(a) Study.--Municipalities or municipal authorities establishing a district shall undertake or commission the undertaking of a comprehensive study to determine the program of projects to be financed within the district. The analysis of projects shall conform with Federal, State and regional standards for integrated transportation planning and programming. The study shall identify the beneficiaries of all projects in the transportation improvement program and include an analysis of cost allocation among beneficiaries prorated according to benefits to be received.

(b) Multiyear program.--Municipalities or municipal authorities establishing a district shall develop a multiyear transportation improvement program and financial plan. The multiyear transportation improvement program shall identify priorities and provide a schedule for transportation facilities to be constructed or transportation services to be offered. The financial plan shall include the total and constituent cost of the program of projects and all sources of funding. The program must be submitted to the appropriate municipal, county and regional planning commissions for approval. The commissions shall approve or reject the program within 60 days of submission.

(c) County and regional programs.--Municipalities or municipal authorities establishing transportation development districts shall cooperate in the formulation of a countywide transportation improvement program of any projects affecting the State highway system. The countywide program shall be submitted to the regional planning commission for review, approval and consolidation into the regional transportation plan and program. Where no regional planning commission exists, such plans and programs shall be submitted directly to the Department of Transportation for consideration for consolidation into the Commonwealth's 12-year transportation plan. The regional planning commission or, if appropriate, the department shall reject or approve the program within 60 days of submission.

(d) Department of Transportation.--An adopted countywide or regional program shall be presented to the Department of Transportation for review, approval and consolidation into the Commonwealth's 12-year transportation program. The department shall reject or approve the program within 100 days of submission.

(e) Financing activities.--No financing activities under section 3¹ shall take place until a program of projects for the ensuing year (or group of years) has been adopted and all planning activities and approvals for the project required by the section have been completed.