H.R. 8870

BUILD America 250 Act

Official summary

Written by the Congressional Research Service.

Building Unrivaled Infrastructure and Long-term Development for America's 250th Act or the BUILD America 250 Act

This bill authorizes federal surface transportation (highway, public transportation, and rail) programs and activities through FY2031. The bill also establishes or modifies Department of Transportation (DOT) programs and policies that are a part of the federal-aid highway, transit, highway safety, motor carrier, research, hazardous materials, and rail programs. 

For example, the bill authorizes appropriations through FY2031 out of the Highway Trust Fund for the federal-aid highway program, the Transportation Infrastructure Finance and Innovation Act (TIFIA) program, highway safety programs, and bridge programs. The bill also authorizes funding through FY2031 for Amtrak. Current authorization for these programs expires on September 30, 2026.

Among other provisions, the bill

  • establishes a Surface Transportation Accelerator Grant (STAG) discretionary program to fund surface transportation projects in rural, urban, local, and regional communities;
  • requires the Federal Highway Administration to impose a new annual electric vehicle (EV) registration fee, starting at $130 for a covered EV and $35 for a covered plug-in hybrid vehicle;
  • exempts automated driving system technology and equipment from vehicle width requirements;
  • establishes a consolidated state block grant program that allows DOT to allocate a lump sum to participating states to fund public transportation services in rural and urbanized areas;
  • allows state rail safety inspectors to conduct railroad bridge inspections; and
  • establishes a system for state, local, and tribal governments to report safety concerns about the condition of railroad bridges.

Text of the bill

Expand all

I Federal-Aid Highways

A Authorizations and Programs

B Improved Project Delivery and Environmental Streamlining

C Miscellaneous

II Transportation Infrastructure Finance and Innovation

III Public Transportation

A Reforms

Sec. 3013. General provisions

(a) In general. Section 5323 of title 49, United States Code, is amended—

(1) in subsection (d)(2)—

(A) in subparagraph (A)—

(i) in the subparagraph heading by inserting ; notice of determination after Investigations;

(ii) by striking On receiving a complaint about a violation of the agreement required under and inserting Not later than 120 days after the receipt of any complaint of a violation of an agreement described in;

(iii) by striking shall investigate and decide whether a violation has occurred. and inserting

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shall—

(i) investigate such complaint; and

(ii) provide, in writing, to the individual that filed the complaint and the recipient of financial assistance alleged to have violated such an agreement or a regulation prescribed in accordance with this section, the determination of the Secretary with respect to—

(I) whether the recipient of such assistance violated this section or a regulation prescribed in accordance with this section;

(II) the facts underlying the complaint; and

(III) any action the Secretary is taking in response to the complaint.

(B) in subparagraph (C) by striking remedy specified in the agreement and inserting action the Secretary takes to remedy a violation of an agreement described in paragraph (1);

(C) by striking subparagraph (B); and

(D) by redesignating subparagraph (C) as subparagraph (B);

(2) in subsection (e)(1) by inserting 5308, after 5307,;

(3) in subsection (f)—

(A) in the heading by striking Schoolbus and inserting School bus; and

(B) by striking schoolbus each place it appears and inserting school bus;

(4) in subsection (i)(1)(A)—

(A) by striking acquiring vehicles and inserting acquiring vehicles or vessels;

(B) by striking et seq.) or and inserting et seq.), with; and

(C) by striking is for 85 percent and all that follows through the period and inserting , or as an eligible project (as defined in section 5339(e)(2)) under section 5339 of this chapter is for 90 percent of the net project cost.;

(5) in subsection (j)(3)—

(A) in subparagraph (A) by inserting and not later than 180 days after the date on which an applicant submits a request to the Secretary to waive the requirements of paragraph (1) after paragraph (2);

(B) in subparagraph (B)—

(i) by striking Not later than 1 year after the date of enactment of the Federal Public Transportation Act of 2012, and annually thereafter, the and inserting the following:

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(i) In general. Except as otherwise provided in clause (ii), the

(ii) by inserting , on an annual basis, after shall;

(iii) by striking a report listing any waiver and inserting

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a report listing—

(I) any waiver

(iv) by striking the period at the end and inserting ; and; and

(v) by adding at the end the following:

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(II) any extensions of an application to waive the requirements described in paragraph (1) and the rationale as to why a determination requires additional time consider prior to issuing a written determination.

(ii) Exception. In the event the Secretary issues fewer than 3 or no waivers provided for under paragraph (2) during the preceding year, the Secretary may brief the Committees described in clause (i) in lieu of submitting a report under such clause.

(C) by redesignating subparagraph (B) as subparagraph (C); and

(D) by inserting after subparagraph (A) the following:

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(B) Extension. If, upon review of the facts and status of an application to waive the requirements described in paragraph (1), the Secretary determines that the time provided to make a written determination is insufficient, the Secretary may approve an extension of such determination deadline by not more than 6 months.

(6) in subsection (r)—

(A) by striking A recipient and inserting (1) In general.—A recipient; and

(B) by striking In determining and all that follows through the period at the end and inserting the following:

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(2) Requirements. In determining reasonable access under paragraph (1), a recipient of assistance shall—

(A) consider capacity requirements of the recipient of assistance and the extent to which access would be detrimental to existing public transportation services; and

(B) not later than 90 days after receiving a request for access to such facility from a private intercity or charter transportation operator—

(i) provide a written response to the requestor; and

(ii) simultaneously provide a copy of such response to the Secretary.

(3) Savings clause. Nothing in this subsection shall be construed to—

(A) limit the authority of the Secretary to act as otherwise authorized by law to ensure proper use of, and authorize access to, federally funded public transportation facilities; or

(B) require a recipient of federal assistance under this chapter to fund special facilities for private intercity or charter operators.

(7) in subsection (u)—

(A) by striking paragraphs (1) and (2) and inserting the following:

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(1) Definitions. In this subsection:

(A) Covered entity. The term covered entity means an entity (including a corporation, partnership, association, organization, or other entity)—

(i) the principal place of business of which is in a covered nation;

(ii) that is headquartered in, incorporated in, or otherwise organized under the laws of a covered nation;

(iii) that, regardless of where the entity is organized or doing business, is owned or controlled by a covered nation or covered individual, including circumstances in which a covered individual possesses the power to determine, direct, or decide matters affecting the entity—

(I) through—

(aa) the ownership of a majority of the total outstanding voting interest in the entity;

(bb) board representation;

(cc) proxy voting;

(dd) a special share;

(ee) contractual arrangements;

(ff) formal or informal arrangements to act in concert; or

(gg) other means; and

(II) regardless of whether the power is—

(aa) direct; or

(bb) exercised or unexercised;

(iv) is owned or controlled by a subsidiary or affiliate of an entity described in clause (i), (ii), or (iii), or that is the majority owner of a joint venture with an entity described in clause (i), (ii), or (iii);

(v) is a manufacturer from which the procurement of rolling stock was ever prohibited under this subsection; or

(vi) is an owner of, successor of, subsidiary of, or affiliate of a manufacturer described in clause (v), or is the majority owner of a joint venture with such a manufacturer.

(B) Covered funding. The term covered funding means any financial assistance administered in accordance with the requirements of this chapter.

(C) Covered individual. The term covered individual means any individual, wherever located—

(i) whose activities are directly or supervised, directed, controlled, financed, or subsidized, in whole or in majority part, by a covered nation or covered entity;

(ii) who acts as an agent, representative, or employee of a covered nation or an individual described in clause (i);

(iii) who acts in any other capacity at the order of, at the request of, or under the direction or control of a covered nation or an individual described in clause (i); or

(iv) who—

(I) is a citizen or resident of a covered nation or a country controlled by a covered nation; and

(II) is not a citizen or permanent resident of the United States.

(D) Covered nation. The term covered nation has the meaning given the term in section 4872(d) of title 10.

(E) Covered vehicle. The term covered vehicle means rolling stock that—

(i) is produced or provided by a covered entity included on the list developed under paragraph (2)(B); or

(ii) incorporates an electric power train manufactured or provided by a covered entity included on the list developed under paragraph (2)(B).

(F) Electric power train. The term electric power train has the meaning given the term in section 571.305 of title 49, Code of Federal Regulations (as in effect on the date of enactment of the BUILD America 250 Act).

(2) Prohibition

(A) In general. Subject to subparagraph (C), on and after the date of enactment of the BUILD America 250 Act, the Secretary may not award or obligate covered funding—

(i) for a contract or subcontract for the procurement of a covered vehicle; or

(ii) for the construction, installation, or maintenance of infrastructure to fuel or charge a covered vehicle that is a bus, if the applicable covered vehicle is procured under a contract or subcontract executed on or after the date of enactment of the BUILD America 250 Act.

(B) List of covered entities

(i) In general. Not later than 30 days after the date of enactment of the BUILD America 250 Act, the United States Trade Representative, in consultation with the Attorney General and the Secretary, shall make publicly available, including on a publicly accessible website, a list of covered entities that produce or provide—

(I) rolling stock to which the prohibition under subparagraph (A) applies; or

(II) electric power trains the incorporation of which into rolling stock would render the rolling stock subject to the prohibition under subparagraph (A).

(ii) Updates. The United States Trade Representative shall update the list required under clause (i)—

(I) based on information provided to the United States Trade Representative by the Attorney General and the Secretary; and

(II) not less frequently than—

(aa) once every 90 days during the 180-day period beginning on the date of initial publication of the list under such clause; and

(bb) annually thereafter.

(C) Exception. Notwithstanding subparagraph (A), the Secretary may procure a covered vehicle or construct, install, or maintain infrastructure to fuel or charge a covered vehicle for purposes of—

(i) the inspection or investigation of a motor vehicle or equipment; or

(ii) motor vehicle safety research, development, or testing.

(B) in paragraph (4) by striking paragraph (1) each place it appears and inserting paragraph (2);

(C) in paragraph (5)—

(i) in subparagraph (A)—

(I) by striking This subsection, including the and inserting The;

(II) by striking (4), and inserting (4);

(III) by inserting that does not utilize covered funds after subcontract;

(IV) by striking rail rolling stock manufacturer described in paragraph (1) and inserting covered entity;

(V) by striking the manufacturer and inserting the covered entity; and

(VI) by striking date of enactment of this subsection and inserting date of enactment of the BUILD America 250 Act;

(ii) by striking subparagraph (B) and inserting the following:

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(B) Contract completion. Notwithstanding paragraph (2), covered funds may be obligated for a contract or subcontract that was eligible for assistance under this chapter under the provisions of this subsection prior to the date of enactment of the BUILD America 250 Act until the delivery of rolling stock is complete under such contract and throughout the completion of all contract warranties under such contract.

; and

(iii) by striking subparagraph (C); and

(D) by adding at the end the following:

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(6) Severability. If any provision of this subsection, or the application of this subsection to any person or circumstance, is held to be unconstitutional or otherwise invalid, the remainder of this subsection, and the application of the provision to any other person or circumstance, shall not be affected.

; and

(8) by adding at the end the following:

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(w) Bus procurement assessment and maximum Federal payment

(1) In general. The Secretary shall—

(A) immediately upon enactment of this subsection and at least once every 5 years thereafter, carry out a review of—

(i) all applicable Federal laws and policies relating to the procurement of bus rolling stock by a recipient of Federal assistance under this chapter, including policies, processes, and procedures relating to such procurement set forth by the Federal Transit Administration; and

(ii) relevant awards to recipients of such assistance that resulted in completed procurement of bus rolling stock for use in public transportation within the most recent 5 years, including a comparative analysis of vehicle components, designs, use of performance specifications in contracting, use of State and local purchasing schedules, and total costs associated with the procurement of such vehicles;

(B) update, as necessary, policies, processes, procedures, administrative guidance, and best practices of the Secretary to ensure the timely, cost-effective, and efficient procurement of bus rolling stock by a recipient of such assistance; and

(C) beginning in fiscal year 2029, and on an annual basis thereafter, publish a schedule listing the maximum amounts of Federal funds that may be used by a recipient, on a per unit basis and notwithstanding the applicable Federal cost share, to procure different combinations of propulsion types and lengths of bus rolling stock, as such amounts are determined under paragraph (2).

(2) Maximum Federal payment amount

(A) In general. Each maximum federal payment amount published by the Secretary in accordance with paragraph (1)(C) and allowed to be used in the procurement of bus rolling stock by a recipient of Federal assistance shall—

(i) account for all applicable Federal procurement laws and administrative policies;

(ii) not be construed to constrain the price of such bus rolling stock that a recipient of federal assistance may procure using non-Federal funds; and

(iii) ensure the procurement of safe and reliable bus rolling stock for use in public transportation.

(B) Maximum Federal payment formula. For each unique combination of vehicle length and propulsion type for which bus rolling stock is commercially available, the maximum federal payment shall equal an amount according to the following formulas:

(i) Fiscal year 2029. For fiscal year 2029, the maximum Federal payment amount shall equal the average of all of the products of 80 percent multiplied by the price of each procurement for a bus rolling stock combination of similar propulsion type and vehicle length procured within the most recent 5 years.

(ii) Fiscal year 2030. For fiscal year 2030, the maximum Federal payment amount shall equal the average of all of the products of 75 percent multiplied by the price of each procurement for a bus rolling stock combination of similar propulsion type and vehicle length procured within the most recent 5 years.

(iii) Fiscal Year 2031. For fiscal year 2031 and in each fiscal year thereafter, the maximum Federal payment amount shall equal the average of all of the products of 70 percent multiplied by the price of each procurement for a bus rolling stock combination of similar propulsion type and vehicle length procured within the most recent 5 years.

(3) Special rules for maximum Federal payment schedule

(A) Publish date. The schedule described in paragraph (1)(C) shall be published not later than October 1 of each year in which the maximum Federal payment amount is in effect pursuant to the formulas in paragraph (2)(B).

(B) Requirement. The schedule described in paragraph (1)(C) shall include a maximum Federal payment amount for each unique combination of propulsion type and vehicle length for which bus rolling stock is commercially available.

(C) Failure to publish. In the event the Secretary fails to publish the schedule described in paragraph (1)(C) by the date provided under subparagraph (A), the most recently published schedule shall remain in effect, adjusted for inflation based on the Producer Price Index prepared by the Department of Labor.

(D) Failure to publish all commercially available combinations. A schedule that omits a maximum Federal payment amount for any combination of propulsion type and vehicle length of bus rolling stock that is commercially available shall be considered incomplete and subject to paragraph (C).

(4) Savings Clause. Nothing in this subsection shall limit the authority of the Secretary to apply the applicable Federal cost share for an award made under this chapter as such cost share applies to an award for purposes of procuring or purchasing bus rolling stock.

(5) Report to Congress. The Secretary shall issue a report to the Committee on Transportation and Infrastructure of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate on the results of each review required under paragraph (1)(A).

(6) State purchasing schedule

(A) In general. Notwithstanding paragraph (1)(C), the Secretary shall exempt a recipient of financial assistance under this chapter from being subject to the maximum Federal payment amount relating to the procurement of a unit of bus rolling stock if—

(i) the recipient of such assistance—

(I) procures a unit or more of bus rolling stock using a State Cooperative Procurement Schedule pursuant to section 3019 of the FAST Act (Public Law 114–94); and

(II) such cooperative procurement schedule ensures the procurement complies with applicable Federal procurement laws and administrative policies, including subsections (j) and (u) of this section; and

(ii) the cooperative procurement schedule described in clause (i)—

(I) allows a recipient to select from a State-developed schedule of standardized vehicle models;

(II) reduces or eliminates vehicle customization options for the recipient, except for vehicle modifications based on performance specifications (as defined under section 5325(f)(3)); and

(III) in the estimation of the recipient, reduces the per unit cost of bus rolling stock for the combination of propulsion type and vehicle length being procured below what such recipient would otherwise expect to pay through a standalone procurement.

(B) Technical assistance. The Secretary shall provide technical assistance to a State that seeks to develop a State Cooperative Procurement Schedule pursuant to section 3019 of the FAST Act (Public Law 114–94).

(C) Joint procurement clearinghouse. The Secretary shall maintain an updated list of State Cooperative Procurement Schedules that comply with the requirements under subparagraph (A) on the joint procurement clearinghouse established pursuant to section 3019(b)(4) of the FAST Act (Public Law 114–94).

(x) Advanced payments for bus rolling stock

(1) In general. Notwithstanding any provision of this chapter or part 200 of title 2, Code of Federal Regulations, or any successor regulation, a recipient may use assistance made available under this chapter to make an advance payment on a bus rolling stock vehicle without the transit vehicle manufacturer obtaining a performance bond or similar financial arrangement.

(2) Requirements for advanced payment. A recipient may make an advance payment under paragraph (1) only if—

(A) such recipient has a signed purchase order and executed contract with a transit vehicle manufacturer that includes advance payment provisions;

(B) the grant with respect to which such payment is being made has received preaward authority pursuant to subsection (m); and

(C) in the case of an advance payment for bus rolling stock, such model meets the requirements of section 5318(e).

(3) Limitation on advanced payment. A recipient may not make an advanced payment under paragraph (1) that is more than 20 percent of the total purchase order value.

(b) Reasonable access standard

(1) In general. Not later than 18 months after the date of enactment of this Act, the Secretary shall establish and make publicly available a reasonable access standard to ensure recipients of assistance under chapter 53 of title 49, United States Code, comply with the requirements of section 5323 of such chapter.

(2) Consultation. In carrying out this subsection, the Secretary shall consult with, and solicit feedback from, industry stakeholders and recipients of such assistance, including representatives from—

(A) public transportation agencies;

(B) private intercity bus operators;

(C) charter operators;

(D) federally funded public transportation facilities; and

(E) other stakeholders the Secretary considers appropriate.

(3) Briefing. Not later than 90 days after publishing the standard required by this subsection, the Secretary shall brief the Committee on Transportation and Infrastructure of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate on the contents of such standard.

B Miscellaneous

C Reorganization and Consolidation of Chapter 53

IV Highway Safety

V Motor Carriers

A General Provisions

B Commercial Motor Vehicle Operators

C Commercial Motor Vehicle Safety

D Household Goods Shipping Consumer Protection Reform

E Safe Integration of Autonomous Commercial Motor Vehicles

VI Innovation

VII Freight and Multimodal Transportation Programs

A Freight Policy

B Multimodal Policy and Programs

VIII Miscellaneous

IX Sport Fishing and Recreational Boating Safety

X Railroads and Hazardous Materials

A Authorization of Appropriations and Grant Reforms

B Amtrak Reforms

C Passenger Rail Policy

D Rail Safety and Innovation

E Project Delivery

F Hazardous Materials Transportation