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SEC. 1309. ENVIRONMENTAL STREAMLINING.

    (a) Coordinated Environmental Review Process.--
        (1) Development and implementation.--The Secretary shall
    develop and implement a coordinated environmental review process
    for highway construction projects that require--
            (A) the preparation of an environmental impact statement or
        environmental assessment under the National Environmental
        Policy Act of 1969 (42 U.S.C. 4321 et seq.), except that the
        Secretary may decide not to apply this section to the
        preparation of an environmental assessment under such Act; or
            (B) the conduct of any other environmental review,
        analysis, opinion, or issuance of an environmental permit,
        license, or approval by operation of Federal law.
        (2) Memorandum of understanding.--
            (A) In general.--The coordinated environmental review
        process for each project shall ensure that, whenever
        practicable (as specified in this section), all environmental
        reviews, analyses, opinions, and any permits, licenses, or
        approvals that must be issued or made by any Federal agency for
        the project concerned shall be conducted concurrently and
        completed within a cooperatively determined time period. Such
        process for a project or class of project may be incorporated
        into a memorandum of understanding between the Department of
        Transportation and Federal agencies (and, where appropriate,
        State agencies).
            (B) Establishment of time periods.--In establishing the
        time period referred to in subparagraph (A), and any time
        periods for review within such period, the Department and all
        such agencies shall take into account their respective
        resources and statutory commitments.
    (b) Elements of Coordinated Environmental Review Process.--For each
project, the coordinated environmental review process established under
this section shall provide, at a minimum, for the following elements:
        (1) Federal agency identification.--The Secretary shall, at the
    earliest possible time, identify all potential Federal agencies
    that--
            (A) have jurisdiction by law over environmental-related
        issues that may be affected by the project and the analysis of
        which would be part of any environmental document required by
        the National Environmental Policy Act of 1969 (42 U.S.C. 4321
        et seq.); or
            (B) may be required by Federal law to independently--
                (i) conduct an environmental-related review or
            analysis; or
                (ii) determine whether to issue a permit, license, or
            approval or render an opinion on the environmental impact
            of the project.
        (2) Time limitations and concurrent review.--The Secretary and
    the head of each Federal agency identified under paragraph (1)--
            (A)(i) shall jointly develop and establish time periods for
        review for--
                (I) all Federal agency comments with respect to any
            environmental review documents required by the National
            Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.)
            for the project; and
                (II) all other independent Federal agency environmental
            analyses, reviews, opinions, and decisions on any permits,
            licenses, and approvals that must be issued or made for the
            project;
        whereby each such Federal agency's review shall be undertaken
        and completed within such established time periods for review;
        or
            (ii) may enter into an agreement to establish such time
        periods for review with respect to a class of project; and
            (B) shall ensure, in establishing such time periods for
        review, that the conduct of any such analysis, review, opinion,
        and decision is undertaken concurrently with all other
        environmental reviews for the project, including the reviews
        required by the National Environmental Policy Act of 1969 (42
        U.S.C. 4321 et seq.); except that such review may not be
        concurrent if the affected Federal agency can demonstrate that
        such concurrent review would result in a significant adverse
        impact to the environment or substantively alter the operation
        of Federal law or would not be possible without information
        developed as part of the environmental review process.
        (3) Factors to be considered.--Time periods for review
    established under this section shall be consistent with the time
    periods established by the Council on Environmental Quality under
    sections 1501.8 and 1506.10 of title 40, Code of Federal
    Regulations.
        (4) Extensions.--The Secretary shall extend any time periods
    for review under this section if, upon good cause shown, the
    Secretary and any Federal agency concerned determine that
    additional time for analysis and review is needed as a result of
    new information that has been discovered that could not reasonably
    have been anticipated when the Federal agency's time periods for
    review were established. Any memorandum of understanding shall be
    modified to incorporate any mutually agreed-upon extensions.
    (c) Dispute Resolution.--When the Secretary determines that a
Federal agency which is subject to a time period for its environmental
review or analysis under this section has failed to complete such
review, analysis, opinion, or decision on issuing any permit, license,
or approval within the established time period or within any agreed-
upon extension to such time period, the Secretary may, after notice and
consultation with such agency, close the record on the matter before
the Secretary. If the Secretary finds, after timely compliance with
this section, that an environmental issue related to the project that
an affected Federal agency has jurisdiction over by operation of
Federal law has not been resolved, the Secretary and the head of the
Federal agency shall resolve the matter not later than 30 days after
the date of the finding by the Secretary.
    (d) Participation of State Agencies.--For any project eligible for
assistance under chapter 1 of title 23, United States Code, a State, by
operation of State law, may require that all State agencies that have
jurisdiction by State or Federal law over environmental-related issues
that may be affected by the project, or that are required to issue any
environmental-related reviews, analyses, opinions, or determinations on
issuing any permits, licenses, or approvals for the project, be subject
to the coordinated environmental review process established under this
section unless the Secretary determines that a State's participation
would not be in the public interest. For a State to require State
agencies to participate in the review process, all affected agencies of
the State shall be subject to the review process.
    (e) Assistance to Affected Federal Agencies.--
        (1) In general.--The Secretary may approve a request by a State
    to provide funds made available under chapter 1 of title 23, United
    States Code, to the State for the project subject to the
    coordinated environmental review process established under this
    section to affected Federal agencies to provide the resources
    necessary to meet any time limits established under this section.
        (2) Amounts.--Such requests under paragraph (1) shall be
    approved only--
            (A) for the additional amounts that the Secretary
        determines are necessary for the affected Federal agencies to
        meet the time limits for environmental review; and
            (B) if such time limits are less than the customary time
        necessary for such review.
    (f) Judicial Review and Savings Clause.--
        (1) Judicial review.--Nothing in this section shall affect the
    reviewability of any final Federal agency action in a district
    court of the United States or in the court of any State.
        (2) Savings clause.--Nothing in this section shall affect the
    applicability of the National Environmental Policy Act of 1969 (42
    U.S.C. 4321 et seq.) or any other Federal environmental statute or
    affect the responsibility of any Federal officer to comply with or
    enforce any such statute.
    (g) Federal Agency Defined.--In this section, the term ``Federal
agency'' means any Federal agency or any State agency carrying out
affected responsibilities required by operation of Federal law.

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