Page:United States Statutes at Large Volume 119.djvu/1218

 119 STAT. 1200

Deadline.

VerDate 14-DEC-2004

13:51 Oct 26, 2006

PUBLIC LAW 109–59—AUG. 10, 2005

(4) PRELIMINARY ENGINEERING.—In evaluating a project under paragraph (2)(A), the Secretary shall analyze and consider the results of preliminary engineering for the project. (5) NON-FEDERAL FINANCIAL COMMITMENT.— (A) EVALUATION OF PROJECT.—In evaluating a project under paragraph (2)(C), the Secretary shall require that— (i) the proposed project plan provides for the availability of contingency amounts that the Secretary determines to be reasonable to cover unanticipated cost increases; and (ii) each proposed non-Federal source of capital and operating financing is stable, reliable, and available within the proposed project timetable. (B) CONSIDERATIONS.—In assessing the stability, reliability, and availability of proposed sources of non-Federal financing under subparagraph (A), the Secretary shall consider— (i) existing financial commitments; (ii) the degree to which financing sources are dedicated to the purposes proposed; (iii) any debt obligation that exists or is proposed by the recipient for the proposed project; and (iv) the extent to which the project has a nonFederal financial commitment that exceeds the required non-Federal share of the cost of the project. (6) REGULATIONS.—Not later than 180 days after the date of enactment of this Act, the Secretary shall issue regulations on the manner in which the Secretary will evaluate and rate the projects based on the results of preliminary engineering, project justification, and the degree of non-Federal financial commitment, as required under this subsection. (7) PROJECT EVALUATION AND RATING.— (A) IN GENERAL.—A proposed project may advance from preliminary engineering to final design and construction only if the Secretary finds that the project meets the requirements of this subsection and there is a reasonable likelihood that the project will continue to meet such requirements. (B) EVALUATION AND RATING.—In making such findings, the Secretary shall evaluate and rate the project as ‘‘highly recommended’’, ‘‘recommended’’, or ‘‘not recommended’’ based on the results of preliminary engineering, the project justification criteria, and the degree of non-Federal financial commitment, as required under this subsection. In rating the projects, the Secretary shall provide, in addition to the overall project rating, individual ratings for each of the criteria established under the regulations issued under paragraph (6). (g) LETTERS OF INTENT AND FULL FUNDING GRANT AGREEMENTS.— (1) LETTER OF INTENT.— (A) IN GENERAL.—The Secretary may issue a letter of intent to an applicant announcing an intention to obligate, for a project under this section, an amount from future available budget authority specified in law that is not more than the amount stipulated as the financial participation of the Secretary in the project.

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