49 U.S.C. § 31314: Withholding amounts for State noncompliance

The Secretary of Transportation shall withhold up to 5 percent of the amount required to be apportioned to a State under section 104(b)(1), (3), and (4) 1 of title 23 on the first day of the fiscal year after the first fiscal year beginning after 1 See References in Text note below. September 30, 1992 , throughout which the State does not comply substantially with a requirement of section 31311(a) of this title . The Secretary shall withhold up to 10 percent of the amount required to be apportioned to a State under section 104(b)(1), (3), and (4) 1 of title 23 on the first day of each fiscal year after the 2d fiscal year beginning after September 30, 1992 , throughout which the State does not comply substantially with a requirement of section 31311(a) of this title . the penalty for the first instance of noncompliance by a State under this section shall be not more than an amount equal to 4 percent of funds required to be apportioned to the noncompliant State under paragraphs (1) and (2) of section 104(b) of title 23 ; and the penalty for subsequent instances of noncompliance shall be not more than an amount equal to 8 percent of funds required to be apportioned to the noncompliant State under paragraphs (1) and (2) of section 104(b) of title 23 . Amounts withheld under this section from apportionment to a State after September 30, 1995 , are not available for apportionment to the State.