Rural surface transportation grant program

Section 173 of title 23, United States Code, is amended— (1) in subsection (a)— (A) in paragraph (2) by striking over 200,000 and inserting 30,000 or less; and (B) by adding at the end the following: (3) Small community The term small community means an area that is outside an urbanized area and that has a population of 5,000 or less.; (2) in subsection (b)(2)— (A) in subparagraph (B) by striking and at the end; (B) in subparagraph (C) by striking the period at the end and inserting; and; and (C) by adding at the end the following: (D) to generate economic growth and development in rural areas to improve the quality of life for citizens in rural areas and small communities.; (3) in subsection (e)(1)— (A) in subparagraph (F) by striking or at the end; (B) in subparagraph (G) by striking the period at the end and inserting; or; and (C) by adding at the end the following: (H) a highway, road, bridge, or tunnel project that would benefit the economic development or quality of life for citizens of the community in which the project takes place.; (4) by striking subsection (i); (5) by redesignating subsections (j), (k), (l), (m), (n), and (o) as subsections (i), (j), (k), (l), (m), and (n), respectively; (6) in subsection (i) (as so redesignated)— (A) in paragraph (1) by striking paragraph (2) and inserting paragraphs (2) or (3); (B) by redesignating paragraph (3) as paragraph (4); and (C) by inserting after paragraph (2) the following: (3) Federal share for projects in small communities The Federal share of the cost of a project carried out in a small community with a grant under the program may not exceed 90 percent.; (7) in subsection (j) (as so redesignated) by striking paragraph (1) and inserting the following: (1) Projects in small communities The Secretary shall use not less than 5 percent of the amounts made available for the program for each fiscal year to provide grants for eligible projects in a small community.; and (8) in subsection (l) (as so redesignated) by striking subsection (l)(1) and inserting subsection (k)(1).