Sec. 2602. Grants to States

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Section 31102 is amended to read as follows: The Secretary shall administer a motor carrier safety assistance program funded under section 31104. The goal of the program is to ensure that the Secretary, States, local governments, other political jurisdictions, federally recognized Indian tribes, and other persons work in partnership to establish programs to improve motor carrier, commercial motor vehicle, and driver safety to support a safe and efficient surface transportation system— by making targeted investments to promote safe commercial motor vehicle transportation, including the transportation of passengers and hazardous materials; by investing in activities likely to generate maximum reductions in the number and severity of commercial motor vehicle crashes and fatalities resulting from such crashes; by adopting and enforcing effective motor carrier, commercial motor vehicle, and driver safety regulations and practices consistent with Federal requirements; and by assessing and improving statewide performance by setting program goals and meeting performance standards, measures, and benchmarks.

The Secretary shall prescribe procedures for a State to submit a multiple-year plan, and annual updates thereto, under which the State agrees to assume responsibility for improving motor carrier safety, adopting and enforcing compatible regulations, standards, and orders of the Federal Government on commercial motor vehicle safety and hazardous materials transportation safety. The Secretary shall approve a plan if the Secretary determines that the plan is adequate to comply with the requirements of this section, and the plan— implements performance-based activities, including deployment and maintenance of technology to enhance the efficiency and effectiveness of commercial motor vehicle safety programs; designates a lead State commercial motor vehicle safety agency responsible for administering the plan throughout the State; contains satisfactory assurances that the lead State commercial motor vehicle safety agency has or will have the legal authority, resources, and qualified personnel necessary to enforce the regulations, standards, and orders; contains satisfactory assurances that the State will devote adequate resources to the administration of the plan and enforcement of the regulations, standards, and orders; provides a right of entry and inspection to carry out the plan; provides that all reports required under this section be available to the Secretary on request; provides that the lead State commercial motor vehicle safety agency will adopt the reporting requirements and use the forms for recordkeeping, inspections, and investigations that the Secretary prescribes; requires all registrants of commercial motor vehicles to demonstrate knowledge of applicable safety regulations, standards, and orders of the Federal Government and the State; provides that the State will grant maximum reciprocity for inspections conducted under the North American Inspection Standards through the use of a nationally accepted system that allows ready identification of previously inspected commercial motor vehicles; ensures that activities described in subsection (h), if financed through grants to the State made under this section, will not diminish the effectiveness of the development and implementation of the programs to improve motor carrier, commercial motor vehicle, and driver safety as described in subsection (b); ensures that the lead State commercial motor vehicle safety agency will coordinate the plan, data collection, and information systems with the State highway safety improvement program required under section 148(c) of title 23; ensures participation in appropriate Federal Motor Carrier Safety Administration information technology and data systems and other information systems by all appropriate jurisdictions receiving Motor Carrier Safety Assistance Program funding; ensures that information is exchanged among the States in a timely manner; provides satisfactory assurances that the State will undertake efforts that will emphasize and improve enforcement of State and local traffic safety laws and regulations related to commercial motor vehicle safety; provides satisfactory assurances in the plan that the State will address national priorities and performance goals, including— activities aimed at removing impaired commercial motor vehicle drivers from the highways of the United States through adequate enforcement of regulations on the use of alcohol and controlled substances and by ensuring ready roadside access to alcohol detection and measuring equipment; activities aimed at providing an appropriate level of training to State motor carrier safety assistance program officers and employees on recognizing drivers impaired by alcohol or controlled substances; and when conducted with an appropriate commercial motor vehicle inspection, criminal interdiction activities, and appropriate strategies for carrying out those interdiction activities, including interdiction activities that affect the transportation of controlled substances (as defined under section 102 of the Comprehensive Drug Abuse Prevention and Control Act of 1970 ( 21 U.S.C. 802 ) and listed in part 1308 of title 21, Code of Federal Regulations, as updated and republished from time to time) by any occupant of a commercial motor vehicle; provides that the State has established and dedicated sufficient resources to a program to ensure that— the State collects and reports to the Secretary accurate, complete, and timely motor carrier safety data; and the State participates in a national motor carrier safety data correction system prescribed by the Secretary; ensures that the State will cooperate in the enforcement of financial responsibility requirements under sections 13906, 31138, and 31139 of this title, and regulations issued under these sections; ensures consistent, effective, and reasonable sanctions; ensures that roadside inspections will be conducted at locations that are adequate to protect the safety of drivers and enforcement personnel; provides that the State will include in the training manuals for the licensing examination to drive both noncommercial motor vehicles and commercial motor vehicles information on best practices for driving safely in the vicinity of noncommercial and commercial motor vehicles; provides that the State will enforce the registration requirements of sections 13902 and 31134 of this title by prohibiting the operation of any vehicle discovered to be operated by a motor carrier without a registration issued under those sections or to be operated beyond the scope of the motor carrier's registration; provides that the State will conduct comprehensive and highly visible traffic enforcement and commercial motor vehicle safety inspection programs in high-risk locations and corridors; except in the case of an imminent hazard or obvious safety hazard, ensures that an inspection of a vehicle transporting passengers for a motor carrier of passengers is conducted at a station, including a weight station, terminal, border crossing, maintenance facility, destination, or other location where adequate food, shelter, and sanitation facilities are available for passengers, and reasonable accommodations are available for passengers with disabilities; ensures that the State will transmit to its roadside inspectors the notice of each Federal exemption granted under section 31315(b) of this title and sections 390.23 and 390.25 of title 49 of the Code of Federal Regulations and provided to the State by the Secretary, including the name of the person granted the exemption and any terms and conditions that apply to the exemption; except as provided in subsection (d), provides that the State— will conduct safety audits of interstate and, at the State’s discretion, intrastate new entrant motor carriers under section 31144(g) of this title; and if the State authorizes a third party to conduct safety audits under section 31144(g) on its behalf, the State verifies the quality of the work conducted and remains solely responsible for the management and oversight of the activities; provides that the State agrees to fully participate in the performance and registration information system management under section 31106(b) not later than October 1, 2020, by complying with the conditions for participation under paragraph

(3)of that section; provides that a State that shares a land border with another country— will conduct a border commercial motor vehicle safety program focusing on international commerce that includes enforcement and related projects; or will forfeit all funds calculated by the Secretary based on border-related activities if the State declines to conduct the program described in clause

(i)in its plan; and provides that a State that meets the other requirements of this section and agrees to comply with the requirements established in subsection (l)(3) may fund deployment, operation, and maintenance costs associated with innovative technology deployment under subsection (l)(3) with Motor Carrier Safety Assistance Program funds authorized under section 31104(a)(1). Subject to subparagraph (B), the Secretary shall publish each approved State multiple-year plan, and each annual update thereto, on the Department of Transportation's public website not later than 30 days after the date the Secretary approves the plan or update. Before posting an approved State multiple-year plan or annual update under subparagraph (A), the Secretary shall redact any information identified by the State that, if disclosed— would reasonably be expected to interfere with enforcement proceedings; or would reveal enforcement techniques or procedures that would reasonable by expected to risk circumvention of the law. The requirement that a State conduct safety audits of new entrant motor carriers under subsection (c)(2)(Y) does not apply to a territory of the United States unless required by the Secretary. The Secretary shall prescribe regulations specifying tolerance guidelines and standards for ensuring compatibility of intrastate commercial motor vehicle safety laws, including regulations, with Federal motor carrier safety regulations to be enforced under subsections

(b)and (c). To the extent practicable, the guidelines and standards shall allow for maximum flexibility while ensuring a degree of uniformity that will not diminish motor vehicle safety. Except as provided under paragraphs

(2)and

(3)and in accordance with section 2608 of the Comprehensive Transportation and Consumer Protection Act of 2015 , a State plan under subsection

(c)shall provide that the total expenditure of amounts of the lead State commercial motor vehicle safety agency responsible for administering the plan will be maintained at a level each fiscal year at least equal to— the average level of that expenditure for fiscal years 2004 and 2005; or the level of that expenditure for the year in which the Secretary implements a new allocation formula under section 2608 of the Comprehensive Transportation and Consumer Protection Act of 2015 . At the request of a State, the Secretary may evaluate additional documentation related to the maintenance of effort and may make reasonable adjustments to the maintenance of effort baseline after fiscal year 2017, and this adjusted baseline will replace the maintenance of effort requirement under paragraph (1). At the request of a State, the Secretary may waive or modify the requirements of this subsection for 1 fiscal year if the Secretary determines that a waiver or modification is reasonable, based on circumstances described by the State, to ensure the continuation of commercial motor vehicle enforcement activities in the State. In estimating the average level of State expenditure under paragraph (1), the Secretary— may allow the State to exclude State expenditures for federally sponsored demonstration and pilot programs and strike forces; may allow the State to exclude expenditures for activities related to border enforcement and new entrant safety audits; and shall require the State to exclude State matching amounts used to receive Federal financing under section 31104. Amounts generated under section 14504a of this title and received by a State and used for motor carrier safety purposes may be included as part of the State's match required under section 31104 of this title or maintenance of effort required by subsection (f). When approved in the States' plan under subsection (c), a State may use Motor Carrier Safety Assistance Program funds received under this section— if the activities are carried out in conjunction with an appropriate inspection of a commercial motor vehicle to enforce Federal or State commercial motor vehicle safety regulations, for— enforcement of commercial motor vehicle size and weight limitations at locations, excluding fixed weight facilities, such as near steep grades or mountainous terrains, where the weight of a commercial motor vehicle can significantly affect the safe operation of the vehicle, or at ports where intermodal shipping containers enter and leave the United States; and detection of and enforcement actions taken as a result of criminal activity, including the trafficking of human beings, in a commercial motor vehicle or by any occupant, including the operator, of the commercial motor vehicle; for documented enforcement of State traffic laws and regulations designed to promote the safe operation of commercial motor vehicles, including documented enforcement of such laws and regulations relating to noncommercial motor vehicles when necessary to promote the safe operation of commercial motor vehicles, if— the number of motor carrier safety activities, including roadside safety inspections, conducted in the State is maintained at a level at least equal to the average level of such activities conducted in the State in fiscal years 2004 and 2005; and the State does not use more than 10 percent of the basic amount the State receives under a grant awarded under section 31104(a)(1) for enforcement activities relating to noncommercial motor vehicles necessary to promote the safe operation of commercial motor vehicles unless the Secretary determines that a higher percentage will result in significant increases in commercial motor vehicle safety; and for the enforcement of household goods regulations on intrastate and interstate carriers if the State has adopted laws or regulations compatible with the Federal household goods regulations. The Secretary shall establish criteria for the application, evaluation, and approval of State plans under this section. Subject to subsection (j), the Secretary may allocate the amounts made available under section 31104(a)(1) among the States. If the Secretary disapproves a plan under this section, the Secretary shall give the State a written explanation of the reasons for disapproval and allow the State to modify and resubmit the plan for approval. The Secretary, by regulation, shall prescribe allocation criteria for funds made available under section 31104(a)(1). On October 1 of each fiscal year, or as soon as practicable thereafter, and after making a deduction under section 31104(c), the Secretary shall allocate amounts made available in section 31104(a)(1) to carry out this section for the fiscal year among the States with plans approved under this section in accordance with the criteria under paragraph (1). Subject to the availability of funding and notwithstanding fluctuations in the data elements used by the Secretary to calculate the annual allocation amounts, after the creation of a new allocation formula under section 2608 of the Comprehensive Transportation and Consumer Protection Act of 2015 the Secretary may not make elective adjustments to the allocation formula that decrease a State’s Federal funding levels by more than 3 percent in a fiscal year. The 3-percent limit shall not apply to the withholding provisions of subsection (k). On the basis of reports submitted by the lead State agency responsible for administering an approved State plan and an investigation by the Secretary, the Secretary shall periodically evaluate State implementation of and compliance with the State plan. If, after notice and an opportunity to be heard, the Secretary finds that the State plan previously approved is not being followed or has become inadequate to ensure enforcement of the regulations, standards, or orders, or the State is otherwise not in compliance with the requirements of this section, the Secretary may withdraw approval of the plan and notify the State. The plan is no longer in effect once the State receives notice, and the Secretary shall withhold all funding under this section. In lieu of withdrawing approval of the plan, the Secretary may, after providing notice and an opportunity to be heard, withhold funding from the State to which the State would otherwise be entitled under this section for the period of the State's noncompliance. In exercising this option, the Secretary may withhold— up to 5 percent of funds during the fiscal year that the Secretary notifies the State of its noncompliance; up to 10 percent of funds for the first full fiscal year of noncompliance; up to 25 percent of funds for the second full fiscal year of noncompliance; and not more than 50 percent of funds for the third and any subsequent full fiscal year of noncompliance. A State adversely affected by a determination under paragraph

(2)may seek judicial review under chapter 7 of title 5. Notwithstanding the disapproval of a State plan under paragraph (2)(A) or the withholding under paragraph (2)(B), the State may retain jurisdiction in an administrative or a judicial proceeding that commenced before the notice of disapproval or withholding if the issues involved are not related directly to the reasons for the disapproval or withholding. The Secretary shall administer a high priority financial assistance program funded under section 31104 for the purposes described in paragraphs

(2)and (3). The purpose of this paragraph is to make discretionary grants to and cooperative agreements with States, local governments, federally recognized Indian tribes, other political jurisdictions as necessary, and any person to carry out high priority activities and projects that augment motor carrier safety activities and projects planned in accordance with subsections

(b)and (c), including activities and projects that— increase public awareness and education on commercial motor vehicle safety; target unsafe driving of commercial motor vehicles and non-commercial motor vehicles in areas identified as high risk crash corridors; support the enforcement of State household goods regulations on intrastate and interstate carriers if the State has adopted laws or regulations compatible with the Federal household good laws; improve the safe and secure movement of hazardous materials; improve safe transportation of goods and persons in foreign commerce; demonstrate new technologies to improve commercial motor vehicle safety; support participation in performance and registration information systems management under section 31106(b)— for entities not responsible for submitting the plan under subsection (c); or for entities responsible for submitting the plan under subsection (c)— before October 1, 2020, to achieve compliance with the requirements of participation; and beginning on October 1, 2020, or once compliance is achieved, whichever is sooner, for special initiatives or projects that exceed routine operations required for participation; conduct safety data improvement projects— that complete or exceed the requirements under subsection (c)(2)(P) for entities not responsible for submitting the plan under subsection (c); or that exceed the requirements under subsection (c)(2)(P) for entities responsible for submitting the plan under subsection (c); and otherwise improve commercial motor vehicle safety and compliance with commercial motor vehicle safety regulations. The Secretary shall establish an innovative technology deployment grant program to make discretionary grants funded under section 31104(a)(2) to eligible States for the innovative technology deployment of commercial motor vehicle information systems and networks. The purposes of the program shall be— to advance the technological capability and promote the deployment of intelligent transportation system applications for commercial motor vehicle operations, including commercial motor vehicle, commercial driver, and carrier-specific information systems and networks; and to support and maintain commercial motor vehicle information systems and networks— to link Federal motor carrier safety information systems with State commercial motor vehicle systems; to improve the safety and productivity of commercial motor vehicles and drivers; and to reduce costs associated with commercial motor vehicle operations and Federal and State commercial vehicle regulatory requirements. To be eligible for a grant under this paragraph, a State shall— have a commercial motor vehicle information systems and networks program plan approved by the Secretary that describes the various systems and networks at the State level that need to be refined, revised, upgraded, or built to accomplish deployment of commercial motor vehicle information systems and networks capabilities; certify to the Secretary that its commercial motor vehicle information systems and networks deployment activities, including hardware procurement, software and system development, and infrastructure modifications— are consistent with the national intelligent transportation systems and commercial motor vehicle information systems and networks architectures and available standards; and promote interoperability and efficiency to the extent practicable; and agree to execute interoperability tests developed by the Federal Motor Carrier Safety Administration to verify that its systems conform with the national intelligent transportation systems architecture, applicable standards, and protocols for commercial motor vehicle information systems and networks. Grant funds may be used— for deployment activities and activities to develop new and innovative advanced technology solutions that support commercial motor vehicle information systems and networks; for planning activities, including the development or updating of program or top level design plans in order to become eligible or maintain eligibility under subparagraph (C); and for the deployment, operation, and maintenance costs associated with innovative technology. The Secretary is authorized to award a State funding for the deployment, operation, and maintenance costs associated with innovative technology deployment with funds made available under both sections 31104(a)(1) and 31104(a)(2) of this title. . Section 31103 is amended to read as follows: The Secretary shall administer a commercial motor vehicle operators grant program funded under section 31104. The purpose of the grant program is to train individuals in the safe operation of commercial motor vehicles (as defined in section 31301). . Section 31104 is amended to read as follows: The following sums are authorized to be appropriated from the Highway Trust Fund for the following Federal Motor Carrier Safety Administration Financial Assistance Programs: Subject to paragraph

(2)of this subsection and subsection

(c)of this section, to carry out section 31102— $250,389,000 for fiscal year 2017; $255,648,000 for fiscal year 2018; $261,016,000 for fiscal year 2019; $266,497,000 for fiscal year 2020; and $272,094,000 for fiscal year 2021. Subject to subsection (c), to make grants and cooperative agreements under section 31102(l) of this title, the Secretary may set aside from amounts made available under paragraph

(1)of this subsection up to— $42,323,000 for fiscal year 2017; $43,212,000 for fiscal year 2018; $44,119,000 for fiscal year 2019; $45,046,000 for fiscal year 2020; and $45,992,000 for fiscal year 2021. To carry out section 31103— $1,000,000 for fiscal year 2017; $1,000,000 for fiscal year 2018; $1,000,000 for fiscal year 2019; $1,000,000 for fiscal year 2020; and $1,000,000 for fiscal year 2021. Subject to subsection (c), to carry out section 31313— $31,273,000 for fiscal year 2017; $31,930,000 for fiscal year 2018; $32,600,000 for fiscal year 2019; $33,285,000 for fiscal year 2020; and $33,984,000 for fiscal year 2021. Amounts made available under subsection

(a)shall be used to reimburse financial assistance recipients proportionally for the Federal Government's share of the costs incurred. The Secretary shall reimburse a recipient, in accordance with a financial assistance agreement made under section 31102, 31103, or 31313, an amount that is at least 85 percent of the costs incurred by the recipient in a fiscal year in developing and implementing programs under these sections. The Secretary shall pay the recipient an amount not more than the Federal Government share of the total costs approved by the Federal Government in the financial assistance agreement. The Secretary shall include a recipient's in-kind contributions in determining the reimbursement. Each recipient shall submit vouchers at least quarterly for costs the recipient incurs in developing and implementing programs under section 31102, 31103, or 31313. On October 1 of each fiscal year, or as soon after that date as practicable, the Secretary may deduct from amounts made available under paragraphs (1), (2), and

(4)of subsection

(a)for that fiscal year not more than 1.50 percent of those amounts for partner training and program support in that fiscal year. The Secretary shall use at least 75 percent of those deducted amounts to train non-Federal Government employees and to develop related training materials in carrying out these programs. The approval of a financial assistance agreement by the Secretary under section 31102, 31103, or 31313 is a contractual obligation of the Federal Government for payment of the Federal Government's share of costs in carrying out the provisions of the grant or cooperative agreement. The Secretary shall establish criteria for eligible activities to be funded with financial assistance agreements under this section and publish those criteria in a notice of funding availability before the financial assistance program application period. The period of availability for a recipient to expend a grant or cooperative agreement authorized under subsection

(a)is as follows: For grants made for carrying out section 31102, other than section 31102(l), for the fiscal year in which it is obligated and for the next fiscal year. For grants or cooperative agreements made for carrying out section 31102(l)(2), for the fiscal year in which it is obligated and for the next 2 fiscal years. For grants made for carrying out section 31102(l)(3), for the fiscal year in which it is obligated and for the next 4 fiscal years. For grants made for carrying out section 31103, for the fiscal year in which it is obligated and for the next fiscal year. For grants or cooperative agreements made for carrying out 31313, for the fiscal year in which it is obligated and for the next 4 fiscal years. Amounts not expended by a recipient during the period of availability shall be released back to the Secretary for reobligation for any purpose under sections 31102, 31103, 31104, and 31313 in accordance with subsection

(i)of this section. Amounts authorized from the Highway Trust Fund by this section shall be available for obligation on the date of their apportionment or allocation or on October 1 of the fiscal year for which they are authorized, whichever occurs first. Amounts made available under this section shall remain available until expended. Of the contract authority authorized in this section, the Secretary shall have authority to transfer available unobligated contract authority and associated liquidating cash within or between Federal financial assistance programs authorized under this section and make new Federal financial assistance awards under this section. Of the funds transferred, the contract authority and associated liquidating cash or obligations and expenditures stemming from Federal financial assistance awards made with this contract authority shall not be scored as new obligations by the Congressional Budget Office or by the Secretary. Notwithstanding any other provision of law, no limitation on the total of obligations for Federal financial assistance programs carried out by the Federal Motor Carrier Safety Administration under this section shall apply to unobligated funds transferred under this subsection. . Section 31144(g) is amended by striking paragraph (5). Section 31106(b) is amended by striking paragraph (4). Section 31107 is repealed. Section 31109 is repealed. The table of contents of chapter 311 is amended— by striking the items relating to 31107 and 31109; and by striking the items relating to sections 31102, 31103, and 31104 and inserting the following: 31102. Motor Carrier Safety Assistance Program. 31103. Commercial Motor Vehicle Operators Grant Program. 31104. Authorization of appropriations. . Section 31313(a), as amended by section 2606 of this Act, is further amended by striking The Secretary of Transportation shall administer a financial assistance program for commercial driver's license program implementation for the purposes described in paragraphs

(1)and

(2)and inserting The Secretary of Transportation shall administer a financial assistance program for commercial driver’s license program implementation funded under section 31104 of this title for the purposes described in paragraphs

(1)and

(2). Section 4126 of SAFETEA–LU ( 49 U.S.C. 31106 note) is repealed. Section 4128 of SAFETEA–LU ( 49 U.S.C. 31100 note) is repealed. Section 4134 of SAFETEA–LU ( 49 U.S.C. 31301 note) is repealed. Section 346 of National Highway System Designation Act of 1995 ( 49 U.S.C. 31166 note) is repealed. Section 103(c) of the Motor Carrier Safety Improvement Act of 1999 ( 49 U.S.C. 31102 note) is repealed. Section 103(e) of the Motor Carrier Safety Improvement Act of 1999 ( 49 U.S.C. 31102 note) is repealed. Section 218(d) of the Motor Carrier Safety Improvement Act of 1999 ( 49 U.S.C. 31133 note) is amended— in paragraph (1), by striking under section 31104(f)(2)(B) of title 49, United States Code and inserting section 31104(a)(1) of title 49, United States Code ; and by striking paragraph (3). The amendments made by this section shall take effect on October 1, 2016. Notwithstanding the amendments made by this section, the Secretary shall carry out sections 31102, 31103, 31104, and any sections repealed under subsection

(d)of this section, as necessary, as those sections were in effect on the day before October 1, 2016, with respect to applications for grants, cooperative agreements, or contracts under those sections submitted before October 1, 2016.

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