefit of any of its directors, officers, or employees, and
such revenue, earnings, or other income or property shall
only be used for carrying out the purposes of this Act.
(3) Conflict of interests.--No director, officer, or
employee of the Corporation shall in any manner, directly or
indirectly participate in the deliberation upon or the
determination of any question affecting his or her personal
interests or the interests of any corporation, partnership,
or organization in which he or she is directly or indirectly
interested.
(4) Audits.--
(A) Audits by independent certified public accountants.--
(i) In general.--The Corporation's financial statements
shall be audited annually in accordance with generally
accepted auditing standards by independent certified public
accountants that are certified by a regulatory authority of a
State or other political subdivision of the United States.
The audits shall be conducted at the place or places where
the accounts of the Corporation are normally kept. All books,
accounts, financial records, reports, files, and all other
papers, things, or property belonging to or in use by the
Corporation and necessary to facilitate the audit shall be
made available to the person or persons conducting the
audits, and full facilities for verifying transactions with
the balances or securities held by depositories, fiscal
agents, and custodians shall be afforded to such person or
persons.
(ii) Reporting requirements.--The report of each annual
audit described in clause (i) shall be included in the annual
report required by subsection (c)(8).
(B) Record keeping requirements.--The Corporation shall
ensure that each recipient of assistance from the Corporation
keeps--
(i) separate accounts with respect to such assistance,
(ii) such records as may be reasonably necessary to fully
disclose--
(I) the amount and the disposition by such recipient of the
proceeds of such assistance,
(II) the total cost of the project or undertaking in
connection with which such assistance is given or used, and
the extent to which such costs are for a qualified project,
and
(III) the amount and nature of that portion of the cost of
the project or undertaking supplied by other sources, and
(iii) such other records as will facilitate an effective
audit.
(C) Audit and examination of books.--The Corporation shall
ensure that the Corporation, or any of the Corporation's duly
authorized representatives, shall have access for the purpose
of audit and examination to any books, documents, papers, and
records of any recipient of assistance from the Corporation
that are pertinent to such assistance.
(f) Exemption From Taxes.--
(1) In general.--The Corporation, including its franchise,
capital, reserves, surplus, sinking funds, mortgages or other
security holdings, and income, shall be exempt from all
taxation now or hereafter imposed by the United States, by
any territory, dependency, or possession thereof, or by any
State, county, municipality, or local taxing authority,
except that any real property of the Corporation shall be
subject to State, territorial, county, municipal, or local
taxation to the same extent according to its value as other
real property is taxed.
(2) Financial obligations.--Build America bonds or other
obligations issued by the Corporation and the interest on or
tax credits with respect to its bonds or other obligations
shall not be subject to taxation by any State, county,
municipality, or local taxing authority.
(g) Assistance for Transportation Purposes.--
(1) In general.--In order to carry out the corporate
functions described in subsection (c), the Corporation shall
be eligible to receive discretionary grants, contracts,
gifts, contributions, or technical assistance from any
Federal department or agency, to the extent permitted by law.
(2) Agreement.--In order to receive any assistance
described in this subsection, the Corporation shall enter
into an agreement with the Federal department or agency
providing such assistance, under which the Corporation
agrees--
(A) to use such assistance to provide funding and technical
assistance only for activities which the Board of Directors
of the Corporation determines are consistent with the
corporate functions described in subsection (c), and
(B) to review the activities of State transportation
agencies and other entities receiving assistance from the
Corporation to assure that the corporate functions described
in subsection (c) are carried out.
(3) Construction.--Nothing in this section shall be
construed to establish the Corporation as a department,
agency, or instrumentality of the United States Government,
or to establish the members of the Board of Directors of the
Corporation, or the officers and employees of the
Corporation, as officers or employees of the United States
Government.
(h) Management of Corporation.--
(1) Board of directors; membership; designation of
chairperson and vice chairperson; appointment considerations;
term; vacancies.--
(A) Board of directors.--The management of the Corporation
shall be vested in a board of directors composed of 15
members appointed by the President, by and with the advice
and consent of the Senate.
(B) Chairperson and vice chairperson.--The President shall
designate 1 member of the Board to serve as Chairperson of
the Board and 1 member to serve as Vice Chairperson of the
Board.
(C) Individuals from private life.--Eleven members of the
Board shall be appointed from private life.
(D) Federal officers and employees.--Four members of the
Board shall be appointed from among officers and employees of
agencies of the United States concerned with infrastructure
development.
(E) Appointment considerations.--All members of the Board
shall be appointed on the basis of their understanding of and
sensitivity to infrastructure development processes. Members
of the Board shall be appointed so that not more than 8
members of the Board are members of any 1 political party.
(F) Terms.--Members of the Board shall be appointed for
terms of 3 years, except that of the members first appointed,
as designated by the President at the time of their
appointment, 5 shall be appointed for terms of 1 year and 5
shall be appointed for terms of 2 years.
(G) Vacancies.--A member of the Board appointed to fill a
vacancy occurring before the expiration of the term for which
that member's predecessor was appointed shall be appointed
only for the remainder of that term. Upon the expiration of a
member's term, the member shall continue to serve until a
successor is appointed and is qualified.
(2) Compensation, actual, necessary, and transportation
expenses.--Members of the Board shall serve without
additional compensation, but may be reimbursed for actual and
necessary expenses not exceeding $100 per day, and for
transportation expenses, while engaged in their duties on
behalf of the Corporation.
(3) Quorum.--A majority of the Board shall constitute a
quorum.
(4) President of corporation.--The Board of Directors shall
appoint a president of the Corporation on such terms as the
Board may determine.
______
SA 2554. Mrs. BOXER submitted an amendment intended to be proposed by
her to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place insert:
``(a) Study.--The Secretary of Transportation shall, in
consultation with State and local government officials,
conduct a study of the impact of blocked highway-railroad
grade crossings on the ability of emergency responders to
perform public safety and security duties.
(b) Report on the Impact of Blocked Highway-Railroad Grade
Crossings on Emergency Responders.--Not later than 1 year
after the date of enactment of this Act, the Secretary shall
submit the results of the study and recommendations for
reducing the impact of blocked crossings on emergency
response to the Senate Committee on Commerce, Science, and
Transportation and the House of Representatives Committee on
Transportation and Infrastructure.''
______
SA 2555. Mrs. BOXER submitted an amendment intended to be proposed by
her to the bill S. 1072, to authorize funds for Federal-aid highways,
highway safety programs, and transit programs, and for other purposes;
which was ordered to lie on the table; as follows:
At the appropriate place insert:
``(a) Notification Procedures.--
(1) Regulations.--The Secretary of Transportation shall
prescribe regulations setting forth procedures for a railroad
to immediately notify first responders in communities that
lie in the path of a runaway train.
(2) Time for issuance of regulations.--The Secretary shall
issue the final regulations under this section not later than
120 days after the date of enactment of this Act.
(3) Definitions.-- In this section, the term `runaway
train' means a locomotive, train, rail car, or other item of
railroad equipment that, at a particular moment in time, is
rolling on tracks outside the operations limits of a railroad
and is not under the control of the railroad.
(b) Response Procedures.--Not later than 60 days after the
Secretary prescribes the regulations under subsection (a),
each railroad shall submit to the Department of
Transportation for the Secretary's approval the procedures
proposed by the railroad for providing the notice described
in such subsection.
(c) Reporting of Incidents Required.--The Secretary shall
require railroads to report to the Department of
Transportation each incident of a runaway train.''
______
SA 2556. Mr. KOHL submitted an amendment intended to be proposed to
amendment SA 2302 submitted by Mr. Bayh (for himself, Mr. Durbin, Mr.
Lugar, Mr. Kohl, and Mr. Fitzgerald) and intended to be proposed to the
bill S. 1072, to authorize funds for Federal-
[[Page S1190]]
aid highways, highway safety programs, and transit programs, and for
other purposes; which was ordered to lie on the table; as follows:
Beginning on page 55, strike line 25 and all that follows
through page 57, line 23, and insert the following:
``(c) Special Rules.--
``(1) Minimum combined allocation.--For each fiscal year,
before making the allocations under subsection (a)(1), the
Secretary shall allocate among the States amounts sufficient
to ensure that no State receives a combined total of amounts
allocated under subsection (a)(1), apportionments for the
programs specified in subsection (a)(2), and amounts
allocated under this subsection, that is less than 110
percent of the sum of--
``(A) the total apportionments of the State for the fiscal
year for the programs specified in subsection (a)(2); exceeds
``(B) the sum of--
``(i) the percentage of the average, for the period of
fiscal years 1998 through 2003, of the annual apportionments
of the State for all programs specified in subsection (b)(2),
as specified in paragraph (2); and
``(ii) an amount which is equivalent to--
``(I) the amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the excess of the tax rate applicable for a
gallon of gasoline over the tax rate applicable for a gallon
of gasohol for such years; plus
``(II) an amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the amount of the tax rate applicable to a
gallon of gasohol which is not deposited into the Highway
Trust Fund with respect to each such year.
``(2) Percentages.--The percentages referred to in
paragraph (1)(B)(i) are--
``(A) for fiscal year 2004, 120 percent;
``(B) for fiscal year 2005, 130 percent;
``(C) for fiscal year 2006, 134 percent;
``(D) for fiscal year 2007, 137 percent;
``(E) for fiscal year 2008, 145 percent; and
``(F) for fiscal year 2009, 250 percent.''.
``(3) No negative adjustment.--Notwithstanding subsection
(d), no negative adjustment shall be made under subsection
(a)(1) to the apportionment of any State.
``(4) Minimum share of tax payments.--Notwithstanding
subsection (d), for each fiscal year, the Secretary shall
allocate among the States amounts sufficient to ensure that
no State receives a percentage of apportionments for the
fiscal year for the programs specified in subsection (a)(2)
that is less than 90.5 percent of the percentage share of the
State of estimated tax payments attributable to highway users
in the State paid into the Highway Trust Fund (other than the
Mass Transit Account) in the most recent fiscal year for
which data are available.
``(d) Limitation on Adjustments.--
``(1) In general.--Except as provided in paragraphs (2) and
(3) of subsection (c), no State shall receive, for any fiscal
year, additional amounts under subsection (a)(1) if--
``(A) the total apportionments of the State for the fiscal
year for the programs specified in subsection (a)(2); exceeds
``(B) the sum of--
``(i) the percentage of the average, for the period of
fiscal years 1998 through 2003, of the annual apportionments
of the State for all programs specified in subsection (b)(2),
as specified in paragraph (2); and
``(ii) an amount which is equivalent to--
``(I) the amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the excess of the tax rate applicable for a
gallon of gasoline over the tax rate applicable for a gallon
of gasohol for such years; plus
``(II) an amount equal to the number of gallons of gasohol
sold within the State during fiscal years 1996 through 2001
multiplied by the amount of the tax rate applicable to a
gallon of gasohol which is not deposited into the Highway
Trust Fund with respect to each such year.
``(2) Percentages.--The percentages referred to in
paragraph (1)(B)(i) are--
``(A) for fiscal year 2004, 120 percent;
``(B) for fiscal year 2005, 130 percent;
``(C) for fiscal year 2006, 134 percent;
``(D) for fiscal year 2007, 137 percent;
``(E) for fiscal year 2008, 145 percent; and
``(F) for fiscal year 2009, 250 percent.''.
______
SA 2557. Ms. STABENOW (for herself and Mr. Levin) submitted an
amendment intended to be proposed to amendment SA 2441 submitted by Ms.
Stabenow (for herself and Mr. Levin) and intended to be proposed to the
amendment SA 2285 proposed by Mr. Inhofe to the bill S. 1072, to
authorize funds for Federal-aid highways, highway safety programs, and
transit programs, and for other purposes; which was ordered to lie on
the table; as follows:
In lieu of the matter proposed to be inserted, insert the
following:
``(B)(i) $101,800,000 of the amounts made available under
section 5338(b)(4) shall be allocated for the Bus Transit
Equity Subaccount established under paragraph (7); and
``(ii) the remaining amounts made available under section
5338(b)(4) shall be allocated for capital projects for buses
and bus-related equipment and facilities.
``(3) Fixed guideway modernization.--The amounts made
available for fixed guideway modernization under section
5338(b)(2)(K) for fiscal year 2005 and each fiscal year
thereafter shall be allocated in accordance with section
5337.
``(4) Preliminary engineering.--Not more that 8 percent of
the allocation described in paragraphs (1)(A) and (2)(A) may
be expended on preliminary engineering.
``(5) Funding for ferry boats.--Of the amounts described in
paragraphs (1)(A) and (2)(A), $10,400,000 shall be available
in each of the fiscal years 2004 through 2009 for capital
projects in Alaska and Hawaii for new fixed guideway systems
and extension projects utilizing ferry boats, ferry boat
terminals, or approaches to ferry boat terminals.
``(6) Bus and bus facility grants.--
``(A) Considerations.--In making grants under paragraphs
(1)(C) and (2)(B), the Secretary shall consider the age and
condition of buses, bus fleets, related equipment, and bus-
related facilities.
``(B) Projects not in urbanized areas.--Of the amounts made
available under paragraphs (1)(C) and (2)(B), not less than
5.5 percent shall be available in each fiscal year for
projects that are not in urbanized areas.
``(C) Intermodal terminals.--Of the amounts made available
under paragraphs (1)(C) and (2)(B), not less than $75,000,000
shall be available in each fiscal year for intermodal
terminal projects, including the intercity bus portion of
such projects.
``(7) Bus transit equity subaccount.--
``(A) Establishment.--There is established a Bus Transit
Equity Subaccount within the Mass Transit Account of the
Highway Trust Fund.
``(B) Eligibility.--Any of the 50 States shall be eligible
for funding under the Bus Transit Equity Subaccount if the
State--
``(i) is otherwise scheduled to receive under sections
5303, 5307, 5309, 5310, 5311, 5313(b), 5336, and 5340 for
fiscal years 2004 through 2009, an amount that is less than
175 percent of the amount the State received under sections
5303, 5307, 5309, 5310, 5311, 5313(b), and 5336 for fiscal
years 1998 through 2003; and
``(ii) received less than 1.25 percent of the total amount
allocated to the 50 States in fiscal year 2002 for fixed
guideways modernization and new starts.
``(C) Allocation.--Each eligible State under subparagraph
(B) shall be allocated from the Bus Transit Equity
Subaccount, for each of the fiscal years 2005 through 2009,
an amount that is equal to 20 percent of the difference
between the amount the State is otherwise scheduled to
receive under sections 5303, 5307, 5309, 5310, 5311, 5313(b),
5336, and 5340 for fiscal years 2004 through 2009, and the
amount which is equal to 175 percent of the amount the State
received under sections 5303, 5307, 5309, 5310, 5311,
5313(b), and 5336 for fiscal years 1998 through 2003.''.
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Senate amendment submitted
February 11, 2004
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1 amendmentOffered to this amendment