Sec. 20018. CONTRACT REQUIREMENTS

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## SEC. 20018 CONTRACT REQUIREMENTS Section 5325 of title 49, United States Code, is amended— ####

(1)in subsection (e), by striking paragraph

(1)and inserting the following: > > #### “(1) Contracts > > A recipient procuring rolling stock with Government financial assistance under this chapter may make a multiyear contract to buy the rolling stock and replacement parts under which the recipient has an option to buy additional rolling stock or replacement parts for— > > > ##### “(A) > > not more than 5 years after the date of the original contract for bus procurements; and > > > ##### “(B) > > not more than 7 years after the date of the original contract for rail procurements, provided that such option does not allow for significant changes or alterations to the rolling stock.” > . ####

(2)in subsection (h), by striking “Federal Public Transportation Act of 2005” and inserting “Federal Public Transportation Act of 2012”; ####

(3)in subsection (j)(2)(C), by striking “, including the performance reported in the Contractor Performance Assessment Reports required under section 5309(l)(2)”; and ####

(4)by adding at the end the following: > > ### “(k) Veterans Employment > > Recipients and subrecipients of Federal financial assistance under this chapter shall ensure that contractors working on a capital project funded using such assistance give a hiring preference, to the extent practicable, to veterans (as defined in section 2108 of title 5) who have the requisite skills and abilities to perform the construction work required under the contract. This subsection shall not be understood, construed or enforced in any manner that would require an employer to give a preference to any veteran over any equally qualified applicant who is a member of any racial or ethnic minority, female, an individual with a disability, or a former employee.” > .