(a) Grants.-Subparagraphs (A) and (B) of section 105(a)(1) of the
Clean Air Act are amended to read as follows:
"(A) The Administrator may make grants to air pollution control
agencies, within the meaning of paragraph (1), (2), (3), (4), or
(5) of section 302, in an amount up to three-fifths of the cost
of implementing programs for the prevention and control of air
pollution or implementation of national primary and secondary
ambient air quality standards. For the purpose of this section,
`implementing' means any activity related to the planning,
developing, establishing, carrying-out, improving, or maintaining
of such programs.
"(B) Subject to subsections (b) and (c) of this section, an air
pollution control agency which receives a grant under
subparagraph (A) and which contributes less than the required
two-fifths minimum shall have 3 years following the date of the
enactment of the Clean Air Act Amendments of 1990 in which to
contribute such amount. If such an agency fails to meet and
maintain this required level, the Administrator shall reduce the
amount of the Federal contribution accordingly.".
(b) Conforming Amendment.-Section 105(a)(1)(C) of the Clean Air
Act is amended by striking "(B)" and inserting "(A)".
(c) Limitation on Grants.-Section 105(b) of the Clean Air Act is
(1) inserting "(1)" immediately after "(b)"
(2) striking all that follows "(3) the financial need of the
respective agencies."; and
(3) redesignating paragraphs (1), (2), and (3) as subparagraphs
(A), (B), and (C) respectively.
(d) Limitation.-Section 105 of the Clean Air Act is amended by
redesignating subsection (c) as paragraph (2) of subsection (b) and by
striking all that follows "into which such area extends." in the newly
designated paragraph (2) and inserting "Subject to the provisions of
paragraph (1) of this subsection, no State shall have made available
to it for application less than one-half of 1 per centum of the annual
appropriation for grants under this section for grants to agencies
within such State.".
(e) Maintenance of Effort.-Section 105 of the Clean Air Act is
amended by inserting the following new subsection after subsection
"(c) Maintenance of Effort.-(1) No agency shall receive any
grant under this section during any fiscal year when its
expenditures of non-Federal funds for recurrent expenditures for
air pollution control programs will be less than its expenditures
were for such programs during the preceding fiscal year. In order
for the Administrator to award grants under this section in a
timely manner each fiscal year, the Administrator shall compare
an agency's prospective expenditure level to that of its second
preceding fiscal year. The Administrator shall revise the current
regulations which define applicable nonrecurrent and recurrent
expenditures, and in so
doing, give due consideration to exempting an agency from the
limitations of this paragraph and subsection (a) due to periodic
increases experienced by that agency from time to time in its
annual expenditures for purposes acceptable to the Administrator
for that fiscal year.