USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PROJECTED COST.

SEC. 208. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PROJECTED COST. Section 211 of the Public Works and Economic Development Act of 1965 (42 U.S.C. 3151) is amended to read as follows: “SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PROJECTED COST. “(a) In General.—In the case of a grant to a recipient for a construction project under section 201 or 209, if the Secretary determines, before closeout of the project, that the cost of the project, based on the designs and specifications that were the basis of the grant, has decreased because of decreases in costs, the Secretary may approve, without further appropriation, the use of the excess funds (or a portion of the excess funds) by the recipient—“(1) to increase the Federal share of the cost of a project under this title to the maximum percentage allowable under section 204; or “(2) to improve the project. “(b) Other Uses of Excess Funds.—Any amount of excess funds remaining after application of subsection (a) may be used by the Secretary for providing assistance under this Act. “(c) Transferred Funds.—In the case of excess funds described in subsection (a) in projects using funds transferred from other Federal agencies pursuant to section 604, the Secretary shall—“(1) use the funds in accordance with subsection (a), with the approval of the originating agency; or “(2) return the funds to the originating agency.“(d) Review by Comptroller General.—“(1) Review.—The Comptroller General of the United States shall regularly review the implementation of this section. “(2) Report.—Not later than 1 year after the date of enactment of this subsection, the Comptroller General shall submit to the Committee on Environment and Public Works of the Senate and the Committee on Transportation and Infrastructure of the House of Representatives a report on the findings of the Comptroller General on implementation of this subsection.” .