P.L. 109-59 (Sec. 9002)

SEC. 9002. CAPITAL GRANTS FOR RAIL LINE RELOCATION PROJECTS.

(a) Establishment of Program.--

(1) Program requirements.--Chapter 201 of title 49, United

States Code, <<NOTE: 49 USC 20101.>> is amended by adding at the

end of subchapter II the following:

``Sec. 20154. Capital grants for rail line relocation projects

``(a) Establishment of Program.--The Secretary of Transportation

shall carry out a grant program to provide financial assistance for

local rail line relocation and improvement projects.

``(b) Eligibility.--A State is eligible for a grant under this

section for any construction project for the improvement of the route or

structure of a rail line that either--

``(1) is carried out for the purpose of mitigating the

adverse effects of rail traffic on safety, motor vehicle traffic

flow, community quality of life, or economic development; or

``(2) involves a lateral or vertical relocation of any

portion of the rail line.

``(c) Considerations for Approval of Grant Applications.--In

determining whether to award a grant to an eligible State under this

section, the Secretary shall consider the following factors:

``(1) The capability of the State to fund the rail line

relocation project without Federal grant funding.

``(2) The requirement and limitation relating to allocation

of grant funds provided in subsection (d).

``(3) Equitable treatment of the various regions of the

United States.

``(4) The effects of the rail line, relocated or improved as

proposed, on motor vehicle and pedestrian traffic, safety,

community quality of life, and area commerce.

``(5) The effects of the rail line, relocated as proposed,

on the freight and passenger rail operations on the rail line.

``(d) Allocation Requirements.--At least 50 percent of all grant

funds awarded under this section out of funds appropriated for a fiscal

year shall be provided as grant awards of not more than $20,000,000

each. The $20,000,000 amount shall be adjusted

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by the Secretary to reflect inflation for fiscal years beginning after

fiscal year 2006.

``(e) Non-Federal Share.--

``(1) Percentage.--A State or other non-Federal entity shall

pay at least 10 percent of the shared costs of a project that is

funded in part by a grant awarded under this section.

``(2) Forms of contributions.--The share required by

paragraph (1) may be paid in cash or in kind.

``(3) In-kind contributions.--The in-kind contributions that

are permitted to be counted under paragraph (2) for a project

for a State or other non-Federal entity are as follows:

``(A) A contribution of real property or tangible

personal property (whether provided by the State or a

person for the State).

``(B) A contribution of the services of employees of

the State or other non-Federal entity, calculated on the

basis of costs incurred by the State or other non-

Federal entity for the pay and benefits of the

employees, but excluding overhead and general

administrative costs.

``(C) A payment of any costs that were incurred for

the project before the filing of an application for a

grant for the project under this section, and any in-

kind contributions that were made for the project before

the filing of the application, if and to the extent that

the costs were incurred or in-kind contributions were

made, as the case may be, to comply with a provision of

a statute required to be satisfied in order to carry out

the project.

``(4) Financial contribution from private entities.--

``(A) <<NOTE: Reports.>> The Secretary shall require

a State to submit a description of the anticipated

public and private benefits associated with each rail

line relocation or improvement project described in

subsection (a). The determination of such benefits shall

be developed in consultation with the owner and user of

the rail line being relocated or improved or other

private entity involved in the project.

``(B) The Secretary shall consider the feasibility

of seeking financial contributions or commitments from

private entities involved with the project in proportion

to the expected benefits determined under subparagraph

(A) that accrue to such entities from the project.

``(f) Agreements To Combine Amounts.--Two or more States (not

including political subdivisions of States) may, pursuant to an

agreement entered into by the States, combine any part of the amounts

provided through grants for a project under this section if--

``(1) the project will benefit each of the States entering

into the agreement; and

``(2) the agreement is not a violation of a law of any such

State.

``(g) Regulations.--The Secretary shall prescribe regulations for

carrying out this section.

``(h) Definitions.--In this section:

``(1) Construction.--The term `construction' means the

supervising, inspecting, actual building, and incurrence of all

costs incidental to the construction or reconstruction of a

project described under subsection (b)(1) of this section,

including bond costs and other costs relating to the issuance of

bonds or other

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debt financing instruments and costs incurred by the State in

performing project related audits, and includes--

``(A) locating, surveying, and mapping;

``(B) track installation, restoration, and

rehabilitation;

``(C) acquisition of rights-of-way;

``(D) relocation assistance, acquisition of

replacement housing sites, and acquisition and

rehabilitation, relocation, and construction of

replacement housing;

``(E) elimination of obstacles and relocation of

utilities; and

``(F) other activities defined by the Secretary.

``(2) Quality of life.--The term `quality of life' includes

first responders' emergency response time, the environment,

noise levels, and other factors as determined by the Secretary.

``(3) State.--The term `State' includes, except as otherwise

specifically provided, a political subdivision of a State, and

the District of Columbia.

``(i) Authorization of Appropriations.--There are authorized to be

appropriated to the Secretary for use in carrying out this section

$350,000,000 for each of the fiscal years 2006 through 2009.''.

(2) Clerical amendment.--The chapter analysis for such

chapter <<NOTE: 49 USC 20101.>> is amended by adding at the end

the following:

``20154. Capital grants for rail line relocation projects.''.

(b) <<NOTE: Deadlines. 49 USC 21054 note.>> Regulations.--

(1) Temporary regulations.--Not later than April 1, 2006,

the Secretary of Transportation shall issue temporary

regulations to implement the grant program under section 20154

of title 49, United States Code, as added by subsection (a).

Subchapter II of chapter 5 of title 5, United States Code, shall

not apply to the issuance of a temporary regulation under this

subsection or of any amendment of such a temporary regulation.

(2) Final regulations.--Not later than October 1, 2006, the

Secretary shall issue final regulations implementing the

program.

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