Goods Movement Act of 2005 - Directs the Secretary of Transportation to establish a goods movement program to improve the productivity, security, and safety of freight transportation gateways, while mitigating congestion and community impacts in the area of such gateways. Declares that the purposes of the program shall be to: (1) facilitate and support multimodal freight transportation initiatives at the State, regional, and local levels to improve freight transportation gateways and mitigate congestion in the area of such gateways; (2) provide capital funding to address infrastructure and freight operational needs at freight transportation corridors and gateways; (3) encourage adoption of new financing strategies to leverage State, local, and private investment in freight transportation gateways; and (4) support military mobilization and readiness.
Qualifies for funding under this Act intermodal freight transportation projects that provide community and highway benefits by addressing economic, congestion, security, safety, and environmental issues associated with freight transportation corridors and gateways, subject to specified limitations. Sets forth project selection and grant approval criteria. Requires a recipient of Federal financial assistance for a project with an estimated total cost of $100 million or more to submit to the Secretary an annual financial plan for the project.
Repeals National Corridor Planning and Development Program provisions of the Transportation Equity Act for the 21st Century.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 168 Introduced in House (IH)]
109th CONGRESS
1st Session
H. R. 168
To amend title 23, United States Code, to establish a goods movement
program to improve the productivity, security, and safety of freight
transportation gateways.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 4, 2005
Ms. Millender-McDonald introduced the following bill; which was
referred to the Committee on Transportation and Infrastructure
_______________________________________________________________________
A BILL
To amend title 23, United States Code, to establish a goods movement
program to improve the productivity, security, and safety of freight
transportation gateways.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Goods Movement Act of 2005''.
SEC. 2. FINDINGS.
Congress finds the following:
(1) Growth in international trade has become increasingly
important to the welfare of the domestic economy and economic
security, as demonstrated by the fact that between 1970 and
1999 the share of the United States gross domestic product
accounted for by trade in goods and services grew from 10.7
percent to 26.9 percent.
(2) Increased growth in international trade places a
disproportionate demand on our surface transportation
infrastructure concentrated in our major international
gateways, metropolitan and urban centers, and trade corridors,
resulting in a high concentration of freight traffic relative
to total vehicle movement and growing congestion which is
adversely affecting regional mobility, safety, security, and
environmental quality in affected communities and the
reliability and sustainability of our national transportation
system and the global connectivity underpinning our national
economy.
(3) In the decades coinciding with completion of the
national defense highway and rail systems, the population of
the United States has grown by 40 percent since 1970, the
number of registered vehicles has increased by 100 percent, and
in concentrated areas trade-generated truck traffic has grown
at double-digit compounded rates while road capacity has
increased by only 6 percent.
(4) Continued explosive growth in international trade puts
increasing pressure on public and private infrastructure,
particularly at global gateways, to increase throughput
velocity, and fuels national and regional demand for additional
surface transportation infrastructure at the Federal, State,
and local levels, and will require collaborative initiatives
among system users to maximize the use of existing capacity,
adopt best industry practices, and plan and finance system
improvements driven by goods movement demand.
(5) Comprehending the nature, and systematically
calculating and measuring the dimensions, of this trade-
generated demand is critically important to planning and
meeting the associated infrastructure needs and institutional
changes necessary to ensure that safe, secure, and efficient
movement of our Nation's goods to the ultimate consignees and
destinations across the Nation.
(6) International gateway and intermodal trade corridor
freight infrastructure movement, research, project planning,
investment, and financing must be a priority in this Act.
(7) Critical intermodal freight projects with national and
regional economic significance, but with associated local
impacts, are often difficult to shepherd, achieve consensus
support, and fund through the current metropolitan planning
process.
(8) The importance of safe, secure, and efficient goods
movement to the health and welfare of the national economy
should recognized by the establishment of a goods movement
program.
SEC. 3. GOODS MOVEMENT PROGRAM.
(a) In General.--Subchapter 1 of chapter 1 of title 23, United
States Code, is amended by adding at the end the following:
``Sec. 165. Goods movement program
``(a) Establishment and Purposes.--
``(1) Establishment.--The Secretary shall establish a goods
movement program to improve the productivity, security, and
safety of freight transportation gateways, while mitigating
congestion and community impacts in the area of such gateways.
``(2) Purposes.--The purposes of the goods movement program
shall be--
``(A) to facilitate and support multimodal freight
transportation initiatives at the State, regional, and
local levels in order to improve freight transportation
gateways and mitigate congestion in the area of such
gateways;
``(B) to provide capital funding to address
infrastructure and freight operational needs at freight
transportation corridors and gateways;
``(C) to encourage adoption of new financing
strategies to leverage State, local, and private
investment in freight transportation gateways; and
``(D) to support military mobilization and
readiness.
``(b) Eligible Projects.--
``(1) In general.--Intermodal freight transportation
projects that provide community and highway benefits by
addressing economic, congestion, security, safety, and
environmental issues associated with freight transportation
corridors and gateways shall be eligible for funding under this
section.
``(2) Types of projects.--Projects eligible for funding
under paragraph (1) shall be limited to the following:
``(A) Projects to facilitate access to intermodal
freight transfer facilities.
``(B) Projects on--
``(i) National Highway System routes
connecting to intermodal freight terminals
identified according to criteria set forth in
the report to Congress entitled `Pulling
Together: The National Highway System and its
Connections to Major Intermodal Terminals',
dated May 24, 1996, and any modifications to
these connections consistent with subparagraph
(D); and
``(ii) the Strategic Highway Network
(commonly known as `STRAHNET'), including
connectors to strategic military deployment
ports.
``(C) Projects on high priority corridors
identified in section 1105(c) of the Intermodal Surface
Transportation Act of 1991 (105 Stat. 2032).
``(D) Projects to separate railroad and road
crossings and make other railroad and road interface
improvements.
``(c) Selection Criteria.--In selecting projects under the goods
movement program, the Secretary shall give priority to a project that
exhibits the following criteria:
``(1) Enhances national, regional, and local economies by
allowing for economic development and growth, as measured by--
``(A) impact on the Nation's gross domestic
product;
``(B) increases in new businesses and jobs;
``(C) State and local tax receipts;
``(D) changes in prices and manufacturing
efficiencies; and
``(E) improved safety as measured by reductions in
accidents, injuries, and fatalities.
``(2) Seeks to maximize economic opportunities for
communities, including increasing local hiring.
``(3) Considers factors such as improved mobility,
congestion relief, energy consumption, air pollution, and noise
pollution.
``(4) Demonstrates availability of local resources to
augment the transportation infrastructure.
``(5) Leverages incremental funding as measured by non-
Federal, public and private investment projects, and uses
innovative financing and local funding and financing by
attracting local public and private investment.
``(6) Integrates and deploys intelligent transportation
technologies.
``(7) Encourages and facilitates regional partnerships to
develop high priority corridors identified in section 1105(c)
of the Intermodal Surface Transportation Efficiency Act of
1991.
``(8) Encourages or facilitates major multistate or
regional mobility and economic growth and development in areas
underserved by existing highway infrastructure.
``(9) Reduces commercial and other travel time through a
major national 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.
``(d) Grants.--
``(1) General authority.--
``(A) Grants.--The Secretary may make grants under
the goods movement program to assist State and local
governmental authorities in financing--
``(i) capital projects, including property
and improvements;
``(ii) the capital costs of coordinating
projects under the program with other
transportation modes;
``(iii) the introduction of new technology,
through innovative and improved products, into
projects under the program;
``(iv) capital projects to modernize
existing corridors and gateways; and
``(v) the development of corridors to
support and expand the safe, secure, and
efficient movement of goods, including
protecting rights of way through acquisition,
construction of dedicated truck and high
occupancy vehicle lanes and other nonvehicular
capital improvements that the Secretary may
decide would result in mitigating congestion in
such corridors.
``(B) Terms and conditions.--The Secretary shall
require that all grants under the goods movement
program be subject to all terms, conditions,
requirements, and provisions the Secretary decides are
necessary or appropriate for the purposes of this
section, including requirements for the disposition of
net increases in the value of real property resulting
from the project assisted under the program.
``(2) Project as part of approved program of projects.--
Except as provided in paragraph (3), the Secretary may approve
a grant for a project under the goods movement program only
after finding that the project is part of the approved program
of projects required under sections 134 and 135 and that an
applicant--
``(A) has or will have the legal, financial, and
technical capacity to carry out the project,
satisfactory continuing control over the use of
equipment or facilities (excluding equipment and
facilities owned by railroads), and the capability to
maintain the equipment or facilities; and
``(B) will maintain the equipment or facilities.
``(3) Criteria for grants.--
``(A) In general.--The Secretary may approve a
grant under this section for a project under the goods
movement program only if the Secretary determines that
the proposed project is--
``(i) based on the results of an
alternatives analysis and preliminary
engineering;
``(ii) justified based on a comprehensive
review of its mobility improvements,
environmental benefits, cost effectiveness, and
operating efficiencies; and
``(iii) supported by an acceptable degree
of local financial commitment, including
evidence of stable and dependable financing
sources to construct, maintain, and operate the
system or extension.
``(B) Corridor development and management plans.--
The Secretary shall not require an applicant for a
grant under this section for a project to undertake
activities to demonstrate that the project complies
with the requirements of subparagraph (A) to the extent
that the Secretary can make a determination under
subparagraph (A) based on a corridor development and
management plan developed under section 1118(d) of the
Transportation Equity Act for the 21st Century (112
Stat. 162) and any other studies and materials
developed for the project under that section.
``(C) Alternatives analysis and preliminary
engineering.--In evaluating a project under
subparagraph (A)(i), the Secretary shall analyze and
consider the results of the alternatives analysis and
preliminary engineering for the project.
``(D) Project justification.--In evaluating a
project, the Secretary shall give priority
consideration to a project that exhibits the criteria
established in subsection (c).
``(E) Local financial commitment.--
``(i) Evaluation of project.--In evaluating
a project under subparagraph (A)(iii), the
Secretary shall require that--
``(I) the proposed project plan
provides for the availability of
contingency amounts that the Secretary
determines to be reasonable to cover
unanticipated cost increases; and
``(II) each proposed local source
of capital and operating financing is
stable, reliable, and available within
the proposed project timetable.
``(ii) Considerations.--In assessing the
stability, reliability, and availability of
proposed sources of local financing under
clause (i), the Secretary shall consider--
``(I) existing grant commitments;
``(II) the degree to which
financing sources are dedicated to the
purposes proposed;
``(III) any debt obligation that
exists or is proposed by the recipient
for the proposed project; and
``(IV) the extent to which the
project has a local financial
commitment that exceeds the required
non-Federal share of the cost of the
project.
``(F) Regulations.--Not later than 120 days after
the date of enactment of this section, the Secretary
shall issue regulations on the manner in which the
Secretary will evaluate and rate the projects based on
the results of alternatives analysis, project
justification, and the degree of local financial
commitment, as required under this paragraph.
``(G) Project evaluation and rating.--A proposed
project may advance from alternatives analysis to
preliminary engineering, and may advance from
preliminary engineering to final design and
construction, only if the Secretary finds that the
project meets the requirements of this subsection and
there is a reasonable likelihood that the project will
continue to meet such requirements. In making such
findings, the Secretary shall evaluate and rate the
project as `highly recommended', `recommended', or `not
recommended', based on the results of alternatives
analysis, the project justification criteria, and the
degree of local financial commitment, as required under
this paragraph. In rating the projects, the Secretary
shall provide, in addition to the overall project
rating, individual ratings for each of the criteria
established under the regulations issued under
subparagraph (F).
``(H) Full funding grant agreement.--A project
financed under this subsection shall be carried out
through a full funding grant agreement. The Secretary
shall enter into a full funding grant agreement based
on the evaluations and ratings required under this
subsection. The Secretary shall not enter into a full
funding grant agreement for a project unless that
project is authorized for final design and
construction.
``(4) Full funding grant agreements and early systems work
agreements.--
``(A) Full funding grant agreements.--
``(i) In general.--The Secretary may make a
full funding grant agreement with an applicant.
The agreement shall--
``(I) establish the terms of
participation by the United States
Government in a project under this
subsection;
``(II) establish the maximum amount
of Government financial assistance for
the project;
``(III) cover the period of time
for completing the project, including a
period extending beyond the period of
an authorization; and
``(IV) make timely and efficient
management of the project easier
according to the law of the United
States.
``(ii) Obligation of amounts.--An agreement
under this subparagraph obligates an amount of
available budget authority specified in law and
may include a commitment, contingent on amounts
to be specified in law in advance for
commitments under this subparagraph, to
obligate an additional amount from future
available budget authority specified in law.
The agreement shall state that the contingent
commitment is not an obligation of the
Government. Interest and other financing costs
of efficiently carrying out a part of the
project within a reasonable time are a cost of
carrying out the project under a full funding
grant agreement, except that eligible costs may
not be more than the cost of the most favorable
financing terms reasonably available for the
project at the time of borrowing. The applicant
shall certify, in a way satisfactory to the
Secretary, that the applicant has shown
reasonable diligence in seeking the most
favorable financing terms. The amount
stipulated in an agreement under this
subparagraph for a project shall be sufficient
to complete at least an operable segment.
``(B) Early systems work agreements.--
``(i) In general.--The Secretary may make
an early systems work agreement with an
applicant if a record of decision under the
National Environmental Policy Act of 1969 (42
U.S.C. 4321 et seq.) has been issued on the
project and the Secretary finds there is reason
to believe--
``(I) a full funding grant
agreement for the project will be made;
and
``(II) the terms of the work
agreement will promote ultimate
completion of the project more rapidly
and at less cost.
``(ii) Obligation of amounts.--A work
agreement under this subparagraph obligates an
amount of available budget authority specified
in law and shall provide for reimbursement of
preliminary costs of carrying out the project,
including land acquisition, timely procurement
of system elements for which specifications are
decided, and other activities the Secretary
decides are appropriate to make efficient,
long-term project management easier. A work
agreement shall cover the period of time the
Secretary considers appropriate. The period may
extend beyond the period of current
authorization. Interest and other financing
costs of efficiently carrying out the work
agreement within a reasonable time are a cost
of carrying out the agreement, except that
eligible costs may not be more than the cost of
the most favorable financing terms reasonably
available for the project at the time of
borrowing. The applicant shall certify, in a
way satisfactory to the Secretary, that the
applicant has shown reasonable diligence in
seeking the most favorable financing terms. If
an applicant does not carry out the project for
reasons within the control of the applicant,
the applicant shall repay all Government
payments made under the work agreement plus
reasonable interest and penalty charges the
Secretary establishes in the agreement.
``(C) Total of future obligations.--The total
estimated amount of future obligations of the
Government and contingent commitments to incur
obligations covered by all outstanding letters of
intent, full funding grant agreements, and early
systems work agreements may be not more than the
greater of the amount authorized to carry out this
section, less an amount the Secretary reasonably
estimates is necessary for grants under this subsection
not covered by a letter. The total amount covered by
new letters and contingent commitments included in full
funding grant agreements and early systems work
agreements may be not more than a limitation specified
in law.
``(5) Government's share of net project cost.--Based on
engineering studies, studies of economic feasibility, and
information on the expected use of equipment or facilities, the
Secretary shall estimate the net project cost. A grant for the
project is for 80 percent of the net project cost, unless the
grant recipient requests a lower grant percentage. The
remainder shall be provided in cash from a source other than
amounts of the Government. Amounts that make up the remainder
must be from an undistributed cash surplus, a replacement or
depreciation cash fund or reserve, or new capital. A refund or
reduction of the remainder may be made only if a refund of a
proportional amount of the grant of the Government is made at
the same time.
``(6) Financial plan.--A recipient of Federal financial
assistance for a project under this section with an estimated
total cost of $100,000,000 or more shall submit to the
Secretary an annual financial plan for the project. The plan
shall be based on detailed annual estimates of the cost to
complete the remaining elements of the project and on
reasonable assumptions, as determined by the Secretary, of
future increases in the cost to complete the project.
``(7) Fiscal capacity considerations.--If the Secretary
gives priority consideration to financing projects that include
more than the non-Government share required under paragraph
(5), the Secretary shall give equal consideration to
differences in the fiscal capacity of State and local
governments.
``(8) Undertaking projects in advance.--The Secretary may
pay the Government's share of the net project costs to a State
or local governmental authority that carries out any part of a
project described in this subsection without the aid of amounts
of the Government and according to all applicable procedures
and requirements if--
``(A) the State or local governmental authority
applies for the payment;
``(B) the Secretary approves the payment; and
``(C) before carrying out the part of the project,
the Secretary approves the plans and specifications for
the part in the same way as other projects under the
goods movement program.
``(9) Reports.--Not later than the first Monday in February
of each year, the Secretary shall submit to the Congress a
report that includes a proposal on the allocation of amounts to
be made available to finance grants for capital projects under
the goods movement program for those amounts.
``(e) Specific Designations.--
``(1) In general.--Notwithstanding any other provision of
this section, Congress deems the following to be projects of
national economic significance: [To Be Supplied].
``(2) Reports.--Not later than October 1, 2006, and October
1, 2008, project recipients under this section shall submit to
the Secretary and the Congress a report enumerating the
national economic significance of the project.
``(f) Authorization of Appropriations.--
``(1) In general.--There is authorized to be appropriated
out of the Highway Trust Fund (other than the Mass Transit
Account) to carry out this section $3,000,000,000 for each of
fiscal years 2005 through 2010. Of such amount, $1,500,000,000
per fiscal year shall be available only for carrying out
projects designated under subsection (e).
``(2) Allocation of amounts.--Not to exceed 8 percent of
the amounts made available to carry out this section in a
fiscal year may be used for planning, design, preliminary
engineering, and projects with a total cost of less than
$25,000,000.
``(g) Contract Authority.--Sums authorized to be appropriated to
carry out this section shall be available for obligation in the same
manner as funds apportioned under section 104(b)(1), except that such
amounts shall not be counted toward a State's allocation under section
105 and shall not be subject to any obligation limitation.''.
(b) Conforming Amendment.--The analysis for subchapter I of chapter
I of such title is amended by adding at the end the following:
``165. Goods movement program.''.
(c) Repeal.--Section 1118 of the Transportation Equity Act for the
21st Century (23 U.S.C. 101 note; 112 Stat. 161) is repealed.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Transportation and Infrastructure.
Referred to the Subcommittee on Highways, Transit and Pipelines.
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