((a)) ** .—** In this section, the term “eligible entity” means—

((1)) a State agency;

((2)) a local government agency;

((3)) an institution of higher education (as defined in section 102 of the Higher Education Act of 1965 ()), including a university transportation center established under section 5505;

((4)) a nonprofit organization, including a nonprofit research organization; and

((5)) a private sector organization working in collaboration with an entity described in any of paragraphs (1) through (4).

((b)) ** .—** The Secretary of Transportation (referred to in this section as the “Secretary”) shall establish an advanced transportation research pilot program under which the Secretary—

((1)) shall establish a process for eligible entities to submit to the Secretary unsolicited research proposals; and

((2)) may enter into arrangements with 1 or more eligible entities to fund research proposed under paragraph (1), in accordance with this section.

((c)) ** .—** The Secretary may enter into an arrangement with an eligible entity under this section to fund research that—

((1)) addresses—

((A)) a research need identified by—

((i)) the Secretary; or

((ii)) the Administrator of a modal administration of the Department of Transportation; or

((B)) an issue that the Secretary determines to be important; and

((2)) is not duplicative of—

((A)) any other Federal research project; or

((B)) any project for which funding is provided by another Federal agency.

((d)) ** .—** The Secretary shall—

((1)) review each research proposal submitted under the pilot program established under subsection (b); and

((2))

((A)) if funding is denied for the research proposal—

((i)) provide to the eligible entity that submitted the proposal a written notice of the denial that, as applicable—

((I)) explains why the research proposal was not selected, including whether the research proposal fails to cover an area of need; and

((II)) recommends that the research proposal be submitted to another research program; and

((ii)) if the Secretary recommends that the research proposal be submitted to another research program under clause (i)(II), provide guidance and direction to—

((I)) the eligible entity; and

((II)) the proposed research program office; or

((B)) if the research proposal is selected for funding—

((i)) provide to the eligible entity that submitted the proposal a written notice of the selection; and

((ii)) seek to enter into an arrangement with the eligible entity to provide funding for the proposed research.

((e))

((1)) ** .—** The Secretary shall ensure that the activities carried out under subsection (c) are coordinated with, and do not duplicate the efforts of, programs of the Department of Transportation and other Federal agencies.

((2)) ** .—** The Secretary shall coordinate the research carried out under this section with—

((A)) the research, education, and technology transfer activities carried out by grant recipients under section 5505; and

((B)) the research, development, demonstration, and commercial application activities of other relevant programs of the Department of Transportation, including all modal administrations of the Department.

((3)) ** .—** The Secretary shall coordinate, as appropriate, regarding fundamental research with the potential for application in the transportation sector with—

((A)) the Director of the Office of Science and Technology Policy;

((B)) the Director of the National Science Foundation;

((C)) the Secretary of Energy;

((D)) the Director of the National Institute of Standards and Technology;

((E)) the Secretary of Homeland Security;

((F)) the Administrator of the National Oceanic and Atmospheric Administration;

((G)) the Secretary of Defense; and

((H)) the heads of other appropriate Federal agencies, as determined by the Secretary.

((f)) ** .—** Not less frequently than biennially, in accordance with the plan developed under section 6503, the Secretary shall—

((1)) review and evaluate the pilot program established under subsection (b), including the research carried out under that pilot program; and

((2)) make public on a website of the Department of Transportation a report describing the review and evaluation under paragraph (1).

((g))

((1)) ** .—** The Federal share of the cost of an activity carried out under this section shall not exceed 80 percent.

((2)) ** .—** All costs directly incurred by the non-Federal partners (including personnel, travel, facility, and hardware development costs) shall be credited toward the non-Federal share of the cost of an activity carried out under this section.

((h)) ** .—** Of any amounts made available to carry out this section for a fiscal year, the Secretary may use not more than 1.5 percent for coordination, evaluation, and oversight activities under this section.

((i)) ** .—** There is authorized to be appropriated to the Secretary to carry out this section $50,000,000 for each of fiscal years 2022 through 2026.