A bill to amend the Hazardous Materials Transportation Act relating to transportation of hazardous materials in the vicinity of bodies of water which serve as sources of drinking water, and for other purposes.

Amends the Hazardous Materials Transportation Act to direct the Secretary of Transportation to promulgate regulations: (1) for the safe transportation of hazardous materials in the vicinity of bodies of water serving as drinking water sources; and (2) prohibiting transportation in commerce of hazardous materials over any public highway designated by a Federal or State official as hazardous due to its design or accident rate.

Sets forth civil penalties for violations of this Act. Authorizes appropriations for FY 1989.

Directs the Secretary to report to the Congress the results of a study regarding methods of containing hazardous materials spills occurring on bridges and methods of responding to such spills which are likely to contaminate water suppplies.