Investment requirements to meet performance goals

Section 119(f) of title 23, United States Code, is amended— (1) in the subsection heading, by striking conditions and inserting conditions; greenhouse gas emissions on public roads; and (2) by adding at the end the following: (3) Greenhouse gas emissions on public roads (A) Obligation requirement (i) In general Subject to clause (ii), if a State reports, in a performance target report under section 150(e), that the State has not achieved the targets of the State for performance measures described in section 150(d) pertaining to the minimum standards for public roads established by the Secretary under section 150(c)(7), the State shall be required, during the following fiscal year— (I) to obligate 33 percent of the amount apportioned to the State under section 104(b)(1) for the purpose of achieving the targets through projects described in clause (iii); and (II) to obligate 10 percent of the amount apportioned to the State under section 104(b)(2) (other than amounts suballocated to metropolitan areas and other areas of the State under section 133(d)) for the purpose of achieving the targets through projects described in clause (iii). (ii) Increase For each fiscal year after the date of enactment of this paragraph that the State does not achieve the targets of the State for performance measures described in section 150(d) pertaining to the minimum standards for public roads established by the Secretary under section 150(c)(7), the amount required to be obligated under clause (i)(I) shall be increased by 2 percent over the amount required to be obligated in the previous fiscal year. (iii) Projects described A project referred to in clause (i) is any of the following: (I) A project on a Federal-aid highway. (II) Transit expansion, including an expansion of regular bus routes, arterial bus rapid transit, highway bus rapid transit, rail transit, and intercity passenger rail. (III) Transit service improvements, including an increased service level. (IV) Transit fare reduction or transit priority treatments. (V) A project for active transportation infrastructure. (VI) A project for micromobility infrastructure and service, including shared vehicle services. (VII) A land use project, including residential and other density increases, mixed-use development, and transit-oriented development. (B) Restoration The obligation requirement in subparagraph (A)(i)(I) for a fiscal year shall remain in effect for each subsequent fiscal year until the date on which the Secretary determines that the State has achieved the targets of the State for performance measures described in section 150(d) pertaining to the minimum standards for public roads established by the Secretary under section 150(c)(7)..