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TEA-21 - Transportation Equity Act for the
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TITLE I--FEDERAL-AID HIGHWAYS Subtitle A--Authorizations and Programs SEC. 1101. AUTHORIZATION OF APPROPRIATIONS. (a) In General.--The following sums are authorized to be appropriated out of the Highway Trust Fund (other than the Mass Transit Account): (1) Interstate maintenance program.--For the Interstate maintenance program under section 119 of title 23, United States Code, $3,427,341,000 for fiscal year 1998, $3,957,103,000 for fiscal year 1999, $3,994,524,000 for fiscal year 2000, $4,073,322,000 for fiscal year 2001, $4,139,630,000 for fiscal year 2002, and $4,217,635,000 for fiscal year 2003. (2) National highway system.--For the National Highway System under section 103 of such title $4,112,480,000 for fiscal year 1998, $4,748,523,000 for fiscal year 1999, $4,793,429,000 for fiscal year 2000, $4,887,986,000 for fiscal year 2001, $4,967,556,000 for fiscal year 2002, and $5,061,162,000 for fiscal year 2003. (3) Bridge program.--For the bridge program under section 144 of such title $2,941,454,000 for fiscal year 1998, $3,395,354,000 for fiscal year 1999, $3,427,472,000 for fiscal year 2000, $3,495,104,000 for fiscal year 2001, $3,552,016,000 for fiscal year 2002, and $3,618,966,000 for fiscal year 2003. (4) Surface transportation program.--For the surface transportation program under section 133 of such title $4,797,620,000 for fiscal year 1998, $5,539,944,000 for fiscal year 1999, $5,592,333,000 for fiscal year 2000, $5,702,651,000 for fiscal year 2001, $5,795,482,000 for fiscal year 2002, and $5,904,689,000 for fiscal year 2003. (5) Congestion mitigation and air quality improvement program.--For the congestion mitigation and air quality improvement program under section 149 of such title $1,192,619,000 for fiscal year 1998, $1,345,415,000 for fiscal year 1999, $1,358,138,000 for fiscal year 2000, $1,384,930,000 for fiscal year 2001, $1,407,474,000 for fiscal year 2002, and $1,433,996,000 for fiscal year 2003. (6) Appalachian development highway system program.--For the Appalachian development highway system program under section 201 of the Appalachian Regional Development Act of 1965 (40 U.S.C. App.) $450,000,000 for each of fiscal years 1999 through 2003. (7) Recreational trails program.--For the recreational trails program under section 206 of such title $30,000,000 for fiscal year 1998, $40,000,000 for fiscal year 1999, and $50,000,000 for each of fiscal years 2000 through 2003. (8) Federal lands highways program.-- (A) Indian reservation roads.--For Indian reservation roads under section 204 of such title $225,000,000 for fiscal year 1998 and $275,000,000 for each of fiscal years 1999 through 2003. (B) Public lands highways.--For public lands highways under section 204 of such title $196,000,000 for fiscal year 1998 and $246,000,000 for each of fiscal years 1999 through 2003. (C) Park roads and parkways.--For park roads and parkways under section 204 of such title $115,000,000 for fiscal year 1998 and $165,000,000 for each of fiscal years 1999 through 2003. (D) Refuge roads.--For refuge roads under section 204 of such title $20,000,000 for each of fiscal years 1999 through 2003. (9) National corridor planning and development and coordinated border infrastructure programs.--For the national corridor planning and development and coordinated border infrastructure programs under sections 1118 and 1119 of this Act $140,000,000 for each of fiscal years 1999 through 2003. (10) Construction of ferry boats and ferry terminal facilities.--For construction of ferry boats and ferry terminal facilities under section 1064 of the Intermodal Surface Transportation Efficiency Act of 1991 (23 U.S.C. 129 note; 105 Stat. 2005) $30,000,000 for each of fiscal year 1998 and $38,000,000 for each of fiscal years 1999 through 2003. (11) National scenic byways program.--For the national scenic byways program under section 162 of title 23, United States Code, $23,500,000 for each of fiscal years 1998 and 1999, $24,500,000 for each of fiscal years 2000 and 2001, and $25,500,000 for fiscal year 2002, and $26,500,000 for fiscal year 2003. (12) Value pricing pilot program.--For the value pricing pilot program under section 1012(b) of the Intermodal Surface Transportation Efficiency Act of 1991 (23 U.S.C. 149 note; 105 Stat. 1938) $7,000,000 for fiscal year 1999, and $11,000,000 for each of fiscal years 2000 through 2003. (13) High priority projects program.--For the high priority projects program under section 117 of title 23, United States Code, $1,025,695,000 for fiscal year 1998, $1,398,675,000 for fiscal year 1999, $1,678,410,000 for fiscal year 2000, $1,678,410,000 for fiscal year 2001, $1,771,655,000 for fiscal year 2002, and $1,771,655,000 for fiscal year 2003. (14) Highway use tax evasion projects.--For highway use tax evasion projects under section 143 of such title $5,000,000 for each of fiscal years 1998 through 2003. (15) Commonwealth of puerto rico highway program.--For the Commonwealth of Puerto Rico highway program under section 1214(r) of this Act $110,000,000 for fiscal years 1998 through 2003. (b) Disadvantaged Business Enterprises.-- <<NOTE: 23 USC 101 note.>> (1) General rule.--Except to the extent that the Secretary determines otherwise, not less than 10 percent of the amounts made available for any program under titles I, III, and V of this Act shall be expended with small business concerns owned and controlled by socially and economically disadvantaged individuals. (2) Definitions.--In this subsection, the following definitions apply: (A) Small business concern.--The term ``small business concern'' has the meaning such term has under section 3 of the Small Business Act (15 U.S.C. 632); except that such term shall not include any concern or group of concerns controlled by the same socially and economically disadvantaged individual or individuals which has average annual gross receipts over the preceding 3 fiscal years in excess of $16,600,000, as adjusted by the Secretary for inflation. (B) Socially and economically disadvantaged individuals.--The term ``socially and economically disadvantaged individuals'' has the meaning such term has under section 8(d) of the Small Business Act (15 U.S.C. 637(d)) and relevant subcontracting regulations promulgated pursuant thereto; except that women shall be presumed to be socially and economically disadvantaged individuals for purposes of this subsection. (3) <<NOTE: Notification.>> Annual listing of disadvantaged business enterprises.--Each State shall annually survey and compile a list of the small business concerns referred to in paragraph (1) and the location of such concerns in the State and notify the Secretary, in writing, of the percentage of such concerns which are controlled by women, by socially and economically disadvantaged individuals (other than women), and by individuals who are women and are otherwise socially and economically disadvantaged individuals. (4) Uniform certification.--The Secretary shall establish minimum uniform criteria for State governments to use in certifying whether a concern qualifies for purposes of this subsection. Such minimum uniform criteria shall include, but not be limited to on-site visits, personal interviews, licenses, analysis of stock ownership, listing of equipment, analysis of bonding capacity, listing of work completed, resume of principal owners, financial capacity, and type of work preferred. (5) Compliance with court orders.--Nothing in this subsection limits the eligibility of an entity or person to receive funds made available under titles I, III, and V of this Act, if the entity or person is prevented, in whole or in part, from complying with paragraph (1) because a Federal court issues a final order in which the court finds that the requirement of paragraph (1), or the program established under paragraph (1), is unconstitutional. (6) <<NOTE: Reports.>> Review by comptroller general.--Not later than 3 years after the date of enactment of this Act, the Comptroller General of the United States shall conduct a review of, and publish and report to Congress findings and conclusions on, the impact throughout the United States of administering the requirement of paragraph (1), including an analysis of-- (A) in the case of small business concerns certified in each State under paragraph (4) as owned and controlled by socially and economically disadvantaged individuals-- (i) the number of the small business concerns; and (ii) the participation rates of the small business concerns in prime contracts and subcontracts funded under titles I, III, and V of this Act; (B) in the case of small business concerns described in subparagraph (A) that receive prime contracts and subcontracts funded under titles I, III, and V of this Act-- (i) the number of the small business concerns; (ii) the annual gross receipts of the small business concerns; and (iii) the net worth of socially and economically disadvantaged individuals that own and control the small business concerns; (C) in the case of small business concerns described in subparagraph (A) that do not receive prime contracts and subcontracts funded under titles I, III, and V of this Act-- (i) the annual gross receipts of the small business concerns; and (ii) the net worth of socially and economically disadvantaged individuals that own and control the small business concerns; (D) in the case of business concerns that receive prime contracts and subcontracts funded under titles I, III, and V of this Act, other than small business concerns described in subparagraph (B)-- (i) the annual gross receipts of the business concerns; and (ii) the net worth of individuals that own and control the business concerns; (E) the rate of graduation from any programs carried out to comply with the requirement of paragraph (1) for small business concerns owned and controlled by socially and economically disadvantaged individuals; (F) the overall cost of administering the requirement of paragraph (1), including administrative costs, certification costs, additional construction costs, and litigation costs; (G) any discrimination on the basis of race, color, national origin, or sex against small business concerns owned and controlled by socially and economically disadvantaged individuals; (H)(i) any other factors limiting the ability of small business concerns owned and controlled by socially and economically disadvantaged individuals to compete for prime contracts and subcontracts funded under titles I, III, and V of this Act; and (ii) the extent to which any of those factors are caused, in whole or in part, by discrimination based on race, color, national origin, or sex; (I) any discrimination, on the basis of race, color, national origin, or sex, against construction companies owned and controlled by socially and economically disadvantaged individuals in public and private transportation contracting and the financial, credit, insurance, and bond markets; (J) the impact on small business concerns owned and controlled by socially and economically disadvantaged individuals of-- (i) the issuance of a final order described in paragraph (5) by a Federal court that suspends a program established under paragraph (1); or (ii) the repeal or suspension of State or local disadvantaged business enterprise programs; and (K) the impact of the requirement of paragraph (1), and any program carried out to comply with paragraph (1), on competition and the creation of jobs, including the creation of jobs for socially and economically disadvantaged individuals. SEC. 1102. OBLIGATION CEILING. <<NOTE: 23 USC 104 note.>> (a) General Limitation.--Notwithstanding any other provision of law but subject to subsections (g) and (h), the obligations for Federal-aid highway and highway safety construction programs shall not exceed-- (1) $21,500,000,000 for fiscal year 1998; (2) $25,431,000,000 for fiscal year 1999; (3) $26,155,000,000 for fiscal year 2000; (4) $26,651,000,000 for fiscal year 2001; (5) $27,235,000,000 for fiscal year 2002; and (6) $27,681,000,000 for fiscal year 2003. (b) Exceptions.--The limitations under subsection (a) shall not apply to obligations-- (1) under section 125 of title 23, United States Code; (2) under section 147 of the Surface Transportation Assistance Act of 1978; (3) under section 9 of the Federal-Aid Highway Act of 1981; (4) under sections 131(b) and 131(j) of the Surface Transportation Assistance Act of 1982; (5) under sections 149(b) and 149(c) of the Surface Transportation and Uniform Relocation Assistance Act of 1987; (6) under sections 1103 through 1108 of the Intermodal Surface Transportation Efficiency Act of 1991; (7) under section 157 of title 23, United States Code, as in effect on the day before the date of enactment of this Act; and (8) under section 105 of title 23, United States Code (but, for each of fiscal years 1998 through 2007), only in an amount equal to $639,000,000 per fiscal year. (c) Distribution of Obligation Authority.--For each of fiscal years 1998 through 2003, the Secretary shall-- (1) not distribute obligation authority provided by subsection (a) for such fiscal year for amounts authorized for administrative expenses and programs funded from the administrative takedown authorized by section 104(a) of title 23, United States Code, and amounts authorized for the highway use tax evasion program and the Bureau of Transportation Statistics; (2) not distribute an amount of obligation authority provided by subsection (a) that is equal to the unobligated balance of amounts made available from the Highway Trust Fund (other than the Mass Transit Account) for Federal-aid highway and highway safety programs for previous fiscal years the funds for which are allocated by the Secretary; (3) determine the ratio that-- (A) the obligation authority provided by subsection (a) for such fiscal year less the aggregate of amounts not distributed under paragraphs (1) and (2), bears to (B) the total of the sums authorized to be appropriated for Federal-aid highway and highway safety construction programs (other than sums authorized to be appropriated for sections set forth in paragraphs (1) through (7) of subsection (b) and sums authorized to be appropriated for section 105 of title 23, United States Code, equal to the amount referred to in subsection (b)(8)) for such fiscal year less the aggregate of the amounts not distributed under paragraph (1) of this subsection; (4) distribute the obligation authority provided by subsection (a) less the aggregate amounts not distributed under paragraphs (1) and (2) for section 117 of title 23, United States Code (relating to high priority projects program), section 201 of the Appalachian Regional Development Act of 1965, the Woodrow Wilson Memorial Bridge Authority Act of 1995, and $2,000,000,000 for such fiscal year under section 105 of such title (relating to minimum guarantee) so that amount of obligation authority available for each of such sections is equal to the amount determined by multiplying the ratio determined under paragraph (3) by the sums authorized to be appropriated for such section (except in the case of section 105, $2,000,000,000) for such fiscal year; (5) distribute the obligation authority provided by subsection (a) less the aggregate amounts not distributed under paragraphs (1) and (2) and amounts distributed under paragraph (4) for each of the programs that are allocated by the Secretary under this Act and title 23, United States Code (other than activities to which paragraph (1) applies and programs to which paragraph (4) applies) by multiplying the ratio determined under paragraph (3) by the sums authorized to be appropriated for such program for such fiscal year; and (6) distribute the obligation authority provided by subsection (a) less the aggregate amounts not distributed under paragraphs (1) and (2) and amounts distributed under paragraphs (4) and (5) for Federal-aid highway and highway safety construction programs (other than the minimum guarantee program, but only to the extent that amounts apportioned for the minimum guarantee program for such fiscal year exceed $2,639,000,000, and the Appalachian development highway system program) that are apportioned by the Secretary under this Act and title 23, United States Code, in the ratio that-- (A) sums authorized to be appropriated for such programs that are apportioned to each State for such fiscal year, bear to (B) the total of the sums authorized to be appropriated for such programs that are apportioned to all States for such fiscal year. (d) Redistribution of Unused Obligation Authority.--Notwithstanding subsection (c), the Secretary shall after August 1 of each of fiscal years 1998 through 2003 revise a distribution of the obligation authority made available under subsection (c) if a State will not obligate the amount distributed during that fiscal year and redistribute sufficient amounts to those States able to obligate amounts in addition to those previously distributed during that fiscal year giving priority to those States having large unobligated balances of funds apportioned under sections 104 and 144 of title 23, United States Code, under section 160 of title 23, United States Code (as in effect on the day before the date of enactment of this Act), and under section 1015 of the Intermodal Surface Transportation Act of 1991 (105 Stat. 1943-1945). (e) Applicability of Obligation Limitations to Transportation Research Programs.--Obligation limitations imposed by subsection (a) shall apply to transportation research programs carried out under chapter 3 of title 23, United States Code, and under title VI of this Act. (f) Redistribution of Certain Authorized Funds.--Not later than 30 days after the date of the distribution of obligation authority under subsection (c) for each of fiscal years 1998 through 2003, the Secretary shall distribute to the States any funds (1) that are authorized to be appropriated for such fiscal year for Federal-aid highway programs (other than the program under section 160 of title 23, United States Code) and for carrying out subchapter I of chapter 311 of title 49, United States Code, and chapter 4 of title 23, United States Code, and (2) that the Secretary determines will not be allocated to the States, and will not be available for obligation, in such fiscal year due to the imposition of any obligation limitation for such fiscal year. Such distribution to the States shall be made in the same ratio as the distribution of obligation authority under subsection (c)(6). The funds so distributed shall be available for any purposes described in section 133(b) of title 23, United States Code. (g) Special Rule.--Obligation authority distributed for a fiscal year under subsection (c)(4) for a section set forth in subsection (c)(4) shall remain available until used for obligation of funds for such section and shall be in addition to the amount of any limitation imposed on obligations for Federal-aid highway and highway safety construction programs for future fiscal years. (h) Increase in Obligation Limit.--Limitations on obligations imposed by subsection (a) for a fiscal year shall be increased by an amount equal to the amount determined pursuant to section 251(b)(1)(B)(ii)(I)(cc) of the Balanced Budget and Emergency Deficit Control Act of 1985 (2 U.S.C. 901(b)(2)(B)(ii)(I)(cc)) for such fiscal year. Any such increase shall be distributed in accordance with this section. (i) Limitations on Obligations for Administrative Expenses.-- Notwithstanding any other provision of law, the total amount of all obligations under section 104(a) of title 23, United States Code, shall not exceed-- (1) $320,000,000 for fiscal year 1998; (2) $350,000,000 for fiscal year 1999; (3) $370,000,000 for fiscal year 2000; (4) $390,000,000 for fiscal year 2001; (5) $410,000,000 for fiscal year 2002; and (6) $430,000,000 for fiscal year 2003. SEC. 1103. APPORTIONMENTS. (a) Administrative Expenses.--Section 104 of title 23, United States Code, is amended by striking subsection (a) and inserting the following: ``(a) Administrative Expenses.-- ``(1) In general.--Whenever an apportionment is made of the sums made available for expenditure on each of the surface transportation program under section 133, the bridge program under section 144, the congestion mitigation and air quality improvement program under section 149, the Interstate and National Highway System program under section 103, the minimum guarantee program under section 105, the Federal lands highway program under section 204, or the Appalachian development highway system program under section 201 of the Appalachian Regional Development Act of 1965 (40 U.S.C. App.), the Secretary shall deduct a sum, in an amount not to exceed 1\1/2\ percent of all sums so made available, as the Secretary determines necessary-- ``(A) to administer the provisions of law to be financed from appropriations for the Federal-aid highway program and programs authorized under chapter 2; and ``(B) to make transfers of such sums as the Secretary determines to be appropriate to the Appalachian Regional Commission for administrative activities associated with the Appalachian development highway system. ``(2) Consideration of unobligated balances.--In making the determination described in paragraph (1), the Secretary shall take into account the unobligated balance of any sums deducted under this subsection in prior fiscal years. ``(3) Availability.--The sum deducted under paragraph (1) shall remain available until expended.''. (b) Apportionments.--Section 104(b) of such title <<NOTE: 23 USC 104.>> is amended to read as follows: ``(b) Apportionments.--On October 1 of each fiscal year, the Secretary, after making the deduction authorized by subsection (a) and the set-aside authorized by subsection (f), shall apportion the remainder of the sums authorized to be appropriated for expenditure on the Interstate and National Highway System program, the Congestion Mitigation and Air Quality Improvement program, and the Surface Transportation program for that fiscal year, among the several States in the following manner: ``(1) National highway system component.-- ``(A) In general.--For the National Highway System (excluding funds apportioned under paragraph (4)), $36,400,000 for each fiscal year to the Virgin Islands, Guam, American Samoa, and the Commonwealth of Northern Mariana Islands, $18,800,000 for each of fiscal years 1999 through 2003 for the Alaska Highway, and the remainder apportioned as follows: ``(i) 25 percent in the ratio that-- ``(I) the total lane miles of principal arterial routes (excluding Interstate System routes) in each State; bears to ``(II) the total lane miles of principal arterial routes (excluding Interstate System routes) in all States. ``(ii) 35 percent in the ratio that-- ``(I) the total vehicle miles traveled on lanes on principal arterial routes (excluding Interstate System routes) in each State; bears to ``(II) the total vehicle miles traveled on lanes on principal arterial routes (excluding Interstate System routes) in all States. ``(iii) 30 percent in the ratio that-- ``(I) the total diesel fuel used on highways in each State; bears to ``(II) the total diesel fuel used on highways in all States. ``(iv) 10 percent in the ratio that-- ``(I) the quotient obtained by dividing the total lane miles on principal arterial highways in each State by the total population of the State; bears to ``(II) the quotient obtained by dividing the total lane miles on principal arterial highways in all States by the total population of all States. ``(B) Minimum apportionment.--Notwithstanding subparagraph (A) and paragraph (4), each State shall receive a minimum of \1/2\ of 1 percent of the funds apportioned under subparagraph (A) and paragraph (4). ``(2) Congestion mitigation and air quality improvement program.-- ``(A) In general.--For the congestion mitigation and air quality improvement program, in the ratio that-- ``(i) the total of all weighted nonattainment and maintenance area populations in each State; bears to ``(ii) the total of all weighted nonattainment and maintenance area populations in all States. ``(B) Calculation of weighted nonattainment and maintenance area population.--Subject to subparagraph (C), for the purpose of subparagraph (A), the weighted nonattainment and maintenance area population shall be calculated by multiplying the population of each area in a State that was a nonattainment area or maintenance area as described in section 149(b) for ozone or carbon monoxide by a factor of-- ``(i) 0.8 if-- ``(I) at the time of the apportionment, the area is a maintenance area; or ``(II) at the time of the apportionment, the area is classified as a submarginal ozone nonattainment area under the Clean Air Act (42 U.S.C. 7401 et seq.); ``(ii) 1.0 if, at the time of the apportionment, the area is classified as a marginal ozone nonattainment area under subpart 2 of part D of title I of the Clean Air Act (42 U.S.C. 7511 et seq.); ``(iii) 1.1 if, at the time of the apportionment, the area is classified as a moderate ozone nonattainment area under such subpart; ``(iv) 1.2 if, at the time of the apportionment, the area is classified as a serious ozone nonattainment area under such subpart; ``(v) 1.3 if, at the time of the apportionment, the area is classified as a severe ozone nonattainment area under such subpart; ``(vi) 1.4 if, at the time of the apportionment, the area is classified as an extreme ozone nonattainment area under such subpart; or ``(vii) 1.0 if, at the time of the apportionment, the area is not a nonattainment or maintenance area as described in section 149(b) for ozone, but is classified under subpart 3 of part D of title I of such Act (42 U.S.C. 7512 et seq.) as a nonattainment area described in section 149(b) for carbon monoxide. ``(C) Additional adjustment for carbon monoxide areas.-- ``(i) Carbon monoxide nonattainment areas.-- If, in addition to being classified as a nonattainment or maintenance area for ozone, the area was also classified under subpart 3 of part D of title I of such Act (42 U.S.C. 7512 et seq.) as a nonattainment area described in section 149(b) for carbon monoxide, the weighted nonattainment or maintenance area population of the area, as determined under clauses (i) through (vi) of subparagraph (B), shall be further multiplied by a factor of 1.2. ``(ii) Carbon monoxide maintenance areas.--If, in addition to being classified as a nonattainment or maintenance area for ozone, the area was at one time also classified under subpart 3 of part D of title I of such Act (42 U.S.C. 7512 et seq.) as a nonattainment area described in section 149(b) for carbon monoxide but has been redesignated as a maintenance area, the weighted nonattainment or maintenance area population of the area, as determined under clauses (i) through (vi) of subparagraph (B), shall be further multiplied by a factor of 1.1. ``(D) Minimum apportionment.--Notwithstanding any other provision of this paragraph, each State shall receive a minimum of \1/2\ of 1 percent of the funds apportioned under this paragraph. ``(E) Determinations of population.--In determining population figures for the purposes of this paragraph, the Secretary shall use the latest available annual estimates prepared by the Secretary of Commerce. ``(3) Surface transportation program.-- ``(A) In general.--For the surface transportation program, in accordance with the following formula: ``(i) 25 percent of the apportionments in the ratio that-- ``(I) the total lane miles of Federal-aid highways in each State; bears to ``(II) the total lane miles of Federal-aid highways in all States. ``(ii) 40 percent of the apportionments in the ratio that-- ``(I) the total vehicle miles traveled on lanes on Federal-aid highways in each State; bears to ``(II) the total vehicle miles traveled on lanes on Federal-aid highways in all States. ``(iii) 35 percent of the apportionments 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. ``(B) Minimum apportionment.--Notwithstanding subparagraph (A), each State shall receive a minimum of \1/2\ of 1 percent of the funds apportioned under this paragraph. ``(4) Interstate maintenance component.--For resurfacing, restoring, rehabilitating, and reconstructing the Interstate System-- ``(A) 33\1/3\ percent in the ratio that-- ``(i) the total lane miles on Interstate System routes open to traffic in each State; bears to ``(ii) the total of all such lane miles in all States; ``(B) 33\1/3\ percent in the ratio that-- ``(i) the total vehicle miles traveled on lanes on Interstate System routes designated under-- ``(I) section 103; ``(II) section 139(a) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century) before March 9, 1984 (other than routes on toll roads not subject to a Secretarial agreement under section 105 of the Federal-Aid Highway Act of 1978 (92 Stat. 2692)); and ``(III) section 139(c) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century); in each State; bears to ``(ii) the total of all such vehicle miles traveled in all States; and ``(C) 33\1/3\ percent in the ratio that-- ``(i) the total of each State's annual contributions to the Highway Trust Fund (other than the Mass Transit Account) attributable to commercial vehicles; bears to ``(ii) the total of such annual contributions by all States. (c) Operation Lifesaver and High Speed Rail Corridors.--Section 104(d) of such title <<NOTE: 23 USC 104.>> is amended-- (1) in paragraph (1) by striking ``The'' and all that follows through ``$300,000 for each'' and inserting ``Before making an apportionment under subsection (b)(3) of this section for a fiscal year, the Secretary shall set aside $500,000 for such''; and (2) by striking paragraphs (2) and (3) and inserting the following: ``(2) Railway-highway crossing hazard elimination in high speed rail corridors.-- ``(A) In general.--Before making an apportionment of funds under subsection (b)(3) for a fiscal year, the Secretary shall set aside $5,250,000 of the funds made available for the surface transportation program for the fiscal year for elimination of hazards of railway- highway crossings. ``(B) Eligible corridors.--Subject to subparagraph (E), funds made available under subparagraph (A) shall be expended for projects in-- ``(i) 5 railway corridors selected by the Secretary in accordance with this subsection (as in effect on the day before the date of enactment of this clause); ``(ii) 3 railway corridors selected by the Secretary in accordance with subparagraphs (C) and (D); ``(iii) a Gulf Coast high speed railway corridor (as designated by the Secretary); ``(iv) a Keystone high speed railway corridor from Philadelphia to Harrisburg, Pennsylvania; and ``(v) an Empire State railway corridor from New York City to Albany to Buffalo, New York. ``(C) Required inclusion of high speed rail lines.-- A corridor selected by the Secretary under subparagraph (B) shall include rail lines where railroad speeds of 90 miles or more per hour are occurring or can reasonably be expected to occur in the future. ``(D) Considerations in corridor selection.--In selecting corridors under subparagraph (B), the Secretary shall consider-- ``(i) projected rail ridership volume in each corridor; ``(ii) the percentage of each corridor over which a train will be capable of operating at its maximum cruise speed taking into account such factors as topography and other traffic on the line; ``(iii) projected benefits to nonriders such as congestion relief on other modes of transportation serving each corridor (including congestion in heavily traveled air passenger corridors); ``(iv) the amount of State and local financial support that can reasonably be anticipated for the improvement of the line and related facilities; and ``(v) the cooperation of the owner of the right-of-way that can reasonably be expected in the operation of high speed rail passenger service in each corridor. ``(E) Certain improvements.--Not less than $250,000 of such set-aside shall be available per fiscal year for eligible improvements to the Minneapolis/St. Paul- Chicago segment of the Midwest High Speed Rail Corridor. ``(F) Authorization of appropriations.--There is authorized to be appropriated $15,000,000 for each of fiscal years 1999 through 2003 to carry out this subsection.''. (d) Certification of Apportionments.--Section 104(e) of such title is amended-- <<NOTE: 23 USC 104.>> (1) by inserting ``Certification of Apportionments.--'' after ``(e)''; (2) by inserting ``(1) In general.--'' before ``On October 1''; (3) by striking the first parenthetical phrase; (4) by striking ``and research'' the first place it appears; (5) by striking the second sentence; (6) by adding at the end the following: ``(2) Notice to states.--If the Secretary has not made an apportionment under section 104, 144, or 157 by the 21st day of a fiscal year beginning after September 30, 1998, the Secretary shall transmit, by such 21st day, to the Committee on Transportation and Infrastructure of the House of Representatives and the Committee on Environment and Public Works of the Senate a written statement of the reason for not making such apportionment in a timely manner.''; and (7) by indenting paragraph (1) (as designated by paragraph (2) of this subsection) and aligning such paragraph (1) with paragraph (2) of such section (as added by paragraph (6) of this subsection). (e) Metropolitan Planning Set-Aside.--Section 104(f) of such title is amended-- (1) in paragraph (1) by striking ``Interstate construction and Interstate substitute programs'' and inserting ``recreational trails program''; and (2) in paragraph (3) by striking ``120(j) of this title'' and inserting ``120(b)''. (f) Recreational Trails Program.--Section 104(h) of such title is amended to read as follows: ``(h) Recreational Trails Program.-- ``(1) Administrative costs.--Whenever an apportionment is made of the sums authorized to be appropriated to carry out the recreational trails program under section 206, the Secretary shall deduct an amount, not to exceed 1\1/2\ percent of the sums authorized, to cover the cost to the Secretary for administration of and research and technical assistance under the recreational trails program and for administration of the National Recreational Trails Advisory Committee. The Secretary may enter into contracts with for-profit organizations or contracts, partnerships, or cooperative agreements with other government agencies, institutions of higher learning, or nonprofit organizations to perform these tasks. ``(2) Apportionment to the states.--After making the deduction authorized by paragraph (1) of this subsection, the Secretary shall apportion the remainder of the sums authorized to be appropriated for expenditure on the recreational trails program for each fiscal year, among the States in the following manner: ``(A) 50 percent of that amount shall be apportioned equally among eligible States. ``(B) 50 percent of that amount shall be apportioned among eligible States in amounts proportionate to the degree of non-highway recreational fuel use in each of those States during the preceding year. ``(3) Eligible state defined.--In this section, the term `eligible State' means a State that meets the requirements of section 206(c).''. (g) Audits of Highway Trust Fund.--Section 104 of such title is amended <<NOTE: 23 USC 104.>> by striking subsection (i) and inserting the following: ``(i) Audits of Highway Trust Fund.--From administrative funds deducted under subsection (a), the Secretary may reimburse the Office of Inspector General of the Department of Transportation for the conduct of annual audits of financial statements in accordance with section 3521 of title 31.''. (h) Report on Obligations.--Section 104 of such title is amended by striking subsection (j) and inserting the following: ``(j) Report to Congress.--The Secretary shall submit to Congress a report for each fiscal year on-- ``(1) the amount obligated, by each State, for Federal-aid highways and highway safety construction programs during the preceding fiscal year; ``(2) the balance, as of the last day of the preceding fiscal year, of the unobligated apportionment of each State by fiscal year under this section and sections 105 and 144; ``(3) the balance of unobligated sums available for expenditure at the discretion of the Secretary for such highways and programs for the fiscal year; and ``(4) the rates of obligation of funds apportioned or set aside under this section and sections 105, 133, and 144, according to-- ``(A) program; ``(B) funding category or subcategory; ``(C) type of improvement; ``(D) State; and ``(E) sub-State geographic area, including urbanized and rural areas, on the basis of the population of each such area.''. (i) Transfer of Highway and Transit Funds.--Section 104 of such title is amended <<NOTE: 23 USC 104.>> by inserting after subsection (j) the following: ``(k) Transfer of Highway and Transit Funds.-- ``(1) Transfer of highway funds.--Funds made available under this title and transferred for transit projects of a type described in section 133(b)(2) shall be administered by the Secretary in accordance with chapter 53 of title 49, except that the provisions of this title relating to the non-Federal share shall apply to the transferred funds. ``(2) Transfer of transit funds.--Funds made available under chapter 53 of title 49 and transferred for highway projects shall be administered by the Secretary in accordance with this title, except that the provisions of such chapter relating to the non-Federal share shall apply to the transferred funds. ``(3) Transfer of obligation authority.--Obligation authority provided for projects described in paragraphs (1) and (2) shall be transferred in the same manner and amount as the funds for the projects are transferred.''. (j) Effect of Certain Delay in Deposits Into Highway Trust Fund.-- Section 104 of such title is amended by adding at the end the following: ``(l) Effect of Certain Delay in Deposits Into Highway Trust Fund.-- Notwithstanding any other provision of law, deposits into the Highway Trust Fund resulting from the application of section 901(e) of the Taxpayer Relief Act of 1997 (111 Stat. 872) shall not be taken into account in determining the apportionments and allocations that any State shall be entitled to receive under the Transportation Equity Act for the 21st Century and this title.''. (k) Technical Amendments.--Section 104(f) of such title is amended-- (1) by striking ``(f)(1) On'' and inserting the following: ``(f) Metropolitan Planning.-- ``(1) Set-aside.--On''; (2) in paragraph (1) by striking ``, except that'' and all that follows through ``programs''; (3) by striking ``(2) These'' and inserting the following: ``(2) Apportionment to states of set-aside funds.--These''; (4) by striking ``(3) The'' and inserting the following: ``(3) Use of funds.--The''; (5) by striking ``(4) The'' and inserting the following: ``(4) Distribution of funds within states.--The''; and (6) by aligning the remainder of the text of each of paragraphs (1) through (4) with paragraph (5). (l) Conforming Amendments.-- (1) Section 146(a) of such title is amended in the first sentence by striking ``, 104(b)(2), and 104(b)(6)'' and inserting ``and 104(b)(3)''. (2) Section 158 of such title is amended-- (A) in subsection (a)-- (i) by striking paragraph (1); (ii) by redesignating paragraphs (2) and (3) as paragraphs (1) and (2), respectively; (iii) in paragraph (1) (as so redesignated)-- (I) by striking ``After the first year'' and inserting ``In general''; and (II) by striking ``104(b)(2), 104(b)(5), and 104(b)(6)'' and inserting ``104(b)(3), and 104(b)(4)''; and (iv) in paragraph (2) (as redesignated by clause (ii)) by striking ``paragraphs (1) and (2) of this subsection'' and inserting ``paragraph (1)''; and (B) by striking subsection (b) and inserting the following: ``(b) Effect of Withholding of Funds.--No funds withheld under this section from apportionment to any State after September 30, 1988, shall be available for apportionment to that State.''. (3)(A) Section 115(b)(1) of such title is amended <<NOTE: 23 USC 115.>> by striking ``104(b)(5)'' and inserting ``104(b)(4)''. (B) Section 137(f)(1) of such title is amended by striking ``section 104(b)(5)(B) of this title'' and inserting ``section 104(b)(4)''. (C) Section 141(c) of such title is amended by striking ``section 104(b)(5) of this title'' each place it appears and inserting ``section 104(b)(4)''. (D) Section 142(c) of such title is amended by striking ``(other than section 104(b)(5)(A))''. (E) Section 159 of such title is amended-- (i) by striking ``(5) of'' each place it appears and inserting ``(5) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century) of''; and (ii) in subsection (b)-- (I) in paragraphs (1)(A)(i) and (3)(A) by striking ``section 104(b)(5)(A)'' each place it appears and inserting ``section 104(b)(5)(A) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century)''; (II) in paragraph (1)(A)(ii) by striking ``section 104(b)(5)(B)'' and inserting ``section 104(b)(5)(B) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century)''; (III) in paragraph (3)(B) by striking ``(5)(B)'' and inserting ``(5)(B) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century)''; and (IV) in paragraphs (3) and (4) by striking ``section 104(b)(5)'' each place it appears and inserting ``section 104(b)(5) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century)''. (F) Section 161(a) of such title is amended by striking ``paragraphs (1), (3), and (5)(B) of section 104(b)'' each place it appears and inserting ``paragraphs (1), (3), and (4) of section 104(b)''. (4) Section 142(b) of such title is amended by striking ``paragraph (5) of subsection (b) of section 104 of this title'' and inserting ``section 104(b)(4)''. (m) <<NOTE: 23 USC 104 note.>> Adjustments for the Surface Transportation Extension Act of 1997.-- (1) In general.--Notwithstanding any other provision of law and subject to section 2(c) of the Surface Transportation Extension Act of 1997, the Secretary shall ensure that the total apportionments for a State (other than Massachusetts) for fiscal year 1998 made under the Transportation Equity Act for the 21st Century (including amendments made by such Act) shall be reduced by the amount apportioned to such State (other than Massachusetts) under section 1003(d)(1) of the Intermodal Surface Transportation Efficiency Act of 1991. (2) Repayment of transferred funds.--The Secretary shall ensure that any apportionments made to a State for fiscal year 1998 and adjusted under paragraph (1) shall first be used to restore in accordance with section 3(c) of the Surface Transportation Extension Act of 1997 any funds that a State transferred under section 3 of such Act. (3) Insufficient funds for repayment.--If a State has insufficient funds apportioned in fiscal year 1998 under the Transportation Equity Act for the 21st Century (including amendments made by such Act) to make the adjustment required by paragraph (1), then the Secretary shall make an adjustment to any funds apportioned to such State in fiscal year 1999. (4) Allocated programs.--Notwithstanding any other provision of law, amounts made available for fiscal year 1998 by the Transportation Equity Act for the 21st Century (including amendments made by such Act) for a program that is continued by both of sections 4, 5, 6, and 7 of the Surface Transportation Extension Act of 1997 (including amendments made by such sections) and the Transportation Equity Act for the 21st Century (including amendments made by such Act) shall be reduced by the amount made available by such sections 4, 5, 6, and 7 for such programs. (5) Treatment of STEA obligation authority.--The amount of obligation authority made available under section 2(e) of the Surface Transportation Extension Act of 1997 shall be considered to be an amount of obligation authority made available for fiscal year 1998 under section 1102(a) of this Act. (n) <<NOTE: 23 USC 101 note.>> State Defined.--For the purposes of apportioning funds under sections 104, 105, 144, and 206, the term ``State'' means any of the 50 States and the District of Columbia. SEC. 1104. MINIMUM GUARANTEE. (a) In General.--Section 105 of title 23, United States Code, is amended to read as follows: ``Sec. 105. Minimum guarantee ``(a) General Rule.--For each of fiscal years 1998 through 2003, the Secretary shall allocate among the States amounts sufficient to ensure that each State's percentage of the total apportionments for such fiscal year of Interstate maintenance, national highway system, bridge, congestion mitigation and air quality improvement, surface transportation, metropolitan planning, minimum guarantee, high priority projects, Appalachian development highway system, and recreational trails programs shall equal the percentage listed for each State in subsection (b). ``(b) State Percentages.--The percentage for each State referred to in subsection (a) shall be determined in accordance with the following table: ``States: Percentage Alabama................................................. 2.0269 Alaska.................................................. 1.1915 Arizona................................................. 1.5581 Arkansas................................................ 1.3214 California.............................................. 9.1962 Colorado................................................ 1.1673 Connecticut............................................. 1.5186 Delaware................................................ 0.4424 District of Columbia.................................... 0.3956 Florida................................................. 4.6176 Georgia................................................. 3.5104 Hawaii.................................................. 0.5177 Idaho................................................... 0.7718 Illinois................................................ 3.3819 Indiana................................................. 2.3588 Iowa.................................................... 1.2020 Kansas.................................................. 1.1717 Kentucky................................................ 1.7365 Louisiana............................................... 1.5900 Maine................................................... 0.5263 Maryland................................................ 1.5087 Massachusetts........................................... 1.8638 Michigan................................................ 3.1535 Minnesota............................................... 1.4993 Mississippi............................................. 1.2186 Missouri................................................ 2.3615 Montana................................................. 0.9929 Nebraska................................................ 0.7768 Nevada.................................................. 0.7248 New Hampshire........................................... 0.5163 New Jersey.............................................. 2.5816 New Mexico.............................................. 0.9884 New York................................................ 5.1628 North Carolina.......................................... 2.8298 North Dakota............................................ 0.6553 Ohio.................................................... 3.4257 Oklahoma................................................ 1.5419 Oregon.................................................. 1.2183 Pennsylvania............................................ 4.9887 Rhode Island............................................ 0.5958 South Carolina.......................................... 1.5910 South Dakota............................................ 0.7149 Tennessee............................................... 2.2646 Texas................................................... 7.2131 Utah.................................................... 0.7831 Vermont................................................. 0.4573 Virginia................................................ 2.5627 Washington.............................................. 1.7875 West Virginia........................................... 1.1319 Wisconsin............................................... 1.9916 Wyoming................................................. 0.6951 ``(c) Treatment of Funds.-- ``(1) Programmatic distribution.--The Secretary shall apportion 50 percent of the amounts made available under this section that exceed $2,800,000,000 so that the amount apportioned to each State under this paragraph for each program referred to in subsection (a) (other than metropolitan planning, minimum guarantee, high priority projects, Appalachian development highway system, and recreational trails programs) 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 subsection (a) for a fiscal year; bears to ``(B) the total amount of funds apportioned to all States for such program for such fiscal year. ``(2) Remaining distribution.--The Secretary shall apportion the remainder of funds made available under this section to the States in accordance with section 104(b)(3); except that requirements of paragraphs (1), (2), and (3) of section 133(d) shall not apply to amounts apportioned pursuant to this paragraph. ``(d) Authorization.--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 1998 through 2003. ``(e) Special Rule.--If in any of fiscal years 1999 through 2003, the amount authorized under subsection (d) is more than 30 percent higher than the amount authorized under subsection (d) in fiscal year 1998, the Secretary shall use the apportionment factors under sections 104 and 144 as in effect on the date of enactment of this section. ``(f) Guarantee of 90.5 Return.-- ``(1) In general.--Before making any apportionment under this title for each of fiscal years 1999 through 2003, the Secretary, subject to paragraph (2), shall adjust the percentages in the table in subsection (b) to reflect the estimated percentage of 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 is available, to ensure that no State's return from such Trust Fund is less than 90.5 percent. ``(2) Eligibility threshold for initial adjustment.--The Secretary may make an adjustment under paragraph (1) for a State for a fiscal year only if the State's return from the Highway Trust Fund (other than the Mass Transit Account) for the preceding fiscal year was equal to or less than 90.5 percent. ``(3) Conforming adjustments.--After making any adjustments under paragraph (1) for a fiscal year, the Secretary shall adjust the remaining percentages in the table set forth in subsection (b) to ensure that the total of the percentages in the table do not exceed 100 percent for such fiscal year. ``(4) Limitation on adjustments.--After making any adjustments under paragraph (3) for a fiscal year, the Secretary shall determine whether or not any State's return from the Highway Trust Fund (other than the Mass Transit Account) is less than 90.5 percent as a result of such adjustments and shall adjust the percentages in the table for such fiscal year accordingly. Adjustments of the percentages in the table under this paragraph may not result in the total of such percentages exceeding 100 percent.''. (b) Conforming Amendment.--The analysis for chapter 1 of such title is amended by striking the item relating to section 105 and inserting the following: ``105. Minimum guarantee.''. SEC. 1105. REVENUE ALIGNED BUDGET AUTHORITY. (a) In General.--Chapter 1 of title 23, United States Code, is amended by striking section 110 and inserting the following: ``Sec. 110. Revenue aligned budget authority ``(a) Determination of Amount.--On October 15 of fiscal year 1999, and each fiscal year thereafter, the Secretary shall allocate an amount of funds equal to the amount determined pursuant to section 251(b)(1)(B)(I)(cc) of the Balanced Budget and Emergency Deficit Control Act of 1985 (2 U.S.C. 901(b)(2)(B)(I)(cc)). ``(b) General Distribution.--The Secretary shall-- ``(1) determine the ratio that-- ``(A) the sums authorized to be appropriated from the Highway Trust Fund (other than the Mass Transit Account) for each of the for Federal-aid highway and highway safety construction programs (other than the minimum guarantee program) for which funds are allocated from such Trust Fund by the Secretary under this title and the Transportation Equity Act for the 21st Century for a fiscal year, bears to ``(B) the total of all sums authorized to be appropriated from such Trust Fund for such programs for such fiscal year; ``(2) multiply the ratio determined under paragraph (1) by the total amount of funds to be allocated under subsection (a) for such fiscal year; ``(3) allocate the amount determined under paragraph (2) among such programs in the ratio that-- ``(A) the sums authorized to be appropriated from such Trust Fund for each of such programs for such fiscal year, bears to ``(B) the sums authorized to be appropriated from such Trust Fund for all such programs for such fiscal year; and ``(4) allocate the remainder of the funds to be allocated under subsection (a) for such fiscal year to the States in the ratio that-- ``(A) the total of all funds authorized to be appropriated from such Trust Fund for Federal-aid highway and highway safety construction programs that are apportioned to each State for such fiscal year but for this section, bears to ``(B) the total of all funds authorized to be appropriated from such Trust Fund for such programs that are apportioned to all States for such fiscal year but for this section. ``(c) State Programmatic Distribution.--Of the funds to be apportioned to each State under subsection (b)(4) for a fiscal year, the Secretary shall ensure that such funds are apportioned for the Interstate Maintenance program, the National Highway System program, the bridge program, the surface transportation program, and the congestion mitigation air quality improvement program in the same ratio that each State is apportioned funds for such programs for such fiscal year but for this section. ``(d) Authorization of Appropriations.--There are authorized to be appropriated from the Highway Trust Fund (other than the Mass Transit Account) such sums as may be necessary to carry out this section for fiscal years beginning after September 30, 1998.''. (b) Conforming Amendment.--The analysis for chapter 1 of such title is amended by striking the item relating to section 110 and inserting the following: ``110. Revenue aligned budget authority.''. SEC. 1106. FEDERAL-AID SYSTEMS. <<NOTE: 23 USC 103 note.>> (a) Administration of National Highway System and Interstate Maintenance Program.--The Secretary shall administer the National Highway System program and the Interstate Maintenance program as a combined program for purposes of allowing States maximum flexibility. References in this Act and title 23, United States Code, shall not be affected by such consolidation. (b) Federal-Aid Systems.--Section 103 of title 23, United States Code, is amended to read as follows: ``Sec. 103. Federal-aid systems ``(a) In General.--For the purposes of this title, the Federal-aid systems are the Interstate System and the National Highway System. ``(b) National Highway System.-- ``(1) Description.--The National Highway System consists of the highway routes and connections to transportation facilities depicted on the map submitted by the Secretary to Congress with the report entitled `Pulling Together: The National Highway System and its Connections to Major Intermodal Terminals' and dated May 24, 1996. The system shall-- ``(A) serve major population centers, international border crossings, ports, airports, public transportation facilities, and other intermodal transportation facilities and other major travel destinations; ``(B) meet national defense requirements; and ``(C) serve interstate and interregional travel. ``(2) Components.--The National Highway System described in paragraph (1) consists of the following: ``(A) The Interstate System described in subsection (c). ``(B) Other urban and rural principal arterial routes. ``(C) Other connector highways (including toll facilities) that provide motor vehicle access between arterial routes on the National Highway System and a major intermodal transportation facility. ``(D) A strategic highway network consisting of a network of highways that are important to the United States strategic defense policy and that provide defense access, continuity, and emergency capabilities for the movement of personnel, materials, and equipment in both peacetime and wartime. The highways may be highways on or off the Interstate System and shall be designated by the Secretary in consultation with appropriate Federal agencies and the States. ``(E) Major strategic highway network connectors consisting of highways that provide motor vehicle access between major military installations and highways that are part of the strategic highway network. The highways shall be designated by the Secretary in consultation with appropriate Federal agencies and the States. ``(3) Maximum mileage.--The mileage of highways on the National Highway System shall not exceed 178,250 miles. ``(4) Modifications to nhs.-- ``(A) In general.--The Secretary may make any modification, including any modification consisting of a connector to a major intermodal terminal, to the National Highway System that is proposed by a State or that is proposed by a State and revised by the Secretary if the Secretary determines that the modification-- ``(i) meets the criteria established for the National Highway System under this title; and ``(ii) enhances the national transportation characteristics of the National Highway System. ``(B) Cooperation.-- ``(i) In general.--In proposing a modification under this paragraph, a State shall cooperate with local and regional officials. ``(ii) Urbanized areas.--In an urbanized area, the local officials shall act through the metropolitan planning organization designated for the area under section 134. ``(5) Congressional high priority corridors.--Upon the completion of feasibility studies, the Secretary shall add to the National Highway System any congressional high priority corridor or any segment of such a corridor established by section 1105 of the Intermodal Surface Transportation Efficiency Act of 1991 (105 Stat. 2031 et seq.) that was not identified on the National Highway System described in paragraph (1). ``(6) Eligible projects for nhs.--Subject to approval by the Secretary, funds apportioned to a State under section 104(b)(1) for the National Highway System may be obligated for any of the following: ``(A) Construction, reconstruction, resurfacing, restoration, and rehabilitation of segments of the National Highway System. ``(B) Operational improvements for segments of the National Highway System. ``(C) Construction of, and operational improvements for, a Federal-aid highway not on the National Highway System, and construction of a transit project eligible for assistance under chapter 53 of title 49, if-- ``(i) the highway or transit project is in the same corridor as, and in proximity to, a fully access-controlled highway designated as a part of the National Highway System; ``(ii) the construction or improvements will improve the level of service on the fully access- controlled highway described in clause (i) and improve regional traffic flow; and ``(iii) the construction or improvements are more cost-effective than an improvement to the fully access-controlled highway described in clause (i). ``(D) Highway safety improvements for segments of the National Highway System. ``(E) Transportation planning in accordance with sections 134 and 135. ``(F) Highway research and planning in accordance with chapter 5. ``(G) Highway-related technology transfer activities. ``(H) Capital and operating costs for traffic monitoring, management, and control facilities and programs. ``(I) Fringe and corridor parking facilities. ``(J) Carpool and vanpool projects. ``(K) Bicycle transportation and pedestrian walkways in accordance with section 217. ``(L) Development, establishment, and implementation of management systems under section 303. ``(M) In accordance with all applicable Federal law (including regulations), participation in natural habitat and wetland mitigation efforts related to projects funded under this title, which may include participation in natural habitat and wetland mitigation banks, contributions to statewide and regional efforts to conserve, restore, enhance, and create natural habitats and wetland, and development of statewide and regional natural habitat and wetland conservation and mitigation plans, including any such banks, efforts, and plans authorized under the Water Resources Development Act of 1990 (Public Law 101-640) (including crediting provisions). Contributions to the mitigation efforts described in the preceding sentence may take place concurrent with or in advance of project construction; except that contributions in advance of project construction may occur only if the efforts are consistent with all applicable requirements of Federal law (including regulations) and State transportation planning processes. With respect to participation in a natural habitat or wetland mitigation effort related to a project funded under this title that has an impact that occurs within the service area of a mitigation bank, preference shall be given, to the maximum extent practicable, to the use of the mitigation bank if the bank contains sufficient available credits to offset the impact and the bank is approved in accordance with the Federal Guidance for the Establishment, Use and Operation of Mitigation Banks (60 Fed. Reg. 58605 (November 28, 1995)) or other applicable Federal law (including regulations). ``(N) Publicly-owned intracity or intercity bus terminals. ``(O) Infrastructure-based intelligent transportation systems capital improvements. ``(P) In the Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands, any project eligible for assistance under section 133, any airport, and any seaport. ``(c) Interstate System.-- ``(1) Description.-- ``(A) In general.--The Dwight D. Eisenhower National System of Interstate and Defense Highways within the United States (including the District of Columbia and Puerto Rico) consists of highways designed, located, and selected in accordance with this paragraph. ``(B) Design.-- ``(i) In general.--Except as provided in clause (ii), highways on the Interstate System shall be designed in accordance with the standards of section 109(b). ``(ii) Exception.--Highways on the Interstate System in Alaska and Puerto Rico shall be designed in accordance with such geometric and construction standards as are adequate for current and probable future traffic demands and the needs of the locality of the highway. ``(C) Location.--Highways on the Interstate System shall be located so as-- ``(i) to connect by routes, as direct as practicable, the principal metropolitan areas, cities, and industrial centers; ``(ii) to serve the national defense; and ``(iii) to the maximum extent practicable, to connect at suitable border points with routes of continental importance in Canada and Mexico. ``(D) Selection of routes.--To the maximum extent practicable, each route of the Interstate System shall be selected by joint action of the State transportation departments of the State in which the route is located and the adjoining States, in cooperation with local and regional officials, and subject to the approval of the Secretary. ``(2) Maximum mileage.--The mileage of highways on the Interstate System shall not exceed 43,000 miles, exclusive of designations under paragraph (4). ``(3) Modifications.--The Secretary may approve or require modifications to the Interstate System in a manner consistent with the policies and procedures established under this subsection. ``(4) Interstate system designations.-- ``(A) Additions.--If the Secretary determines that a highway on the National Highway System meets all standards of a highway on the Interstate System and that the highway is a logical addition or connection to the Interstate System, the Secretary may, upon the affirmative recommendation of the State or States in which the highway is located, designate the highway as a route on the Interstate System. ``(B) Designations as future interstate system routes.-- ``(i) In general.--If the Secretary determines that a highway on the National Highway System would be a logical addition or connection to the Interstate System and would qualify for designation as a route on the Interstate System under subparagraph (A) if the highway met all standards of a highway on the Interstate System, the Secretary may, upon the affirmative recommendation of the State or States in which the highway is located, designate the highway as a future Interstate System route. ``(ii) Written agreement of states.--A designation under clause (i) shall be made only upon the written agreement of the State or States described in such clause that the highway will be constructed to meet all standards of a highway on the Interstate System by the date that is 12 years after the date of the agreement. ``(iii) Removal of designation.-- ``(I) In general.--If the State or States described in clause (i) have not substantially completed the construction of a highway designated under this subparagraph within the time provided for in the agreement between the Secretary and the State or States under clause (ii), the Secretary shall remove the designation of the highway as a future Interstate System route. ``(II) Effect of removal.--Removal of the designation of a highway under subclause (I) shall not preclude the Secretary from designating the highway as a route on the Interstate System under subparagraph (A) or under any other provision of law providing for addition to the Interstate System. ``(iv) Prohibition on referral as interstate system route.--No law, rule, regulation, map, document, or other record of the United States, or of any State or political subdivision of a State, shall refer to any highway designated as a future Interstate System route under this subparagraph, nor shall any such highway be signed or marked, as a highway on the Interstate System until such time as the highway is constructed to the geometric and construction standards for the Interstate System and has been designated as a route on the Interstate System. ``(C) Financial responsibility.--Except as provided in this title, the designation of a highway under this paragraph shall create no additional Federal financial responsibility with respect to the highway. ``(d) Transfer of Interstate Construction Funds.-- ``(1) Interstate construction funds not in surplus.-- ``(A) In general.--Upon application by a State and approval by the Secretary, the Secretary may transfer to the apportionment of the State under section 104(b)(1) any amount of funds apportioned to the State under section 104(b)(5)(A) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century), if the amount does not exceed the Federal share of the costs of construction of segments of the Interstate System in the State included in the most recent Interstate System cost estimate. ``(B) Effect of transfer.--Upon transfer of an amount under subparagraph (A), the construction on which the amount is based, as included in the most recent Interstate System cost estimate, shall not be eligible for funding under section 104(b)(5)(A) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century) or 118(c). ``(2) Surplus interstate construction funds.--Upon application by a State and approval by the Secretary, the Secretary may transfer to the apportionment of the State under section 104(b)(1) any amount of surplus funds apportioned to the State under section 104(b)(5)(A) (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century), if the State has fully financed all work eligible under the most recent Interstate System cost estimate. ``(3) Applicability of certain laws.--Funds transferred under this subsection shall be subject to the laws (including regulations, policies, and procedures) relating to the apportionment to which the funds are transferred.''. (b) <<NOTE: 23 USC 103 note.>> Unobligated Balances of Interstate Substitute Funds.--Unobligated balances of funds apportioned to a State under section 103(e)(4)(H) of title 23, United States Code (as in effect on the day before the date of enactment of this Act), shall be available for obligation by the State under the law (including regulations, policies, and procedures) relating to the obligation and expenditure of the funds in effect on that date. (c) Conforming Amendments.-- (1)(A) Section 115(a) of title 23, United States Code, is amended-- (i) in the subsection heading by striking ``Substitute,''; and (ii) in paragraph (1)(A)(i) by striking ``103(e)(4)(H),''; (B) Section 118 of such title is amended-- (i) by striking subsection (d); and (ii) by redesignating subsections (e) and (f) as subsections (d) and (e), respectively. (C) Section 129(b) of such title is amended in the first sentence by striking ``which has been'' and all that follows through ``and has not'' and inserting ``which is a public road and has not''. (2)(A) Section 139 of such title, and the item relating to such section in the analysis for chapter 1 of such title, are repealed. (B) Section 127(f) of such title is amended by striking ``section 139(a)'' and inserting ``section 103(c)(4)(A)''. (C) Section 1105(e)(5) of the Intermodal Surface Transportation Efficiency Act of 1991 (109 Stat. 597) is amended by striking subparagraph (B) and inserting the following: ``(B) Treatment of segments.--Subject to subparagraph (C), segments designated as parts of the Interstate System under this paragraph shall be treated in the same manner as segments designated under section 103(c)(4)(A) of title 23, United States Code.''. (d) Intermodal Freight Connectors Study.-- <<NOTE: 23 USC 103 note.>> (1) Report.--Not later than 2 years after the date of enactment of this Act, the Secretary shall-- (A) review the condition of and improvements made, since the designation of the National Highway System, to connectors on the National Highway System that serve seaports, airports, and other intermodal freight transportation facilities; and (B) report to Congress on the results of such review. (2) Review.--In preparing the report, the Secretary shall review the connectors and identify projects carried out on those connectors that were intended to provide and improve service to an intermodal facility referred to in paragraph (1) and to facilitate the efficient movement of freight, including movements of freight between modes. (3) Identification of impediments.--If the Secretary determines on the basis of the review that there are impediments to improving the connectors serving intermodal facilities referred to in paragraph (1), the Secretary shall identify such impediments and make any appropriate recommendations as part of the Secretary's report to Congress under this subsection. SEC. 1107. INTERSTATE MAINTENANCE PROGRAM. (a) In General.--Section 119 of title 23, United States Code, is amended-- (1) by striking subsection (a) and inserting the following: ``(a) In General.-- ``(1) Projects.--The Secretary may approve projects for resurfacing, restoring, rehabilitating, and reconstructing-- ``(A) routes on the Interstate System designated under section 103(c)(1) and, in Alaska and Puerto Rico, under section 103(c)(4)(A); ``(B) routes on the Interstate System designated before the date of enactment of the Transportation Equity Act for the 21st Century under subsections (a) and (b) of section 139 (as in effect on the day before the date of enactment of such Act); and ``(C) any segments that become part of the Interstate System under section 1105(e)(5) of the Intermodal Surface Transportation Efficiency Act of 1991. ``(2) Toll roads.--The Secretary may approve a project pursuant to this subsection on a toll road only if such road is subject to a Secretarial agreement provided for in section 129 or continued in effect by section 1012(d) of the Intermodal Surface Transportation Efficiency Act of 1991 (105 Stat. 1939) and not voided by the Secretary under section 120(c) of the Surface Transportation and Uniform Relocation Assistance Act of 1987 (101 Stat. 159). ``(3) Funding.--Sums authorized to be appropriated to carry out this section shall be out of the Highway Trust Fund and shall be apportioned in accordance with section 104(b)(4).''; (2) by striking subsections (b), (c), and (e); and (3) by redesignating subsections (d), (f), and (g) as subsections (b), (c), and (d), respectively. (b) Set-Asides for Interstate Discretionary Projects.--Section 118(c) of such title is amended to read as follows: ``(c) Set-Asides for Interstate Discretionary Projects.-- ``(1) In general.--Before any apportionment is made under section 104(b)(4), the Secretary shall set aside $50,000,000 in fiscal year 1998 and $100,000,000 in each of fiscal years 1999 through 2003 for obligation by the Secretary for projects for resurfacing, restoring, rehabilitating, and reconstructing any route or portion thereof on the Interstate System (other than any highway designated as a part of the Interstate System under section 139 (as in effect on the day before the date of enactment of the Transportation Equity Act for the 21st Century)) and any toll road on the Interstate System not subject to an agreement under section 119(e) (as in effect on December 17, 1991). ``(2) Selection criteria.--The amounts set aside under paragraph (1) shall be made available by the Secretary to any State applying for such funds if the Secretary determines that-- ``(A) the State has obligated or demonstrates that it will obligate in the fiscal year all of its apportionments under section 104(b)(4) other than an amount that, by itself, is insufficient to pay the Federal share of the cost of a project for resurfacing, restoring, rehabilitating, and reconstructing the Interstate System that has been submitted by the State to the Secretary for approval; and ``(B) the applicant is willing and able to-- ``(i) obligate the funds within 1 year of the date the funds are made available; ``(ii) apply the funds to a ready-to-commence project; and ``(iii) in the case of construction work, begin work within 90 days after obligation. ``(3) Priority consideration for certain projects.--In selecting projects to fund under paragraph (1), the Secretary shall give priority consideration to any project the cost of which exceeds $10,000,000 on any high volume route in an urban area or a high truck-volume route in a rural area. ``(4) Period of availability of discretionary funds.--Sums made available pursuant to this subsection shall remain available until expended.''. (c) Interstate Needs.-- <<NOTE: 23 USC 119 note.>> (1) Study.--The Secretary shall conduct, in cooperation with States and affected metropolitan planning organizations, a study to determine-- (A) the expected condition of the Interstate System over the next 10 years and the needs of States and metropolitan planning organizations to reconstruct and improve the Interstate System; (B) the resources necessary to maintain and improve the Interstate System; and (C) the means to ensure that the Nation's surface transportation program can-- (i) address the needs identified in subparagraph (A); and (ii) allow for States to address any extraordinary needs. (2) Report.--Not later than January 1, 2000, the Secretary shall transmit to Congress a report on the results of the study. SEC. 1108. SURFACE TRANSPORTATION PROGRAM. (a) Eligibility of Projects.--Section 133(b) of title 23, United States Code, is amended-- (1) in paragraph (1) by inserting after ``magnesium acetate'' the following: ``, sodium acetate/formate, or other environmentally acceptable, minimally corrosive anti-icing and de-icing compositions''; (2) in paragraph (2) by striking ``and publicly owned intracity or intercity bus terminals and facilities'' and inserting ``, including vehicles and facilities, whether publicly or privately owned, that are used to provide intercity passenger service by bus''; (3) in paragraph (3)-- (A) by striking ``and bicycle'' and inserting ``bicycle''; and (B) by inserting before the period at the end the following: ``, and the modification of public sidewalks to comply with the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.)''; (4) in paragraph (4) by inserting ``infrastructure'' after ``safety''; (5) in paragraph (9) by striking ``section 108(f)(1)(A) (other than clauses (xii) and (xvi)) of the Clean Air Act'' and inserting ``section 108(f)(1)(A) (other than clause (xvi)) of the Clean Air Act (42 U.S.C. 7408(f)(1)(A))''; (6) in paragraph (11)-- (A) in the first sentence-- (i) by inserting ``natural habitat and'' after ``participation in'' each place it appears; (ii) by striking ``enhance and create'' and inserting ``enhance, and create natural habitats and''; and (iii) by inserting ``natural habitat and'' before ``wetlands conservation''; and (B) by adding at the end the following: ``With respect to participation in a natural habitat or wetland mitigation effort related to a project funded under this title that has an impact that occurs within the service area of a mitigation bank, preference shall be given, to the maximum extent practicable, to the use of the mitigation bank if the bank contains sufficient available credits to offset the impact and the bank is approved in accordance with the Federal Guidance for the Establishment, Use and Operation of Mitigation Banks (60 Fed. Reg. 58605 (November 28, 1995)) or other applicable Federal law (including regulations).''; and (7) by adding at the end the following: ``(13) Infrastructure-based intelligent transportation systems capital improvements. ``(14) Environmental restoration and pollution abatement projects (including the retrofit or construction of storm water treatment systems) to address water pollution or environmental degradation caused or contributed to by transportation facilities, which projects shall be carried out when the transportation facilities are undergoing reconstruction, rehabilitation, resurfacing, or restoration; except that the expenditure of funds under this section for any such environmental restoration or pollution abatement project shall not exceed 20 percent of the total cost of the reconstruction, rehabilitation, resurfacing, or restoration project.''. (b) Transportation Enhancement Activities.--Section 133 of such title is amended-- <<NOTE: 23 USC 133.>> (1) in subsection (d)(3)(D) by striking ``any State'' and all that follows through the period at the end and inserting ``Hawaii and Alaska''; and (2) in subsection (e)-- (A) in paragraph (3)(B)(i) by striking ``if the Secretary'' and all that follows through ``activities''; and (B) in paragraph (5) by adding at the end the following: ``(C) Cost sharing.-- ``(i) Required aggregate non-federal share.-- The average annual non-Federal share of the total cost of all projects to carry out transportation enhancement activities in a State for a fiscal year shall be not less than the non-Federal share authorized for the State under section 120(b). ``(ii) Innovative financing.--Subject to clause (i), notwithstanding section 120-- ``(I) funds from other Federal agencies and the value of other contributions (as determined by the Secretary) may be credited toward the non-Federal share of the costs of a project to carry out a transportation enhancement activity; ``(II) the non-Federal share for such a project may be calculated on a project, multiple-project, or program basis; and ``(III) the Federal share of the cost of an individual project to which subclause (I) or (II) applies may be up to 100 percent.''. (c) Program Approval.--Section 133(e) of such title is <<NOTE: 23 USC 133.>> amended by striking paragraph (2) and inserting the following: ``(2) Program approval.-- ``(A) Submission of project agreement.--For each fiscal year, each State shall submit a project agreement that-- ``(i) <<NOTE: Certification.>> certifies that the State will meet all the requirements of this section; and ``(ii) <<NOTE: Notification.>> notifies the Secretary of the amount of obligations needed to carry out the program under this section. ``(B) Request for adjustments of amounts.--Each State shall request from the Secretary such adjustments to the amount of obligations referred to in subparagraph (A)(ii) as the State determines to be necessary. ``(C) Effect of approval by the secretary.--Approval by the Secretary of a project agreement under subparagraph (A) shall be deemed a contractual obligation of the United States to pay surface transportation program funds made available under this title.''. (d) Payments.--Section 133(e)(3)(A) of such title is amended by striking the second sentence. (e) Surface Transportation Program Obligations in Urban Areas.-- Section 133 of such title is amended to read as follows: ``(f) Obligation Authority.-- ``(1) In general.--A State that is required to obligate in an urbanized area with an urbanized area population of over 200,000 individuals under subsection (d) funds apportioned to the State under section 104(b)(3) shall make available during the period of fiscal years 1998 through 2000 and the period of fiscal years 2001 through 2003 an amount of obligation authority distributed to the State for Federal-aid highways and highway safety construction programs for use in the area that is equal to the amount obtained by multiplying-- ``(A) the aggregate amount of funds that the State is required to obligate in the area under subsection (d) during the period; and ``(B) the ratio that-- ``(i) the aggregate amount of obligation authority distributed to the State for Federal-aid highways and highway safety construction programs during the period; bears to ``(ii) the total of the sums apportioned to the State for Federal-aid highways and highway safety construction programs (excluding sums not subject to an obligation limitation) during the period. ``(2) Joint responsibility.--Each State, each affected metropolitan planning organization, and the Secretary shall jointly ensure compliance with paragraph (1).''. (f) <<NOTE: 23 USC 133 note.>> Division of STP Funds for Areas of Less Than 5,000 Population.-- (1) Special rule.--Notwithstanding section 133(c) of title 23, United States Code, and except as provided in paragraph (2), up to 15 percent of the amounts required to be obligated under section 133(d)(3)(B) of such title for each of fiscal years 1998 through 2003 may be obligated on roads functionally classified as minor collectors. (2) Suspension.--The Secretary may suspend the application of paragraph (1) if the Secretary determines that paragraph (1) is being used excessively. (g) <<NOTE: 23 USC 133 note.>> Encouragement of Use of Youth Conservation or Service Corps.--The Secretary shall encourage the States to enter into contracts and cooperative agreements with qualified youth conservation or service corps to perform appropriate transportation enhancement activities under chapter 1 of title 23, United States Code. SEC. 1109. HIGHWAY BRIDGE PROGRAM. (a) Apportionment Formula.--Section 144(e) of title 23, United States Code, is amended in the fourth sentence by inserting before the period at the end the following: ``, and, if a State transfers funds apportioned to the State under this section in a fiscal year beginning after September 30, 1997, to any other apportionment of funds to such State under this title, the total cost of deficient bridges in such State and in all States to be determined for the succeeding fiscal year shall be reduced by the amount of such transferred funds''. (b) Discretionary Bridge Set-Aside.--Section 144(g)(1) of such title is amended-- (1) by inserting ``(A) Fiscal years 1992 through 1997.--'' before ``Of the amounts''; (2) by adding at the end the following: ``(B) Fiscal year 1998.--Of the amounts authorized to be appropriated to carry out the bridge program under this section for fiscal year 1998, all but $25,000,000 shall be apportioned as provided in subsection (e) of this section. Such $25,000,000 shall be available only for projects for the seismic retrofit of a bridge described in subsection (l). ``(C) Fiscal years 1999 through 2003.--Of the amounts authorized to be appropriated to carry out the bridge program under this section for each of fiscal years 1999 through 2003, all but $100,000,000 shall be apportioned as provided in subsection (e). Such $100,000,000 shall be available at the discretion of the Secretary; except that not to exceed $25,000,000 shall be available only for projects for the seismic retrofit of bridges, including projects in the New Madrid fault region.''; and (3) by indenting subparagraph (A) (as designated by paragraph (1) of this subsection) and aligning such subparagraph (A) with subparagraphs (B) and (C) of such section (as added by paragraph (2) of this subsection). (c) Off-System Bridge Set-Aside.--Section 144(g)(3) of such title is amended-- <<NOTE: 23 USC 144.>> (1) by striking ``, 1988'' and all that follows through ``1997,'' and inserting ``through 2003''; and (2) by striking ``system'' each place it appears and inserting ``highway''. (d) Eligibility.--Section 144 of title 23, United States Code, is amended-- (1) in subsection (d) by inserting after ``magnesium acetate'' the following: ``, sodium acetate/formate, or other environmentally acceptable, minimally corrosive anti-icing and de-icing compositions or installing scour countermeasures''; (2) in subsection (d) by inserting after ``such acetate'' each place it appears the following: ``or sodium acetate/formate or such anti-icing or de-icing composition or installation of such countermeasures''; and (3) in subsection (g)(3) by inserting after ``magnesium acetate'' the following: ``, sodium acetate/formate, or other environmentally acceptable, minimally corrosive anti-icing and de-icing compositions or install scour countermeasures''. (e) Conforming Amendment.--Section 144(n) of such title is amended by striking ``system'' and inserting ``highway''. SEC. 1110. CONGESTION MITIGATION AND AIR QUALITY IMPROVEMENT PROGRAM. (a) Establishment of Program.--Section 149(a) of title 23, United States Code, is amended by inserting after ``establish'' the following: ``and implement''. (b) Currently Eligible Projects.--Section 149(b) of such title is amended-- (1) by striking ``that was designated as a nonattainment area under section 107(d) of the Clean Air Act (42 U.S.C. 7407(d)) during any part of fiscal year 1994'' and inserting the following: ``that is or was designated as a nonattainment area for ozone, carbon monoxide, or particulate matter under section 107(d) of the Clean Air Act (42 U.S.C. 7407(d)) and classified pursuant to section 181(a), 186(a), 188(a), or 188(b) of the Clean Air Act (42 U.S.C. 7511(a), 7512(a), 7513(a), or 7513(b)) or is or was designated as a nonattainment area under such section 107(d) after December 31, 1997,''; (2) in paragraph (1)(A) by striking ``clauses (xii) and''; and inserting ``clause''; (3) in paragraph (1)(A)(ii) by striking ``an area'' and all that follows through the semicolon and inserting ``a maintenance area;''; (4) by striking ``or'' at the end of paragraph (3); (5) by striking ``standard.'' at the end of paragraph (4) and inserting ``standard; or''; and (6) by inserting after paragraph (4) the following: ``(5) if the program or project improves traffic flow, including projects to improve signalization, construct high occupancy vehicle lanes, improve intersections, and implement intelligent transportation system strategies and such other projects that are eligible for assistance under this section on the day before the date of enactment of this paragraph.''. (c) States Receiving Minimum Apportionment.--Section 149 of such title is amended <<NOTE: 23 USC 149.>> by striking subsection (c) and inserting the following: ``(c) States Receiving Minimum Apportionment.-- ``(1) States without a nonattainment area.--If a State does not have, and never has had, a nonattainment area designated under the Clean Air Act (42 U.S.C. 7401 et seq.), the State may use funds apportioned to the State under section 104(b)(2) for any project eligible under the surface transportation program under section 133. ``(2) States with a nonattainment area.--If a State has a nonattainment area or maintenance area and receives funds under section 104(b)(2)(D) above the amount of funds that the State would have received based on its nonattainment and maintenance area population under subparagraphs (B) and (C) of section 104(b)(2), the State may use that portion of the funds not based on its nonattainment and maintenance area population under subparagraphs (B) and (C) of section 104(b)(2) for any project in the State eligible under section 133.''. (d) Public-Private Partnerships.-- (1) In general.--Section 149 of such title is amended by adding at the end the following: ``(e) Partnerships With Nongovernmental Entities.-- ``(1) In general.--Notwithstanding any other provision of this title and in accordance with this subsection, a metropolitan planning organization, State transportation department, or other project sponsor may enter into an agreement with any public, private, or nonprofit entity to cooperatively implement any project carried out under this section. ``(2) Forms of participation by entities.--Participation by an entity under paragraph (1) may consist of-- ``(A) ownership or operation of any land, facility, vehicle, or other physical asset associated with the project; ``(B) cost sharing of any project expense; ``(C) carrying out of administration, construction management, project management, project operation, or any other management or operational duty associated with the project; and ``(D) any other form of participation approved by the Secretary. ``(3) Allocation to entities.--A State may allocate funds apportioned under section 104(b)(2) to an entity described in paragraph (1). ``(4) Alternative fuel projects.--In the case of a project that will provide for the use of alternative fuels by privately owned vehicles or vehicle fleets, activities eligible for funding under this subsection-- ``(A) may include the costs of vehicle refueling infrastructure, including infrastructure that would support the development, production, and use of emerging technologies that reduce emissions of air pollutants from motor vehicles, and other capital investments associated with the project; ``(B) shall include only the incremental cost of an alternative fueled vehicle, as compared to a conventionally fueled vehicle, that would otherwise be borne by a private party; and ``(C) shall apply other governmental financial purchase contributions in the calculation of net incremental cost. ``(5) Prohibition on federal participation with respect to required activities.--A Federal participation payment under this subsection may not be made to an entity to fund an obligation imposed under the Clean Air Act (42 U.S.C. 7401 et seq.) or any other Federal law.''. (2) <<NOTE: 23 USC 149 note.>> Determination by the secretary.--For the purposes of section 149(c) of title 23, United States Code, the Secretary shall determine in accordance with the procedures specified in section 149(b) of such title whether water-phased hydrocarbon fuel emulsion technologies that consist of a hydrocarbon base and water in an amount not less than 20 percent by volume that reduce emissions of hydrocarbon, particulate matter, carbon monoxide, or nitrogen oxide from motor vehicles. (e) Study of CMAQ Program.-- <<NOTE: 23 USC 149 note.>> (1) <<NOTE: Contracts.>> In general.--The Secretary and the Administrator of the Environmental Protection Agency shall enter into arrangements with the National Academy of Sciences to complete, by not later than January 1, 2001, a study of the congestion mitigation and air quality improvement program under section 149 of title 23, United States Code. The study shall, at a minimum-- (A) evaluate the air quality impacts of emissions from motor vehicles; (B) evaluate the negative effects of traffic congestion, including the economic effects of time lost due to congestion; (C) determine the amount of funds obligated under the program and make a comprehensive analysis of the types of projects funded under the program; (D) evaluate the emissions reductions attributable to projects of various types that have been funded under the program; (E) assess the effectiveness, including the quantitative and nonquantitative benefits, of projects funded under the program and include, in the assessment, an estimate of the cost per ton of pollution reduction; (F) assess the cost effectiveness of projects funded under the program with respect to congestion mitigation; (G) compare-- (i) the costs of achieving the air pollutant emissions reductions achieved under the program; to (ii) the costs that would be incurred if similar reductions were achieved by other measures, including pollution controls on stationary sources; (H) include recommendations on improvements, including other types of projects, that will increase the overall effectiveness of the program; (I) include recommendations on expanding the scope of the program to address traffic-related pollutants that, as of the date of the study, are not addressed by the program. (2) Report.--Not later than January 1, 2000, the National Academy of Sciences shall transmit to the Secretary, the Committee on Transportation and Infrastructure and the Committee on Commerce of the House of Representatives, and the Committee on Environment and Public Works of the Senate a report on the results of the study with recommendations for modifications to the congestion mitigation and air quality improvement program in light of the results of the study. (3) Funding.--Before making the apportionment of funds under section 104(b)(2) of title 23, United States Code, for each of fiscal years 1999 and 2000, the Secretary shall deduct from the amount to be apportioned under such section for such fiscal year, and make available, $500,000 for such fiscal year to carry out this subsection. SEC. 1111. FEDERAL SHARE. (a) State-Determined Lower Federal Share.--Section 120 of title 23, United States Code, is amended-- (1) in subsection (a)-- (A) by striking ``Except'' and inserting the following: ``(1) In general.--Except''; (B) by adding at the end the following: ``(2) State-determined lower federal share.--In the case of any project subject to paragraph (1), a State may determine a lower Federal share than the Federal share determined under such paragraph.''; and (C) by aligning the remainder of the text of paragraph (1) (as designated by subparagraph (A) of this paragraph) with paragraph (2) of such subsection (as added by subparagraph (B) of this paragraph); and (2) in subsection (b) by adding at the end the following: ``In the case of any project subject to this subsection, a State may determine a lower Federal share than the Federal share determined under the preceding sentences of this subsection.''. (b) Increased Federal Share for Certain Safety Projects.--The first sentence of section 120(c) of such title is amended by inserting ``or transit vehicles'' after ``emergency vehicles''. (c) Credit for Non-Federal Share.--Section 120 of such title is amended by adding at the end the following: ``(j) Credit for Non-Federal Share.-- ``(1) Eligibility.--A State may use as a credit toward the non-Federal share requirement for any funds made available to carry out this title (other than the emergency relief program authorized by section 125) or chapter 53 of title 49 toll revenues that are generated and used by public, quasi-public, and private agencies to build, improve, or maintain highways, bridges, or tunnels that serve the public purpose of interstate commerce. Such public, quasi-public, or private agencies shall have built, improved, or maintained such facilities without Federal funds. ``(2) Maintenance of effort.-- ``(A) In general.--The credit for any non-Federal share provided under this subsection shall not reduce nor replace State funds required to match Federal funds for any program under this title. ``(B) Condition on receipt of credit.--To receive a credit under paragraph (1) for a fiscal year, a State shall enter into such agreement as the Secretary may require to ensure that the State will maintain its non- Federal transportation capital expenditures in such fiscal year at or above the average level of such expenditures for the preceding 3 fiscal years; except that if, for any 1 of the preceding 3 fiscal years, the non-Federal transportation capital expenditures of the State were at a level that was greater than 130 percent of the average level of such expenditures for the other 2 of the preceding 3 fiscal years, the agreement shall ensure that the State will maintain its non-Federal transportation capital expenditures in the fiscal year of the credit at or above the average level of such expenditures for the other 2 fiscal years. ``(C) Transportation capital expenditures defined.-- In subparagraph (B), the term `non-Federal transportation capital expenditures' includes any payments made by the State for issuance of transportation-related bonds. ``(3) Treatment.-- ``(A) Limitation on liability.--Use of a credit for a non-Federal share under this subsection that is received from a public, quasi-public, or private agency-- ``(i) shall not expose the agency to additional liability, additional regulation, or additional administrative oversight; and ``(ii) shall not subject the agency to any additional Federal design standards or laws (including regulations) as a result of providing the non-Federal share other than those to which the agency is already subject. ``(B) Chartered multistate agencies.--When a credit that is received from a chartered multistate agency is applied to a non-Federal share under this subsection, such credit shall be applied equally to all charter States.''. (d) <<NOTE: 23 USC 130.>> Conforming Amendments.--Section 130(a) of such title is amended-- (1) in the first sentence by striking ``Except as provided in subsection (d) of section 120 of this title'' and inserting ``Subject to section 120''; and (2) in the second sentence by striking ``except as provided in subsection (d) of section 120 of this title'' and inserting ``subject to section 120''. SEC. 1112. RECREATIONAL TRAILS PROGRAM. (a) In General.--Chapter 2 of title 23, United States Code, is amended by inserting after section 205 the following: ``Sec. 206. Recreational trails program ``(a) Definitions.--In this section, the following definitions apply: ``(1) Motorized recreation.--The term `motorized recreation' means off-road recreation using any motor-powered vehicle, except for a motorized wheelchair. ``(2) Recreational trail.--The term `recreational trail' means a thoroughfare or track across land or snow, used for recreational purposes such as-- ``(A) pedestrian activities, including wheelchair use; ``(B) skating or skateboarding; ``(C) equestrian activities, including carriage driving; ``(D) nonmotorized snow trail activities, including skiing; ``(E) bicycling or use of other human-powered vehicles; ``(F) aquatic or water activities; and ``(G) motorized vehicular activities, including all- terrain vehicle riding, motorcycling, snowmobiling, use of off-road light trucks, or use of other off-road motorized vehicles. ``(b) Program.--In accordance with this section, the Secretary, in consultation with the Secretary of the Interior and the Secretary of Agriculture, shall carry out a program to provide and maintain recreational trails. ``(c) State Responsibilities.--To be eligible for apportionments under this section-- ``(1) the Governor of the State shall designate the State agency or agencies that will be responsible for administering apportionments made to the State under this section; and ``(2) the State shall establish a State recreational trail advisory committee that represents both motorized and nonmotorized recreational trail users, which shall meet not less often than once per fiscal year. ``(d) Use of Apportioned Funds.-- ``(1) In general.--Funds apportioned to a State to carry out this section shall be obligated for recreational trails and related projects that-- ``(A) have been planned and developed under the laws, policies, and administrative procedures of the State; and ``(B) are identified in, or further a specific goal of, a recreational trail plan, or a statewide comprehensive outdoor recreation plan required by the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l-4 et seq.), that is in effect. ``(2) Permissible uses.--Permissible uses of funds apportioned to a State for a fiscal year to carry out this section include-- ``(A) maintenance and restoration of existing recreational trails; ``(B) development and rehabilitation of trailside and trailhead facilities and trail linkages for recreational trails; ``(C) purchase and lease of recreational trail construction and maintenance equipment; ``(D) construction of new recreational trails, except that, in the case of new recreational trails crossing Federal lands, construction of the trails shall be-- ``(i) permissible under other law; ``(ii) necessary and required by a statewide comprehensive outdoor recreation plan that is required by the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l-4 et seq.) and that is in effect; ``(iii) approved by the administering agency of the State designated under subsection (c)(1); and ``(iv) approved by each Federal agency having jurisdiction over the affected lands under such terms and conditions as the head of the Federal agency determines to be appropriate, except that the approval shall be contingent on compliance by the Federal agency with all applicable laws, including the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), the Forest and Rangeland Renewable Resources Planning Act of 1974 (16 U.S.C. 1600 et seq.), and the Federal Land Policy and Management Act of 1976 (43 U.S.C. 1701 et seq.); ``(E) acquisition of easements and fee simple title to property for recreational trails or recreational trail corridors; ``(F) payment of costs to the State incurred in administering the program, but in an amount not to exceed 7 percent of the apportionment made to the State for the fiscal year to carry out this section; and ``(G) operation of educational programs to promote safety and environmental protection as those objectives relate to the use of recreational trails, but in an amount not to exceed 5 percent of the apportionment made to the State for the fiscal year. ``(3) Use of apportionments.-- ``(A) In general.--Except as provided in subparagraphs (B), (C), and (D), of the apportionments made to a State for a fiscal year to carry out this section-- ``(i) 40 percent shall be used for recreational trail or related projects that facilitate diverse recreational trail use within a recreational trail corridor, trailside, or trailhead, regardless of whether the project is for diverse motorized use, for diverse nonmotorized use, or to accommodate both motorized and nonmotorized recreational trail use; ``(ii) 30 percent shall be used for uses relating to motorized recreation; and ``(iii) 30 percent shall be used for uses relating to nonmotorized recreation. ``(B) Small state exclusion.--Any State with a total land area of less than 3,500,000 acres shall be exempt from the requirements of clauses (ii) and (iii) of subparagraph (A). ``(C) Waiver authority.--A State recreational trail advisory committee established under subsection (c)(2) may waive, in whole or in part, the requirements of clauses (ii) and (iii) of subparagraph (A) if the State recreational trail advisory committee determines and notifies the Secretary that the State does not have sufficient projects to meet the requirements of clauses (ii) and (iii) of subparagraph (A). ``(D) State administrative costs.--State administrative costs eligible for funding under paragraph (2)(F) shall be exempt from the requirements of subparagraph (A). ``(4) Grants.-- ``(A) In general.--A State may use funds apportioned to the State to carry out this section to make grants to private organizations, municipal, county, State, and Federal Government entities, and other government entities as approved by the State after considering guidance from the State recreational trail advisory committee established under subsection (c)(2), for uses consistent with this section. ``(B) Compliance.--A State that makes grants under subparagraph (A) shall establish measures to verify that recipients of the grants comply with the conditions of the program for the use of grant funds. ``(e) Environmental Benefit or Mitigation.--To the extent practicable and consistent with the other requirements of this section, a State should give consideration to project proposals that provide for the redesign, reconstruction, nonroutine maintenance, or relocation of recreational trails to benefit the natural environment or to mitigate and minimize the impact to the natural environment. ``(f) Federal Share.-- ``(1) In general.--Subject to the other provisions of this subsection, the Federal share of the cost of a project under this section shall not exceed 80 percent. ``(2) Federal agency project sponsor.--Notwithstanding any other provision of law, a Federal agency that sponsors a project under this section may contribute additional Federal funds toward the cost of a project, except that-- ``(A) the share attributable to the Secretary of Transportation may not exceed 80 percent of the cost of a project under this section; and ``(B) the share attributable to the Secretary and the Federal agency may not exceed 95 percent of the cost of a project under this section. ``(3) Use of funds from federal programs to provide non- federal share.--Notwithstanding any other provision of law, the non-Federal share of the cost of the project may include amounts made available by the Federal Government under any Federal program that are-- ``(A) expended in accordance with the requirements of the Federal program relating to activities funded and populations served; and ``(B) expended on a project that is eligible for assistance under this section. ``(4) Programmatic non-federal share.--A State may allow adjustments to the non-Federal share of an individual project for a fiscal year under this section if the Federal share of the cost of all projects carried out by the State under the program (excluding projects funded under paragraph (2) or (3)) using funds apportioned to the State for the fiscal year does not exceed 80 percent. ``(5) State administrative costs.--The Federal share of the administrative costs of a State under this subsection shall be determined in accordance with section 120(b). ``(g) Uses Not Permitted.--A State may not obligate funds apportioned to carry out this section for-- ``(1) condemnation of any kind of interest in property; ``(2) construction of any recreational trail on National Forest System land for any motorized use unless-- ``(A) the land has been designated for uses other than wilderness by an approved forest land and resource management plan or has been released to uses other than wilderness by an Act of Congress; and ``(B) the construction is otherwise consistent with the management direction in the approved forest land and resource management plan; ``(3) construction of any recreational trail on Bureau of Land Management land for any motorized use unless the land-- ``(A) has been designated for uses other than wilderness by an approved Bureau of Land Management resource management plan or has been released to uses other than wilderness by an Act of Congress; and ``(B) the construction is otherwise consistent with the management direction in the approved management plan; or ``(4) upgrading, expanding, or otherwise facilitating motorized use or access to recreational trails predominantly used by nonmotorized recreational trail users and on which, as of May 1, 1991, motorized use was prohibited or had not occurred. ``(h) Project Administration.-- ``(1) Credit for donations of funds, materials, services, or new right-of-way.-- ``(A) In general.--Nothing in this title or other law shall prevent a project sponsor from offering to donate funds, materials, services, or a new right-of-way for the purposes of a project eligible for assistance under this section. Any funds, or the fair market value of any materials, services, or new right-of-way, may be donated by any project sponsor and shall be credited to the non-Federal share in accordance with subsection (f). ``(B) Federal project sponsors.--Any funds or the fair market value of any materials or services may be provided by a Federal project sponsor and shall be credited to the Federal agency's share in accordance with subsection (f). ``(2) Recreational purpose.--A project funded under this section is intended to enhance recreational opportunity and is not subject to section 138 of this title or section 303 of title 49. ``(3) Continuing recreational use.--At the option of each State, funds apportioned to the State to carry out this section may be treated as Land and Water Conservation Fund apportionments for the purposes of section 6(f)(3) of the Land and Water Conservation Fund Act of 1965 (16 U.S.C. 460l- 8(f)(3)). ``(4) Cooperation by private persons.-- ``(A) Written assurances.--As a condition of making available apportionments for work on recreational trails that would affect privately owned land, a State shall obtain written assurances that the owner of the land will cooperate with the State and participate as necessary in the activities to be conducted. ``(B) Public access.--Any use of the apportionments to a State to carry out this section on privately owned land must be accompanied by an easement or other legally binding agreement that ensures public access to the recreational trail improvements funded by the apportionments. ``(i) Contract Authority.--Funds authorized to carry out this section shall be available for obligation in the same manner as if the funds were apportioned under chapter 1, except that the Federal share of the cost of a project under this section shall be determined in accordance with this section.''. (b) Conforming Amendment.--The analysis for chapter 2 of title 23, United States Code, is amended by striking the item relating to section 206 and inserting the following: ``206. Recreational trails program.''. (c) Repeal of Obsolete Provision.--Section 1302 of the Intermodal Surface Transportation Efficiency Act of 1991 (16 U.S.C. 1261) is repealed. (d) Termination of Advisory Committee.--Section 1303 of such Act (16 U.S.C. 1262) is amended by adding at the end the following: ``(j) Termination.--The advisory committee established by this section shall terminate on September 30, 2000.''. (e) <<NOTE: 23 USC 206 note.>> Encouragement of Use of Youth Conservation or Service Corps.--The Secretary shall encourage the States to enter into contracts and cooperative agreements with qualified youth conservation or service corps to perform construction and maintenance of recreational trails under section 206 of title 23, United States Code. SEC. 1113. EMERGENCY RELIEF. (a) Federal Share.--Section 120(e) of title 23, United States Code, is amended in the first sentence by striking ``highway system'' and inserting ``highway''. (b) Eligibility and Funding.--Section 125 of such title is amended-- (1) by redesignating subsections (b), (c), and (d) as subsections (d), (e), and (f), respectively; (2) by striking subsection (a) and inserting the following: ``(a) General Eligibility.--Subject to this section and section 120, an emergency fund is authorized for expenditure by the Secretary for the repair or reconstruction of highways, roads, and trails, in any part of the United States, including Indian reservations, that the Secretary finds have suffered serious damage as a result of-- ``(1) natural disaster over a wide area, such as by a flood, hurricane, tidal wave, earthquake, severe storm, or landslide; or ``(2) catastrophic failure from any external cause. ``(b) Restriction on Eligibility.--In no event shall funds be used pursuant to this section for the repair or reconstruction of bridges that have been permanently closed to all vehicular traffic by the State or responsible local official because of imminent danger of collapse due to a structural deficiency or physical deterioration. ``(c) Funding.--Subject to the following limitations, there are authorized to be appropriated from the Highway Trust Fund (other than the Mass Transit Account) such sums as may be necessary to establish the fund authorized by this section and to replenish it on an annual basis: ``(1) Not more than $100,000,000 is authorized to be obligated in any 1 fiscal year commencing after September 30, 1980, to carry out the provisions of this section; except that, if in any fiscal year the total of all obligations under this section is less than the amount authorized to be obligated in such fiscal year, the unobligated balance of such amount shall remain available until expended and shall be in addition to amounts otherwise available to carry out this section each year. ``(2) Pending such appropriation or replenishment, the Secretary may obligate from any funds heretofore or hereafter appropriated for obligation in accordance with this title, including existing Federal-aid appropriations, such sums as may be necessary for the immediate prosecution of the work herein authorized. Funds obligated under this paragraph shall be reimbursed from such appropriation or replenishment.''; (3) in subsection (d) (as so redesignated)-- (A) in the first sentence by striking ``reconstruction of highways'' and all that follows through ``in accordance'' and inserting ``reconstruction of highways on Federal-aid highways in accordance''; (B) by striking ``subsection (c)'' both places it appears and inserting ``subsection (e)''; (C) in the second sentence by striking ``authorized'' and all that follows through the period and inserting ``authorized on Federal-aid highways.''; and (D) in the last sentence by striking ``Disaster Relief and Emergency Assistance Act (Public Law 93- 288)'' and inserting ``Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.)''; and (4) in subsection (e) (as so redesignated) by striking ``on any of the Federal-aid highway systems'' and inserting ``Federal-aid highways''. (c) San Mateo County, California.--Notwithstanding any other provision of law, a project to repair or reconstruct any portion of a Federal-aid primary route in San Mateo County, California, that-- (1) was destroyed as a result of a combination of storms in the winter of 1982-1983 and a mountain slide; and (2) until its destruction, served as the only reasonable access route between 2 cities and as the designated emergency evacuation route of 1 of the cities; shall be eligible for assistance under section 125(a) of title 23, United States Code, if the project complies with the local coastal plan. (d) <<NOTE: 23 USC 120.>> Technical Amendments.--Section 120(e) of such title is amended-- (1) by striking ``(c)'' and inserting ``(b)''; and (2) by striking ``90'' and inserting ``180''. SEC. 1114. HIGHWAY USE TAX EVASION PROJECTS. (a) In General.--Section 143 of title 23, United States Code, is amended to read as follows: ``Sec. 143. Highway use tax evasion projects ``(a) State Defined.--In this section, the term `State' means the 50 States and the District of Columbia. ``(b) Projects.-- ``(1) In general.--The Secretary shall carry out highway use tax evasion projects in accordance with this subsection. ``(2) Allocation of funds.--Funds made available to carry out this section may be allocated to the Internal Revenue Service and the States at the discretion of the Secretary. ``(3) Conditions on funds allocated to internal revenue service.--The Secretary shall not impose any condition on the use of funds allocated to the Internal Revenue Service under this subsection. ``(4) Limitation on use of funds.--Funds made available to carry out this section shall be used only-- ``(A) to expand efforts to enhance motor fuel tax enforcement; ``(B) to fund additional Internal Revenue Service staff, but only to carry out functions described in this paragraph; ``(C) to supplement motor fuel tax examinations and criminal investigations; ``(D) to develop automated data processing tools to monitor motor fuel production and sales; ``(E) to evaluate and implement registration and reporting requirements for motor fuel taxpayers; ``(F) to reimburse State expenses that supplement existing fuel tax compliance efforts; and ``(G) to analyze and implement programs to reduce tax evasion associated with other highway use taxes. ``(5) Maintenance of effort.--The Secretary may not make an allocation to a State under this subsection for a fiscal year unless the State certifies that the aggregate expenditure of funds of the State, exclusive of Federal funds, for motor fuel tax enforcement activities will be maintained at a level that does not fall below the average level of such expenditure for the preceding 2 fiscal years of the State. ``(6) Federal share.--The Federal share of the cost of a project carried out under this subsection shall be 100 percent. ``(7) Period of availability.--Funds authorized to carry out this section shall remain available for obligation for a period of 3 years after the last day of the fiscal year for which the funds are authorized. ``(8) Use of surface transportation program funding.--In addition to funds made available to carry out this section, a State may expend up to \1/4\ of 1 percent of the funds apportioned to the State for a fiscal year under section 104(b)(3) on initiatives to halt the evasion of payment of motor fuel taxes. ``(c) Excise Fuel Reporting System.-- ``(1) <<NOTE: Contracts.>> In general.--Not later than April 1, 1998, the Secretary shall enter into a memorandum of understanding with the Commissioner of the Internal Revenue Service for the purposes of the development and maintenance by the Internal Revenue Service of an excise fuel reporting system (in this subsection referred to as the `system'). ``(2) Elements of memorandum of understanding.--The memorandum of understanding shall provide that-- ``(A) the Internal Revenue Service shall develop and maintain the system through contracts; ``(B) the system shall be under the control of the Internal Revenue Service; and ``(C) the 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 1998 through 2003, the Secretary shall make available sufficient funds to the Internal Revenue Service to establish and operate an automated fuel reporting system.''. (b) Conforming Amendments.-- (1) The analysis for chapter 1 of such title is amended by striking the item relating to section 143 and inserting the following: ``143. Highway use tax evasion projects.''. (2) Section 1040 of the Intermodal Surface Transportation Efficiency Act of 1991 (23 U.S.C. 101 note; 105 Stat. 1992) is repealed. (3) Section 8002 of the Intermodal Surface Transportation Efficiency Act of 1991 (23 U.S.C. 101 note; 105 Stat. 2203) is amended-- (A) in the first sentence of subsection (g) by striking ``section 1040 of this Act'' and inserting ``section 143 of title 23, United States Code,''; and (B) by striking subsection (h). SEC. 1115. FEDERAL LANDS HIGHWAYS PROGRAM. (a) Federal Share Payable.--Section 120 of title 23, United States Code, is amended by adding at the end the following: ``(j) Use of Federal Land Management Agency Funds.--Notwithstanding any other provision of law, the funds appropriated to any Federal land management agency may be used to pay the non-Federal share of the cost of any Federal-aid highway project the Federal share of which is funded under section 104. ``(k) Use of Federal Lands Highways Program Funds.--Notwithstanding any other provision of law, the funds authorized to be appropriated to carry out the Federal lands highways program under section 204 may be used to pay the non-Federal share of the cost of any project that is funded under section 104 and that provides access to or within Federal or Indian lands.''. (b) Allocations.--Section 202(d) of such title is amended-- (1) by inserting ``Indian Reservation Roads.--'' after ``(d)''; (2) by inserting ``(1) For fiscal years ending before october 1, 1999.--'' before ``On October''; (3) by inserting after ``each fiscal year'' the following: ``ending before October 1, 1999''; (4) by adding at the end the following: ``(2) Fiscal year 2000 and thereafter.-- ``(A) In general.--All funds authorized to be appropriated for Indian reservation roads shall be allocated among Indian tribes for fiscal year 2000 and each subsequent fiscal year in accordance with a formula established by the Secretary of the Interior under a negotiated rulemaking procedure under subchapter III of chapter 5 of title 5. ``(B) Regulations.--Notwithstanding sections 563(a) and 565(a) of title 5, the Secretary of the Interior shall issue regulations governing the Indian reservation roads program, and establishing the funding formula for fiscal year 2000 and each subsequent fiscal year under this paragraph, in accordance with a negotiated rulemaking procedure under subchapter III of chapter 5 of title 5. The regulations shall be issued in final form not later than April 1, 1999, and shall take effect not later than October 1, 1999. ``(C) Negotiated rulemaking committee.--In establishing a negotiated rulemaking committee to carry out subparagraph (B), the Secretary of the Interior shall-- ``(i) apply the procedures under subchapter III of chapter 5 of title 5 in a manner that reflects the unique government-to-government relationship between the Indian tribes and the United States; and ``(ii) ensure that the membership of the committee includes only representatives of the Federal Government and of geographically diverse small, medium, and large Indian tribes. ``(D) Basis for funding formula.--The funding formula established for fiscal year 2000 and each subsequent fiscal year under this paragraph shall be based on factors that reflect-- ``(i) the relative needs of the Indian tribes, and reservation or tribal communities, for transportation assistance; and ``(ii) the relative administrative capacities of, and challenges faced by, various Indian tribes, including the cost of road construction in each Bureau of Indian Affairs area, geographic isolation and difficulty in maintaining all- weather access to employment, commerce, health, safety, and educational resources. ``(3) Contracts and agreements with indian tribes.-- ``(A) In general.--Notwithstanding any other provision of law or any interagency agreement, program guideline, manual, or policy directive, all funds made available under this title for Indian reservation roads and for highway bridges located on Indian reservation roads to pay for the costs of programs, services, functions, and activities, or portions thereof, that are specifically or functionally related to the cost of planning, research, engineering, and construction of any highway, road, bridge, parkway, or transit facility that provides access to or is located within the reservation or community of an Indian tribe shall be made available, upon request of the Indian tribal government, to the Indian tribal government for contracts and agreements for such planning, research, engineering, and construction in accordance with the Indian Self- Determination and Education Assistance Act. ``(B) Exclusion of agency participation.--Funds for programs, functions, services, or activities, or portions thereof, including supportive administrative functions that are otherwise contractible to which subparagraph (A) applies, shall be paid in accordance with subparagraph (A) without regard to the organizational level at which the Department of the Interior that has previously carried out such programs, functions, services, or activities. ``(4) Reservation of funds.-- ``(A) Nationwide priority program.--The Secretary shall establish a nationwide priority program for improving deficient Indian reservation road bridges. ``(B) Reservation.--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 $13,000,000 for projects to replace, rehabilitate, seismically retrofit, paint, apply calcium magnesium acetate to, apply sodium acetate/formate de-icer to, or install scour countermeasures for deficient Indian reservation road bridges, including multiple-pipe culverts. ``(C) Eligible bridges.--To be eligible to receive funding under this subsection, a bridge described in subparagraph (A) must-- ``(i) have an opening of 20 feet or more; ``(ii) be on an Indian reservation road; ``(iii) be unsafe because of structural deficiencies, physical deterioration, or functional obsolescence; and ``(iv) be recorded in the national bridge inventory administered by the Secretary under subsection (b). ``(D) Approval requirement.--Funds to carry out Indian reservation road bridge projects under this subsection shall be made available only on approval of plans, specifications, and estimates by the Secretary.''; and (5) by indenting paragraph (1) (as designated by paragraph (2) of this paragraph) and aligning paragraph (1) with paragraphs (2), (3), and (4) (as added by paragraph (4) of this paragraph). (c) <<NOTE: 23 USC 203.>> Availability of Funds.--Section 203 of such title is amended by adding at the end the following: ``Notwithstanding any other provision of law, the authorization by the Secretary of engineering and related work for a Federal lands highways program project, or the approval by the Secretary of plans, specifications, and estimates for construction of a Federal lands highways program project, shall be deemed to constitute a contractual obligation of the Federal Government to pay the Federal share of the cost of the project.''. (d) Planning and Agency Coordination.--Section 204 of such title is amended-- (1) by striking subsection (a) and inserting the following: ``(a) Establishment.-- ``(1) In general.--Recognizing the need for all Federal roads that are public roads to be treated under uniform policies similar to the policies that apply to Federal-aid highways, there is established a coordinated Federal lands highways program that shall apply to public lands highways, park roads and parkways, and Indian reservation roads and bridges. ``(2) Transportation planning procedures.--In consultation with the Secretary of each appropriate Federal land management agency, the Secretary shall develop, by rule, transportation planning procedures that are consistent with the metropolitan and statewide planning processes required under sections 134 and 135. ``(3) Approval of transportation improvement program.--The transportation improvement program developed as a part of the transportation planning process under this section shall be approved by the Secretary. ``(4) Inclusion in other plans.--All regionally significant Federal lands highways program projects-- ``(A) shall be developed in cooperation with States and metropolitan planning organizations; and ``(B) shall be included in appropriate Federal lands highways program, State, and metropolitan plans and transportation improvement programs. ``(5) Inclusion in state programs.--The approved Federal lands highways program transportation improvement program shall be included in appropriate State and metropolitan planning organization plans and programs without further action on the transportation improvement program. ``(6) Development of systems.--The Secretary and the Secretary of each appropriate Federal land management agency shall, to the extent appropriate, develop by rule safety, bridge, pavement, and congestion management systems for roads funded under the Federal lands highways program.''; (2) in subsection (b) by striking the first 3 sentences and inserting the following: ``Funds available for public lands highways, park roads and parkways, and Indian reservation roads shall be used by the Secretary and the Secretary of the appropriate Federal land management agency to pay for the cost of transportation planning, research, engineering, and construction of the highways, roads, and parkways, or of transit facilities within public lands, national parks, and Indian reservations. In connection with activities under the preceding sentence, the Secretary and the Secretary of the appropriate Federal land management agency may enter into construction contracts and other appropriate contracts with a State or civil subdivision of a State or Indian tribe.''; (3) in the first sentence of subsection (e) by striking ``Secretary of the Interior'' and inserting ``Secretary of the appropriate Federal land management agency''; (4) in subsection (h) by adding at the end the following: ``(8) A project to build a replacement of the federally owned bridge over the Hoover Dam in the Lake Mead National Recreation Area between Nevada and Arizona.''; (5) by striking subsection (i) and inserting the following: ``(i) Transfers of Costs to Secretaries of Federal Land Management Agencies.-- ``(1) Administrative costs.--The Secretary shall transfer to the appropriate Federal land management agency from amounts made available for public lands highways such amounts as are necessary to pay necessary administrative costs of the agency in connection with public lands highways. ``(2) Transportation planning costs.--The Secretary shall transfer to the appropriate Federal land management agency from amounts made available for public lands highways such amounts as are necessary to pay the cost to the agency to conduct necessary transportation planning for Federal lands, if funding for the planning is not otherwise provided under this section.''; and (6) in subsection (j) by striking the second sentence and inserting the following: ``The Indian tribal government, in cooperation with the Secretary of the Interior, and as appropriate, with a State, local government, or metropolitan planning organization, shall carry out a transportation planning process in accordance with subsection (a).''. (e) Refuge Roads.-- (1) Authorizations.--Section 201 of such title is <<NOTE: 23 USC 201.>> amended in the first sentence by inserting ``refuge roads,'' before ``public lands highways,''. (2) Allocations.--Section 202 of such title is amended by adding at the end the following: ``(e) Refuge Roads.-- <<NOTE: Effective date.>> On October 1 of each fiscal year, the Secretary shall allocate the sums made available for that fiscal year for refuge roads according to the relative needs of the various refuges in the National Wildlife Refuge System, and taking into consideration-- ``(1) the comprehensive conservation plan for each refuge; ``(2) the need for access as identified through land use planning; and ``(3) the impact of land use planning on existing transportation facilities.''. (3) Availability of funds.--Section 203 of such title is amended in the first and fourth sentences-- (A) by striking ``for,'' and inserting ``for''; and (B) by inserting ``refuge roads,'' after ``parkways,'' each place it appears. (4) Use of funding.--Section 204 of such title is amended by adding at the end the following: ``(k) Refuge Roads.-- ``(1) In general.--Notwithstanding any other provision of this title, funds made available for refuge roads shall be used by the Secretary and the Secretary of the Interior only to pay the cost of-- ``(A) maintenance and improvements of refuge roads; ``(B) maintenance and improvements of eligible projects described in paragraphs (2), (5), and (6) of subsection (h) that are located in or adjacent to wildlife refuges; and ``(C) administrative costs associated with such maintenance and improvements. ``(2) Contracts.--In carrying out paragraph (1), the Secretary and the Secretary of the Interior, as appropriate, may enter into contracts with a State or civil subdivision of a State or Indian tribe as is determined advisable. ``(3) Compliance with other law.--Funds made available for refuge roads shall be used only for projects that are in compliance with the National Wildlife Refuge System Administration Act of 1966 (16 U.S.C. 668dd et seq.).''. SEC. 1116. WOODROW WILSON MEMORIAL BRIDGE. (a) Definitions.--Section 404 of the Woodrow Wilson Memorial Bridge Authority Act of 1995 (109 Stat. 628) is amended-- (1) in paragraph (3) by striking ``, including approaches thereto''; and (2) in paragraph (5) by striking ``to be determined under section 407. Such'' and all that follows through the period at the end and inserting the following: ``as described in the record of decision executed by the Secretary in compliance with the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.). The term includes ongoing short-term rehabilitation and repairs to the Bridge.''. (b) Ownership of Bridge.-- (1) Conveyance by the secretary.--Section 407(a)(1) of such Act (109 Stat. 630) is amended by inserting ``or any Capital Region jurisdiction'' after ``Authority'' each place it appears. (2) Agreement.--Section 407 of such Act (109 Stat. 630) is amended by striking subsection (c) and inserting the following: ``(c) Agreement.-- ``(1) In general.--The agreement referred to in subsection (a) is an agreement concerning the Project that is executed by the Secretary and the Authority or any Capital Region jurisdiction that accepts ownership of the new bridge. ``(2) Terms of the agreement.--The agreement shall-- ``(A) identify whether the Authority or a Capital Region jurisdiction will accept ownership of the new bridge; ``(B) contain a financial plan satisfactory to the Secretary, which shall be prepared before the execution of the agreement, that specifies-- ``(i) the total cost of the Project, including any cost-saving measures; ``(ii) a schedule for implementation of the Project, including whether any expedited design and construction techniques will be used; and ``(iii) the sources of funding that will be used to cover any costs of the Project not funded from funds made available under section 412; ``(C) require that-- ``(i) the Project include not more than 12 traffic lanes, including 8 general purpose lanes, 2 merging/diverging lanes, and 2 high occupancy vehicle, express bus, or rail transit lanes; ``(ii) the design, construction, and operation of the Project reflect the requirements of clause (i); ``(iii) all provisions described in the environmental impact statement for the Project or the record of decision for the Project (including in the attachments to the statement and record) for mitigation of environmental and other impacts of the Project be implemented; and ``(iv) the Authority and the Capital Region jurisdictions develop a process to integrate affected local governments, on an ongoing basis, in the process of carrying out the engineering, design, and construction phases of the project, including planning for implementing the provisions described in clause (iii); and ``(D) contain such other terms and conditions as the Secretary determines to be appropriate.''. (c) Federal Contribution.--Such Act (109 Stat. 627) is amended by adding at the end the following: ``SEC. 412. FEDERAL CONTRIBUTION. ``(a) Funding.-- ``(1) In general.--There is authorized to be appropriated from the Highway Trust Fund (other than the Mass Transit Account) $25,000,000 for fiscal year 1998, $75,000,000 for fiscal year 1999, $150,000,000 for fiscal year 2000, $200,000,000 for fiscal year 2001, $225,000,000 for fiscal year 2002, and $225,000,000 for fiscal year 2003 to pay the costs of planning, preliminary engineering and design, final engineering, acquisition of rights-of-way, and construction of the Project; except that the costs associated with the Bridge shall be given priority over other eligible costs, other than design costs, of the Project. ``(2) Contract authority.--Funds authorized 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; except that-- ``(A) the funds shall remain available until expended; ``(B) the Federal share of the cost of the Bridge component of the Project shall not exceed 100 percent; and ``(C) the Federal share of the cost of any other component of the Project shall not exceed 80 percent. ``(b) Use of Apportioned Funds.--Nothing in this title limits the authority of any Capital Region jurisdiction to use funds apportioned to the jurisdiction under paragraphs (1) and (3) of section 104(b) of title 23, United States Code, in accordance with the requirements for such funds, to pay any costs of the Project. ``(c) Availability of Apportioned Funds.--None of the funds made available under this section shall be available for construction before the execution of the agreement described in section 407(c), except that the Secretary may fund the maintenance and rehabilitation of the Bridge, the design of the Project, and right-of-way acquisition, including early acquisition of construction staging areas.''. (d) Conforming Amendment.--Section 405(b)(1) of such Act (109 Stat. 629) is amended by striking ``the Signatories as to the Federal share of the cost of the Project and the terms and conditions related to the timing of the transfer of the Bridge to''. SEC. 1117. APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM. (a) Apportionment.--The Secretary shall apportion funds made available by section 102 of this Act for fiscal years 1998 through 2003 among the States based on the latest available cost to complete estimate for the Appalachian development highway system under section 201 of the Appalachian Regional Development Act of 1965 prepared by the Appalachian Regional Commission. Such funds shall be available to construct highways and access roads under section 201 of the Appalachian Regional Development Act of 1965. (b) Applicability of Title 23.--Funds authorized by section 102 of this Act for the Appalachian development highway system shall be available for obligation in the same manner as if such funds were apportioned under chapter 1 of title 23, United States Code, except that the Federal share of the cost of any project under this section shall be determined in accordance with such section 201 and such funds shall remain available until expended. (c) Federal Share for Pre-Financed Projects.--Section 201(h)(1) of the Appalachian Regional Development Act of 1965 (40 U.S.C. App.) is amended by striking ``70'' and inserting ``80''. (d) Corridor O.--There is hereby designated as an addition to Corridor O in Pennsylvania on the Appalachian development highway system a segment from Port Matilda to Interstate Route 80 along United States Route 322, and the segment of Corridor O from the Pennsylvania State line to the improved segment in Bedford, Pennsylvania, shall be subtracted from Corridor O. Such designated addition shall not affect estimates of the cost to complete such system and such subtracted segment may be included on a map of such system for purposes of continuity only. SEC. 1118. <<NOTE: 23 USC 101 note.>> NATIONAL CORRIDOR PLANNING AND DEVELOPMENT PROGRAM. (a) In General.--The Secretary shall establish and implement a program to make allocations to States and metropolitan planning organizations for coordinated planning, design, and construction of corridors of national significance, economic growth, and international or interregional trade. A State or metropolitan planning organization may apply to the Secretary for allocations under this section. (b) Eligibility of Corridors.--The Secretary may make allocations under this section with respect to-- (1) high priority corridors identified in section 1105(c) of the Intermodal Surface Transportation Efficiency Act of 1991; and (2) any other significant regional or multistate highway corridor not described in whole or in part in paragraph (1) selected by the Secretary after consideration of-- (A) the extent to which the annual volume of commercial vehicle traffic at the border stations or ports of entry of each State-- (i) has increased since the date of enactment of the North American Free Trade Agreement Implementation Act (Public Law 103-182); and (ii) is projected to increase in the future; (B) the extent to which commercial vehicle traffic in each State-- (i) has increased since the date of enactment of the North American Free Trade Agreement Implementation Act (Public Law 103-182); and (ii) is projected to increase in the future; (C) the extent to which international truck-borne commodities move through each State; (D) the reduction in commercial and other travel time through a major international gateway or affected port of entry expected as a result of the proposed project including the level of traffic delays at at- grade highway crossings of major rail lines in trade corridors; (E) the extent of leveraging of Federal funds provided under this subsection, including-- (i) use of innovative financing; (ii) combination with funding provided under other sections of this Act and title 23, United States Code; and (iii) combination with other sources of Federal, State, local, or private funding including State, local, and private matching funds; (F) the value of the cargo carried by commercial vehicle traffic, to the extent that the value of the cargo and congestion impose economic costs on the Nation's economy; and (G) encourage or facilitate major multistate or regional mobility and economic growth and development in areas underserved by existing highway infrastructure. (c) Purposes.--Allocations may be made under this section for 1 or more of the following purposes: (1) Feasibility studies. (2) Comprehensive corridor planning and design activities. (3) Location and routing studies. (4) Multistate and intrastate coordination for corridors described in subsection (b). (5) After review by the Secretary of a development and management plan for the corridor or a usable component thereof under subsection (b)-- (A) environmental review; and (B) construction. (d) Corridor Development and Management Plan.--A State or metropolitan planning organization receiving an allocation under this section shall develop, and submit to the Secretary for review, a development and management plan for the corridor or a usable component thereof with respect to which the allocation is being made. Such plan shall include, at a minimum, the following elements: (1) A complete and comprehensive analysis of corridor costs and benefits. (2) A coordinated corridor development plan and schedule, including a timetable for completion of all planning and development activities, environmental reviews and permits, and construction of all segments. (3) A finance plan, including any innovative financing methods and, if the corridor is a multistate corridor, a State- by-State breakdown of corridor finances. (4) The results of any environmental reviews and mitigation plans. (5) The identification of any impediments to the development and construction of the corridor, including any environmental, social, political and economic objections. In the case of a multistate corridor, the Secretary shall encourage all States having jurisdiction over any portion of such corridor to participate in the development of such plan. (e) Applicability of Title 23.--Funds made available by section 1101 of this Act to carry out this section and section 1119 shall be available for obligation in the same manner as if such funds were apportioned under chapter 1 of title 23, United States Code. (f) Coordination of Planning.--Planning with respect to a corridor under this section shall be coordinated with transportation planning being carried out by the States and metropolitan planning organizations along the corridor and, to the extent appropriate, with transportation planning being carried out by Federal land management agencies, by tribal governments, or by government agencies in Mexico or Canada. (g) State Defined.--In this section, the term ``State'' has the meaning such term has under section 101 of title 23, United States Code. SEC. 1119. COORDINATED BORDER INFRASTRUCTURE PROGRAM. <<NOTE: 23 USC 101 note. Canada. Mexico.>> (a) General Authority.--The Secretary shall establish and implement a coordinated border infrastructure program under which the Secretary may make allocations to border States and metropolitan planning organizations for areas within the boundaries of 1 or more border States for projects to improve the safe movement of people and goods at or across the border between the United States and Canada and the border between the United States and Mexico. (b) Eligible Uses.--Allocations to States and metropolitan planning organizations under this section may only be used in a border region for-- (1) improvements to existing transportation and supporting infrastructure that facilitate cross-border vehicle and cargo movements; (2) construction of highways and related safety and safety enforcement facilities that will facilitate vehicle and cargo movements related 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) modifications to regulatory procedures to expedite cross border vehicle and cargo movements; (5) international coordination of planning, programming, and border operation with Canada and Mexico relating to expediting cross border vehicle and cargo movements; and (6) activities of Federal inspection agencies. (c) Selection Criteria.--The Secretary shall make allocations under this section on the basis of-- (1) expected reduction in commercial and other motor vehicle travel time through an international border crossing as a result of the project; (2) improvements in vehicle and highway safety and cargo security related to motor vehicles crossing a border with Canada or Mexico; (3) strategies to increase the use of existing, underutilized border crossing facilities and approaches; (4) leveraging of Federal funds provided under this section, including use of innovative financing, combination of such funds with funding provided under other sections of this Act, and combination with other sources of Federal, State, local, or private funding; (5) degree of multinational involvement in the project and demonstrated coordination with other Federal agencies responsible for the inspection of vehicles, cargo, and persons crossing international borders and their counterpart agencies in Canada and Mexico; (6) improvements in vehicle and highway safety and cargo security in and through the gateway or affected port of entry concerned; (7) the degree of demonstrated coordination with Federal inspection agencies; (8) 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; (9) demonstrated local commitment to implement and sustain continuing comprehensive border or affected port of entry planning processes and improvement programs; and (10) such other factors as the Secretary determines are appropriate to promote border transportation efficiency and safety. (d) Construction of Transportation Infrastructure for Law Enforcement Purposes.--At the request of the Administrator of General Services, in consultation with the Attorney General, the Secretary may transfer, during the period of fiscal years 1998 through 2001, not more than $10,000,000 of the amounts made available by section 1101 to carry out this section and section 1118 to the Administrator of General Services for the construction of transportation infrastructure necessary for law enforcement in border States. (e) Definitions.--In this section, the following definitions apply: (1) Border region.--The term ``border region'' means the portion of a border State in the vicinity of an international border with Canada or Mexico. (2) Border state.--The term ``border State'' means any State that has a boundary in common with Canada or Mexico.