; or (B) the average annual transportation emissions within the urbanized area, as estimated on a per capita basis, has grown more slowly or declined during the most recent 2-calendar-year period for which data are available for transportation emissions at the time the Secretary is making the grant under this section, as compared to the 2-calendar-year period that immediately precedes that period. (4) Transportation emissions The term transportation emissions has the meaning given the term in section 177(a). (b) Carbon reduction performance and planning recognition awards (1) In general The Secretary shall establish a competitive grant program to award grants to eligible entities in recognition of the achievement of the eligible entity in meeting the performance categories described in paragraph (3)(A). (2) Eligible entities The Secretary shall distribute amounts under paragraph (1) to any of the following: (A) A qualifying State. (B) A qualifying unit of local government. (3) Performance categories (A) In general The Secretary shall select eligible entities to receive a grant under paragraph (1) to recognize the achievement of the eligible entity in meeting any of the following performance categories: (i) A significant reduction in transportation emissions, as estimated on a per unit of economic output basis. (ii) A significant reduction in transportation emissions, as estimated on a per capita basis. (iii) Transportation emissions, as estimated on a per unit of economic output basis, that are among the lowest of jurisdictions with comparable population and surface transportation system characteristics. (iv) Transportation emissions, as estimated on a per capita basis, that are among the lowest of jurisdictions with comparable population and surface transportation system characteristics. (v) Innovative planning efforts and the implementation of a carbon reduction strategy under section 177(d)(1)(A) or plans that lead to a reduction in transportation emissions. (B) Merit based distribution In selecting among