§5324. Limitations on discretionary and special needs grants and loans

(a) Relocation Program Requirements.-Financial assistance may be provided under section 5309 of this title only if the Secretary of Transportation decides that-

(1) an adequate relocation program is being carried out for families displaced by a project; and

(2) an equal number of decent, safe, and sanitary dwellings are being, or will be, provided to those families in the same area or in another area generally not less desirable for public utilities and public and commercial facilities, at rents or prices within the financial means of those families, and with reasonable access to their places of employment.

(b) Economic, Social, and Environmental Interests.-(1) In carrying out section 5301(e) of this title, the Secretary of Transportation shall cooperate and consult with the Secretaries of Agriculture, Health and Human Services, Housing and Urban Development, and the Interior and the Council on Environmental Quality on each project that may have a substantial impact on the environment.

(2) In carrying out section 5309 of this title, the Secretary of Transportation shall review each transcript of a hearing submitted under section 5323(b) of this title to establish that an adequate opportunity to present views was given to all parties with a significant economic, social, or environmental interest and that the project application includes a statement on-

(A) the environmental impact of the proposal;

(B) adverse environmental effects that cannot be avoided;

(C) alternatives to the proposal; and

(D) irreversible and irretrievable impacts on the environment.

(3)(A) The Secretary of Transportation may approve an application for financial assistance under section 5309 of this title only if the Secretary makes written findings, after reviewing the application and any hearings held before a State or local governmental authority under section 5323(b) of this title, that-

(i) an adequate opportunity to present views was given to all parties with a significant economic, social, or environmental interest;

(ii) the preservation and enhancement of the environment, and the interest of the community in which a project is located, were considered; and

(iii) no adverse environmental effect is likely to result from the project, or no feasible and prudent alternative to the effect exists and all reasonable steps have been taken to minimize the effect.

(B) If a hearing has not been conducted or the Secretary of Transportation decides that the record of the hearing is inadequate for making the findings required by this subsection, the Secretary shall conduct a hearing on an environmental issue raised by the application after giving adequate notice to interested persons.

(C) A finding of the Secretary of Transportation under subparagraph (A) of this paragraph shall be made a matter of public record.

(c) Prohibitions Against Regulating Operations and Charges.-The Secretary of Transportation may not regulate the operation of a mass transportation system for which a grant is made under section 5309 of this title and, after a grant is made, may not regulate any charge for the system. However, the Secretary may require the local governmental authority, corporation, or association to comply with any undertaking provided by it related to its grant application.

( Pub. L. 103–272, §1(d), July 5, 1994, 108 Stat. 824 .)

Historical and Revision Notes

Revised Section	Source (U.S. Code)	Source (Statutes at Large)
5324(a)	49 App.:1606(a).	July 9, 1964, Pub. L. 88–365, §7(a), 78 Stat. 305 ; May 25, 1967, Pub. L. 90–19, §20(a), 81 Stat. 25 .
5324(b)(1)	49 App.:1610(a) (last sentence).	July 9, 1964, Pub. L. 88–365, §14(a) (last sentence)–(c), 78 Stat. 308 ; Sept. 8, 1966, Pub. L. 89–562, §2(a)(1), 80 Stat. 715 ; May 25, 1967, Pub. L. 90–19, §20(a), 81 Stat. 25 ; restated Oct. 15, 1970, Pub. L. 91–453, §6, 84 Stat. 966 .
5324(b)(2)	49 App.:1610(b).
5324(b)(3)	49 App.:1610(c).
5324(c)	49 App.:1608(d).	July 9, 1964, Pub. L. 88–365, §12(d), 78 Stat. 307 ; Aug. 10, 1965, Pub. L. 89–117, §1109, 79 Stat. 507 ; Sept. 8, 1966, Pub. L. 89–562, §2(a)(1), 80 Stat. 715 ; May 25, 1967, Pub. L. 90–19, §20(a), 81 Stat. 25 ; Nov. 6, 1978, Pub. L. 95–599, §308(c), 92 Stat. 2747 .

In subsection (a), before clause (1), the word "provided" is substituted for "extended" for clarity. The words "to any project" are omitted as surplus. In clause (2), the words "available . . . displaced" are omitted as surplus.

In subsection (b)(1), the words "Health and Human Services" are substituted for "Health, Education, and Welfare" in section 14(a) (last sentence) of the Urban Mass Transportation Act of 1964 (Public Law 88–365, 78 Stat. 308) [subsequently changed to the Federal Transit Act by section 3003(a) of the Intermodal Surface Transportation Efficiency Act of 1991 (Public Law 102–240, 105 Stat. 2087)] because of 20:3508(b).

In subsection (b)(2), before clause (A), the words "In carrying out section 5306 of this title" are added for clarity and consistency with subsections (b)(3) and (c) of this section. The word "detailed" is omitted as surplus. In clause (B), the words "should the proposal be implemented" are omitted as surplus. In clause (D), the words "which may be involved in the proposed project should it be implemented" are omitted as surplus.

In subsection (b)(3)(A), before clause (i), the word "financial" is added for clarity. The words "full and complete" are omitted as surplus. In clause (ii), the word "fair" is omitted as surplus. In clause (iii), the word "either" is omitted as surplus.

In subsection (b)(3)(B), the words "before the State or local agency pursuant to section 1602(d) of this Appendix" and "before the State or local public agency . . . to permit him" are omitted as surplus.

In subsection (c), the words "The Secretary of Transportation may not" are substituted for "None of the provisions of this chapter shall be construed to authorize the Secretary to" to eliminate unnecessary words. The words "in any manner . . . mode of" and "rates, fares, tolls, rentals, or other . . . fixed or prescribed . . . by any local public or private transit agency" are omitted as surplus. The words "However, the Secretary may" are substituted for "but nothing in this subsection shall prevent the Secretary from taking such actions as may be necessary to" to eliminate unnecessary words. The words "local governmental authority, corporation, or association" are substituted for "agency or agencies" for consistency with sections 5309 and 5310 of the revised title.

Section Referred to in Other Sections

This section is referred to in sections 5309, 5334 of this title.