Incentivizing Value Capture for Greener Transportation Act
This bill authorizes the Department of Transportation (DOT) to provide technical assistance grants to states and local governments to (1) develop more state and local value capture mechanisms for long-term funding that promote mobility, public transportation, and affordable transit-oriented development; (2) improve public transportation and mobility; and (3) develop strategic partnerships that create greater self-help capacity that leads to greater long term and robust investments in public transportation, mobility, inclusive economic development, and affordable transit-oriented development.
DOT must
To amend title 49, United States Code, to provide grants and develop 
                         value capture policy.

    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 ``Incentivizing Value Capture for 
Greener Transportation Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) In 2018, greenhouse gas emissions (GHG) rose sharply by 
        3.4 percent, the second-largest annual gain in more than 20 
        years, and GHG emissions have grown by approximately 1.5 
        percent every year over the last decade.
            (2) Greenhouse gas emissions from the transportation 
        sector, including cars and trucks, are the largest source of 
        GHG emissions in the United States with the transportation 
        sector emitting 1,900,000,000 tons of carbon dioxide (CO2) 
        annually.
            (3) Annual vehicle miles traveled (VMT) in the United 
        States have nearly tripled since 1971, rising to 
        3,210,000,000,000 in 2018.
            (4) Consequently, in 2018, Americans lost an average of 97 
        hours a year due to congestion, costing them nearly 
        $87,000,000,000.
            (5) Residents in communities located near high-capacity 
        transit are twice as likely not to own a car as residents who 
        live elsewhere, and they own half as many cars per household.
            (6) Increasing transit ridership and improving our transit 
        systems in urban, suburban, and exurban areas, using innovative 
        solutions such as land value capture, will help reduce VMT, 
        congestion, GHG emissions, and reliance on fossil fuels and 
        vehicles. By reducing such factors, the United States can help 
        curb the effects of climate change.

SEC. 3. VALUE CAPTURE POLICY AND PLANNING PROGRAM.

    Chapter 53 of title 49, United States Code, is amended by adding at 
the end the following:

``SEC. 5341. TECHNICAL ASSISTANCE AND VALUE CAPTURE POLICY.

    ``(a) Technical Assistance and Policy Development.--
            ``(1) Technical assistance grants.--The Secretary may make 
        a grant available to a State or local government if the 
        Secretary determines that such grant will assist recipients 
        under this section to--
                    ``(A) develop more State and local value capture 
                mechanisms for long-term funding that promote mobility, 
                public transportation, and affordable transit-oriented 
                development;
                    ``(B) improve public transportation and mobility; 
                and
                    ``(C) develop strategic partnerships that create 
                greater self-help capacity that leads to greater long 
                term and robust investments in public transportation, 
                mobility, inclusive economic development, and 
                affordable transit-oriented development.
            ``(2) Performance benchmarks and maintenance of effort.--
                    ``(A) Performance benchmarks.--To be eligible for a 
                grant under this section, the grantee shall include in 
                its application an explanation of how the grant funds 
                will demonstrably increase transit capacity and 
                ridership and reduce carbon dioxide emissions, vehicle 
                miles traveled, and congestion.
                    ``(B) Maintenance of effort.--
                            ``(i) In general and possible reduction.--
                        In addition to the eligibility requirements of 
                        subparagraph (A), a grantee also needs to 
                        include in its application a certification to 
                        maintain the same funding level as the 
                        aggregate expenditures at or above the average 
                        level of expenditures in the 2 fiscal years 
                        prior to the date of enactment of this section. 
                        If a State or local government that receives a 
                        grant under this section reduces its combined 
                        fiscal effort for value capture initiatives and 
                        programs or the aggregate expenditures within 
                        the State or local government to support value 
                        capture, public transportation, or affordable 
                        transit-oriented development programs for any 
                        fiscal year that a State or local government 
                        receives a grant authorized under this section 
                        relative to the previous fiscal year, the 
                        Secretary, except as provided in clause (ii), 
                        shall reduce support for such State or local 
                        government under this section by the same 
                        amount as the decline in State or local effort 
                        for such fiscal year.
                            ``(ii) Waiver.--The Secretary may waive the 
                        requirements of this subparagraph if--
                                    ``(I) the Secretary determines that 
                                a waiver would be appropriate due to a 
                                precipitous decline in the financial 
                                resources of a State or local 
                                government as a result of unforeseen 
                                economic hardship or a natural disaster 
                                that has necessitated across-the-board 
                                reductions in State or local services, 
                                including value capture, public 
                                transportation, and affordable transit-
                                oriented development programs; or
                                    ``(II) due to the circumstances of 
                                a State or local government requiring 
                                reductions in specific programs, if the 
                                State or local government presents to 
                                the Secretary a justification and 
                                demonstration why other programs could 
                                not be reduced and how value capture, 
                                public transportation, and affordable 
                                transit-oriented development programs 
                                in the State will not be 
                                disproportionately harmed by such State 
                                or local action.
            ``(3) Davis-bacon.--The Secretary shall ensure that 
        laborers and mechanics employed by contractors and 
        subcontractors in construction work financed by a grant made 
        under this section will be paid wages not less than those 
        prevailing on similar construction in the locality, as 
        determined by the Secretary of Labor under subchapter IV of 
        chapter 31 of title 40 (commonly known as the `Davis-Bacon 
        Act').
            ``(4) Enforcement.--The Secretary may revoke grant funds 
        provided under this section if a grantee fails to implement the 
        maintenance of effort under paragraph (2)(B) and Davis-Bacon 
        provisions referred to paragraph (3).
            ``(5) Evaluation.--Not later than 3 years after receiving a 
        grant under this section, the grantee shall assess the 
        effectiveness of the use of the funds by evaluating whether the 
        funds created a demonstrable increase in transit capacity and 
        ridership and a reduction in carbon dioxide emissions, vehicle 
        miles traveled, and congestion.
            ``(6) Technical assistance.--The Secretary, through a 
        competitive bid process, may enter into contracts, cooperative 
        agreements, and other agreements with national nonprofit 
        organizations and universities that have the appropriate 
        demonstrated capacity to provide value capture-related 
        technical assistance under this subsection, including guidance 
        on implementing foreign value capture models within the United 
        States.
            ``(7) Supplement not supplant.--Grant funds received under 
        this section shall be used to supplement and not supplant other 
        Federal, State, and local public funds expended on public value 
        capture and affordable transit-oriented development programs in 
        the State or local government.
            ``(8) Value capture policy requirements.--
                    ``(A) Value capture policy.--Not later than October 
                1 of the fiscal year that begins 2 years after the date 
                of enactment of this section, the Secretary, in 
                collaboration with State departments of transportation, 
                metropolitan planning organizations, and regional 
                council of governments, shall establish voluntary and 
                consensus-based value capture standards, policies, and 
                best practices for State and local value capture 
                mechanisms that promote greater investments in public 
                transportation and affordable transit-oriented 
                development.
                    ``(B) Report.--Not later than 15 months after the 
                date of enactment of this section, the Secretary shall 
                make available to the public a report cataloging 
                examples of State and local laws and policies that 
                provide for value capture and value sharing that 
                promote greater investment in public transportation and 
                affordable transit-oriented development.
                    ``(C) Best practices.--Based on the report required 
                under subparagraph (B), the Secretary shall identify 
                and disseminate examples of best practices where States 
                and local governments have adopted value capture and 
                value sharing mechanisms that have successfully 
                provided for greater investment in public 
                transportation and affordable transit-oriented 
                development.
    ``(b) Definitions.--For purposes of this section--
            ``(1) the term `value capture' means capturing a portion of 
        the incremental economic value created by government 
        investments, activities, and policies that may generate 
        alternative revenue streams, assets, or other financial value 
        for which could assist in funding those investments and 
        activities;
            ``(2) the term `transit-oriented development' means a mix 
        of commercial, residential, office, and entertainment centered 
        around or located near a public transportation station that 
        promotes affordable housing and commercial space;
            ``(3) the term `affordable housing' means housing, the cost 
        of which does not exceed 30 percent of the income of a family; 
        and
            ``(4) the term `affordable commercial space' means 
        commercial space dedicated to either protect or promote small 
        and disadvantage businesses provided below market rent 
        value.''.
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Incentivizing Value Capture for Greener Transportation Act
To amend title 49, United States Code, to provide grants and develop value capture policy.
Incentivizing Value Capture for Greener Transportation Act
Rep. DeSaulnier, Mark