,i #aafth ,,congress #b;d ,session ,h4 ,r4 #eijh ,,in ,,the ,,house ,,of ,,representatives ,february #ac1 #bjbj,mr4 ,smith of ,washington 7for himself and ,mr4 ,mc,nerney7 introduced the following bill2 which was referred to the ,committee on ,transportation and ,infrastructure1 and in addition to the ,committee on ,ways and ,means1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to establish the ,national ,freight ,mobility ,infrastructure ,fund1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,freight ,infrastructure ,reinvestment ,act of #bjbj4 #b4 ,national ,freight ,mobility ,infrastructure ,improvement ,program 7a7 ,establishment ,the ,secretary of ,transportation shall establish a ,national ,freight ,mobility ,infrastructure ,improvement ,program under which the ,secretary is authorized to make grants1 on a competitive basis1 to ,states and designated entities for eligible costs associated with projects to improve efficiency and capacity with respect to freight mobility in the ,united ,states4 7b7 ,grant applications 7#a7 ,in general ,to be eligible to receive a grant under the program a ,state or designated entity shall submit to the ,secretary an application at such time1 in such form1 and containing such information as the ,secretary may require4 7#b7 ,solicitation ,the ,secretary shall conduct a national solicitation for applications under the program4 7c7 ,grant criteria 7#a7 ,establishment ,the ,secretary1 in accordance with this subsection1 shall establish criteria for selecting among applications submitted for grants under the program4 7#b7 ,requirements ,a project is eligible for a grant under the program only if the ,secretary determines that the project-- 7,a7 is of national or regional significance1 including projects to assist-- 7i7 the construction of grade separations at railroad1 highway1 and railroad-highway junctions2 7ii7 the construction of railroad bypasses and spurs2 7iii7 the construction of railroad side tracks2 7iv7 the expansion of rail and highway tunnels to accommodate wider1 taller1 and additional volumes of vehicular and rail freight and container stacks2 7v7 the addition of railroad track and intermodal facilities at international gateways1 land1 air1 and sea ports1 points of congestion1 and logistic centers2 7vi7 highway and road construction 7including reinforcement for heavy weight vehicles and heavy traffic volume7 at international gateways1 land1 air1 and sea ports1 points of congestion1 and logistic centers1 including freight intermodal connectors1 to better accommodate and speed the flow of freight traffic2 7vii7 the construction and improvement of rail and highway bridges that carry a substantial amount of freight2 7viii7 the construction of highway ramps built to carry a substantial amount of freight2 7ix7 the construction of highway lanes1 including lanes that segregate freight and passenger vehicular traffic2 and 7x7 the construction and improvement of marine terminal facilities used for freight2 7,b7 will improve freight mobility1 capacity1 and efficiency in the ,united ,states2 7,c7 is cost effective2 7,d7 is based on the results of preliminary engineering2 7,e7 is justified based on the extent to which the project-- 7i7 will enhance ,state1 regional1 or national economic development1 performance1 and efficiency as measured by-- 7,i7 the creation of new businesses and jobs and the retention of existing businesses and jobs2 7,,ii7 ,state and local tax receipts2 and 7,,iii7 improved safety1 as measured by reductions in accidents1 injuries1 and fatalities2 and 7ii7 will maximize economic opportunities for communities2 and 7,f7 is supported by an acceptable degree of non-,federal financial commitments1 including that-- 7i7 the project provides for the availability of contingency amounts that1 as determined by the ,secretary1 are reasonable to cover unanticipated cost increases2 and 7ii7 each proposed non-,federal source of financing is stable1 reliable1 and available within the project timetable4 7#c7 ,considerations ,in selecting a project for a grant under the program1 the ,secretary shall consider the extent to which the project-- 7,a7 meets the requirements specified in paragraph 7#b72 7,b7 facilitates freight throughput of higher volume and values2 7,c7 uses operational efficiencies1 including intelligent transportation systems1 that enhance the efficiency or effectiveness 7or both7 of the project2 7,d7 helps maintain or protect the environment2 and 7,e7 improves or enhances segments of the ,national ,multimodal ,freight ,network established pursuant to section #gjajc of title #di1 ,united ,states ,code4 7d7 ,congressional notification and disapproval 7#a7 ,notification 7,a7 ,in general ,at least #fj days before making a grant for a project under the program1 the ,secretary shall notify1 in writing1 the ,committee on ,transportation and ,infrastructure of the ,house of ,representatives and the ,committee on ,environment and ,public ,works and the ,committee on ,commerce1 ,science1 and ,transportation of the ,senate of the proposed grant4 7,b7 ,contents ,the notification shall include an evaluation and justification for each successful project that includes-- 7i7 a detailed explanation of how the project satisfied grant criteria and considerations2 7ii7 the amount of the proposed grant award2 and 7iii7 an executive summary of the project application submitted for funding4 7#b7 ,disapproval ,the ,secretary may not make a grant or any other obligation or commitment to fund a project under the program if a joint resolution is enacted disapproving funding for the project before the last day of the #fj-;day period described in paragraph 7#a77;,a74 7e7 ,reports 7#a7 ,annual report ,the ,secretary shall make available on the internet website of the ,department of ,transportation at the end of each fiscal year an annual report that lists each project for which a grant has been provided under the program during that fiscal year4 7#b7 ,comptroller general 7,a7 ,assessment ,the ,comptroller ,general of the ,united ,states shall conduct an assessment of the administrative establishment1 solicitation1 selection1 and justification process with respect to the funding of grants under the program4 7,b7 ,report ,not later than #a year after the initial awarding of grants under the program1 the ,comptroller ,general shall submit to the ,committee on ,transportation and ,infrastructure of the ,house of ,representatives and the ,committee on ,environment and ,public ,works and the ,committee on ,commerce1 ,science1 and ,transportation of the ,senate a report that describes-- 7i7 the adequacy and fairness of the process by which each project was selected1 if applicable2 and 7ii7 the justification and criteria used for the selection of each project1 if applicable4 7f7 ,funding ,the ,secretary shall carry out the program using amounts made available to the ,secretary from the ,national ,freight ,mobility ,infrastructure ,fund established under section #ieab of the ,internal ,revenue ,code of #aihf4 7g7 ,limitation on grant distribution ,not more than #aj percent of the amounts available during a fiscal year for grants under the program may be used for projects located in a single ,state4 7h7 ,full funding grant agreements ,the ,secretary may enter into a grant under the program that provides funding for a project in more than #a fiscal year4 ,an agreement for such a grant shall-- 7#a7 establish the maximum amount of ,federal financial assistance for the project2 7#b7 establish the time period for ,federal financial assistance for the project2 7#c7 provide grant funds for the fiscal year in which the grant is made2 and 7#d7 include a commitment1 that is not an obligation of the ,federal ,government and that is contingent on the availability of funds1 for grant amounts to be provided in fiscal years following the fiscal year in which the grant is made4 7i7 ,non-,federal financial commitments 7#a7 ,federal share ,the ,federal share of the cost of a project for which a grant is made under the program1 as estimated by the ,secretary1 shall be not more than #hj percent4 7#b7 ,considerations ,in assessing the stability1 reliability1 and availability of proposed sources of non-,federal financing for purposes of subsection 7c77#b77;,f77ii71 the ,secretary shall consider-- 7,a7 existing financial commitments2 7,b7 the degree to which financing sources are dedicated to the purposes proposed2 7,c7 any debt obligation that exists or is proposed by the grant recipient for the proposed project2 and 7,d7 the extent to which the project has a non-,federal financial commitment that exceeds the required non-,federal share of the cost of the project4 7j7 ,highway construction ,a grant made to assist the construction of a highway under the program shall be subject to the requirements relating to such construction under title #bc1 ,united ,states ,code4 7k7 ,other terms and conditions ,the ,secretary shall ensure that all grants made under the program are subject to terms1 conditions1 and requirements that the ,secretary decides are necessary or appropriate for purposes of this section1 including requirements for the disposition of net increases in the value of real property resulting from the project assisted under the program4 7l7 ,administrative costs ,in carrying out the program1 the ,secretary shall seek to minimize administrative costs1 including overhead1 enforcement1 and auditing costs related to the program4 7m7 ,annual report ,not later than #a year after the date of enactment of this ,act1 and annually thereafter1 the ,secretary shall submit to the ,committee on ,transportation and ,infrastructure of the ,house of ,representatives and the ,committee on ,commerce1 ,science1 and ,transportation of the ,senate a report on the activities of the ,secretary under the program4 7n7 ,regulations ,not later than #ahj days after the date of enactment of this ,act1 the ,secretary shall issue regulations to carry out this section4 7o7 ,definitions ,in this section1 the following definitions apply3 7#a7 ,designated entity ,the term designated entity means-- 7,a7 ,a ,state or a group of ,states4 7,b7 ,a metropolitan planning organization that serves an urbanized area 7as defined by the ,bureau of the ,census7 with a population of more than #bjj1jjj individuals4 7,c7 ,a unit of local government or a group of local governments4 7,d7 ,a political subdivision of a ,state or local government4 7,e7 ,a special purpose district or public authority with a transportation function1 including a port authority4 7,f7 ,a ,tribal government or a consortium of ,tribal governments4 7,g7 ,a multistate or multijurisdictional group of entities described in this paragraph4 7#b7 ,eligible costs ,the term eligible costs means the costs of a project with respect to-- 7,a7 development phase activities1 including planning1 feasibility analysis1 revenue forecasting1 environmental review1 preliminary engineering and design work1 and other preconstruction activities2 and 7,b7 construction1 reconstruction1 rehabilitation1 acquisition of real property 7including land related to a project and improvements to land71 environmental mitigation1 construction contingencies1 acquisition of equipment1 and operational improvements4 7#c7 ,program ,the term program means the ,national ,freight ,mobility ,infrastructure ,improvement ,program established under subsection 7a74 7#d7 ,state ,the term ,state has the meaning given such term in section #aja7;a7 of title #bc1 ,united ,states ,code4 #c4 ,freight mobility infrastructure tax 7a7 ,imposition of tax ,chapter #cc of the ,internal ,revenue ,code of #aihf is amended by adding after subchapter ,c the following new subchapter3 ,d ,transportation ,by ,freight ,and ,highway ,sec4 #dbhf4 ,imposition of tax4 #dbhf4 ,imposition of tax 7a7 ,in general ,there is hereby imposed upon taxable ground transportation a tax equal to #a percent of the amount rendered 7to the person by whom such transportation is done7 as payment for such transportation4 7b7 ,by whom paid 7#a7 ,in general ,except as provided by paragraph 7#b71 the tax imposed by subsection 7a7 shall be paid-- 7,a7 by the person rendering the payment subject to tax1 or 7,b7 in the case of transportation by a related person1 by the person for whom such transportation is made4 7#b7 ,determinations of amounts paid in certain cases ,for purposes of this section1 rules similar to the rules of section #dbga7;c7 shall apply4 7c7 ,transportation by related persons ,in the case of transportation of property by the taxpayer or a person related to the taxpayer1 the fair market value of such transportation shall be the amount which would be paid for transporting such property if such property were transported by an unrelated person1 determined on an arms' length basis4 7d7 ,definitions ,for purposes of this subchapter-- 7#a7 ,taxable ground transportation ,the term taxable ground transportation means transportation of property 7other than passenger baggage7 on railways or roads located in the ,united ,states by-- 7,a7 freight rail1 or 7,b7 commercial motor vehicle 7as defined in section #caaja7a7 of title #di1 ,united ,states ,code1 determined without regard to subparagraph 7,a7 of such section7 for a distance of more than #ej miles4 7#b7 ,related person ,a person 7hereinafter in this paragraph referred to as the related person7 is related to any person if-- 7,a7 the related person bears a relationship to such person specified in section #bfg7;b7 or #gjg7;b77#a71 or 7,b7 the related person and such person are engaged in trades or businesses under common control 7within the meaning of subsections 7a7 and 7b7 of section #eb74 ,for purposes of the preceding sentence1 in applying section #bfg7;b7 and #gjg7;b77#a71 #aj percent shall be substituted for #ej percent4 7e7 ,exemption for ,united ,states and ,state and local governments ,the tax imposed by subsection 7a7 shall not apply to amounts paid by the ,united ,states1 a ,state1 or any political subdivision thereof4 4 7b7 ,credits or refunds to persons who collected certain taxes ,section #fdae of such ,code is amended by striking or #dbga each place it appears and inserting #dbga1 or #dbhf4 7c7 ,regulations ,not later than #ahj days after the date of the enactment of this ,act1 the ,secretary of the ,treasury shall issue regulations to carry out the amendments made by this section4 7d7 ,effective date ,the amendments made by this section shall apply to transportation beginning on or after the last day of the #ahj-;day period beginning on the date of the issuance of regulations under subsection 7c74 #d4 ,national ,freight ,mobility ,infrastructure ,fund ,subchapter ,a of chapter #ih of the ,internal ,revenue ,code of #aihf is amended by adding at the end the following new section3 #ieab4 ,national ,freight ,mobility ,infrastructure ,fund 7a7 ,creation of ,trust ,fund ,there is established in the ,treasury of the ,united ,states a trust fund to be known as the ,national ,freight ,mobility ,infrastructure ,fund 7hereinafter in this section referred to as the ,fund7 consisting of such amounts as may be appropriated or credited to such ,fund as provided in this section or section #ifjb7;b74 7b7 ,transfers to the fund ,there are hereby appropriated to the ,fund amounts equivalent to taxes received in the ,treasury under section #dbhf4 7c7 ,expenditures from fund ,amounts in the ,fund shall be made available to the ,secretary of ,transportation for each of the fiscal years #bjai to #bjdd1 without further appropriation1 for making expenditures to meet the obligations of the ,united ,states to carry out section #b of the ,freight ,infrastructure ,reinvestment ,act of #bjbj1 not more than #d percent of which for any fiscal year may be used for administrative expenses4 4 #e4 ,report to ,congress 7a7 ,in general ,not later than #a year after the date of enactment of this ,act1 the ,secretary of ,transportation shall submit to ,congress a report analyzing whether cargo is being routed to reduce the tax imposed under section #dbhf of the ,internal ,revenue ,code of #aihf4 7b7 ,consultation ,in carrying out the study1 the ,secretary shall consult with the ,surface ,transportation ,board4 7c7 ,recommendations ,if the ,secretary determines that cargo is being routed to reduce the tax imposed by section #dbhf of the ,internal ,revenue ,code of #aihf1 the ,secretary shall include in the report recommendations on legislation necessary to avoid such routing4