| Home > 105th Congressional Bills > S. 2364 (es) To reauthorize and make reforms to programs authorized by the Public Works and Economic Development Act of 1965 and the Appalachian Regional Development Act of 1965. ...
S. 2364 (es) To reauthorize and make reforms to programs authorized by the Public Works and Economic Development Act of 1965 and the Appalachian Regional Development Act of 1965. ...
``(3) international trade, for help in economic restructuring of the communities; or ``(4) fishery failures, in areas with respect to which a determination that there is a commercial fishery failure has been made under section 312(a) of the Magnuson-Stevens Fishery Conservation and Management Act (16 U.S.C. 1861a(a)). ``(d) Direct Expenditure or Redistribution by Recipient.-- ``(1) In general.--Subject to paragraph (2), an eligible recipient of a grant under this section may directly expend the grant funds or may redistribute the funds to public and private entities in the form of a grant, loan, loan guarantee, payment to reduce interest on a loan guarantee, or other appropriate assistance. ``(2) Limitation.--Under paragraph (1), an eligible recipient may not provide any grant to a private for-profit entity. ``SEC. 210. CHANGED PROJECT CIRCUMSTANCES. ``In any case in which a grant (including a supplementary grant described in section 205) has been made by the Secretary under this title (or made under this Act, as in effect on the day before the effective date of the Economic Development Administration Reform Act of 1998) for a project, and, after the grant has been made but before completion of the project, the purpose or scope of the project that was the basis of the grant is modified, the Secretary may approve, subject (except for a grant for which funds were obligated in fiscal year 1995) to the availability of appropriations, the use of grant funds for the modified project if the Secretary determines that-- ``(1) the modified project meets the requirements of this title and is consistent with the comprehensive economic development strategy submitted as part of the application for the grant; and ``(2) the modifications are necessary to enhance economic development in the area for which the project is being carried out. ``SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PROJECTED COST. ``In any case in which a grant (including a supplementary grant described in section 205) has been made by the Secretary under this title (or made under this Act, as in effect on the day before the effective date of the Economic Development Administration Reform Act of 1998) for a construction project, and, after the grant has been made but before completion of the project, the cost of the project based on the designs and specifications that was the basis of the grant has decreased because of decreases in costs-- ``(1) the Secretary may approve, subject to the availability of appropriations, the use of the excess funds or a portion of the funds to improve the project; and ``(2) any amount of excess funds remaining after application of paragraph (1) shall be deposited in the general fund of the Treasury. ``SEC. 212. REPORTS BY RECIPIENTS. ``(a) In General.--Each recipient of assistance under this title shall submit reports to the Secretary at such intervals and in such manner as the Secretary shall require by regulation, except that no report shall be required to be submitted more than 10 years after the date of closeout of the assistance award. ``(b) Contents.--Each report shall contain an evaluation of the effectiveness of the economic assistance provided under this title in meeting the need that the assistance was designed to address and in meeting the objectives of this Act. ``SEC. 213. PROHIBITION ON USE OF FUNDS FOR ATTORNEY'S AND CONSULTANT'S FEES. ``Assistance made available under this title shall not be used directly or indirectly for an attorney's or consultant's fee incurred in connection with obtaining grants and contracts under this title. ``TITLE III--ELIGIBILITY; COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES ``SEC. 301. ELIGIBILITY OF AREAS. ``(a) In General.--For a project to be eligible for assistance under section 201 or 209, the project shall be located in an area that, on the date of submission of the application, meets 1 or more of the following criteria: ``(1) Low per capita income.--The area has a per capita income of 80 percent or less of the national average. ``(2) Unemployment rate above national average.--The area has an unemployment rate that is, for the most recent 24-month period for which data are available, at least 1 percent greater than the national average unemployment rate. ``(3) Unemployment or economic adjustment problems.--The area is an area that the Secretary determines has experienced or is about to experience a special need arising from actual or threatened severe unemployment or economic adjustment problems resulting from severe short-term or long-term changes in economic conditions. ``(b) Political Boundaries of Areas.--An area that meets 1 or more of the criteria of subsection (a), including a small area of poverty or high unemployment within a larger community in less economic distress, shall be eligible for assistance under section 201 or 209 without regard to political or other subdivisions or boundaries. ``(c) Documentation.-- ``(1) In general.--A determination of eligibility under subsection (a) shall be supported by the most recent Federal data available, or, if no recent Federal data is available, by the most recent data available through the government of the State in which the area is located. ``(2) Acceptance by secretary.--The documentation shall be accepted by the Secretary unless the Secretary determines that the documentation is inaccurate. ``(d) Prior Designations.--Any designation of a redevelopment area made before the effective date of the Economic Development Administration Reform Act of 1998 shall not be effective after that effective date. ``SEC. 302. COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES. ``(a) In General.--The Secretary may provide assistance under section 201 or 209 (except for planning assistance under section 209) to an eligible recipient for a project only if the eligible recipient submits to the Secretary, as part of an application for the assistance-- ``(1) an identification of the economic development problems to be addressed using the assistance; ``(2) an identification of the past, present, and projected future economic development investments in the area receiving the assistance and public and private participants and sources of funding for the investments; and ``(3)(A) a comprehensive economic development strategy for addressing the economic problems identified under paragraph (1) in a manner that promotes economic development and opportunity, fosters effective transportation access, enhances and protects the environment, and balances resources through sound management of development; and ``(B) a description of how the strategy will solve the problems. ``(b) Approval of Comprehensive Economic Development Strategy.--The Secretary shall approve a comprehensive economic development strategy that meets the requirements of subsection (a) to the satisfaction of the Secretary. ``(c) Approval of Other Plan.--The Secretary may accept as a comprehensive economic development strategy a satisfactory plan developed under another federally supported program. ``TITLE IV--ECONOMIC DEVELOPMENT DISTRICTS ``SEC. 401. DESIGNATION OF ECONOMIC DEVELOPMENT DISTRICTS. ``(a) In General.--In order that economic development projects of broad geographic significance may be planned and carried out, the Secretary may designate appropriate economic development districts in the United States, with the concurrence of the States in which the districts will be wholly or partially located, if-- ``(1) the proposed district is of sufficient size or population, and contains sufficient resources, to foster economic development on a scale involving more than a single area described in section 301(a); ``(2) the proposed district contains at least 1 area described in section 301(a); and ``(3) the proposed district has a comprehensive economic development strategy that-- ``(A) contains a specific program for intra-district cooperation, self-help, and public investment; and ``(B) is approved by each affected State and by the Secretary. ``(b) Authorities.--The Secretary may, under regulations promulgated by the Secretary-- ``(1) invite the States to determine boundaries for proposed economic development districts; ``(2) cooperate with the States-- ``(A) in sponsoring and assisting district economic planning and economic development groups; and ``(B) in assisting the district groups in formulating comprehensive economic development strategies for districts; and ``(3) encourage participation by appropriate local government entities in the economic development districts. ``SEC. 402. TERMINATION OR MODIFICATION OF ECONOMIC DEVELOPMENT DISTRICTS. ``The Secretary shall, by regulation, promulgate standards for the termination or modification of the designation of economic development districts. ``SEC. 403. INCENTIVES. ``(a) In General.--Subject to the non-Federal share requirement under section 205(c)(1), the Secretary may increase the amount of grant assistance for a project in an economic development district by an amount that does not exceed 10 percent of the cost of the project, in accordance with such regulations as the Secretary shall promulgate, if-- ``(1) the project applicant is actively participating in the economic development activities of the district; and ``(2) the project is consistent with the comprehensive economic development strategy of the district. ``(b) Review of Incentive System.--In promulgating regulations under subsection (a), the Secretary shall review the current incentive system to ensure that the system is administered in the most direct and effective manner to achieve active participation by project applicants in the economic development activities of economic development districts. ``SEC. 404. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES TO APPALACHIAN REGIONAL COMMISSION. ``If any part of an economic development district is in the Appalachian region (as defined in section 403 of the Appalachian Regional Development Act of 1965 (40 U.S.C. App.)), the economic development district shall ensure that a copy of the comprehensive economic development strategy of the district is provided to the Appalachian Regional Commission established under that Act. ``SEC. 405. ASSISTANCE TO PARTS OF ECONOMIC DEVELOPMENT DISTRICTS NOT IN ELIGIBLE AREAS. ``Notwithstanding section 301, the Secretary may provide such assistance as is available under this Act for a project in a part of an economic development district that is not in an area described in section 301(a), if the project will be of a substantial direct benefit to an area described in section 301(a) that is located in the district. ``TITLE V--ADMINISTRATION ``SEC. 501. ASSISTANT SECRETARY FOR ECONOMIC DEVELOPMENT. ``(a) In General.--The Secretary shall carry out this Act through an Assistant Secretary of Commerce for Economic Development, to be appointed by the President, by and with the advice and consent of the Senate. ``(b) Compensation.--The Assistant Secretary of Commerce for Economic Development shall be compensated at the rate payable for level IV of the Executive Schedule under section 5315 of title 5, United States Code. ``(c) Duties.--The Assistant Secretary of Commerce for Economic Development shall carry out such duties as the Secretary shall require and shall serve as the administrator of the Economic Development Administration of the Department. ``SEC. 502. ECONOMIC DEVELOPMENT INFORMATION CLEARINGHOUSE. ``In carrying out this Act, the Secretary shall-- ``(1) maintain a central information clearinghouse on matters relating to economic development, economic adjustment, disaster recovery, defense conversion, and trade adjustment programs and activities of the Federal and State governments, including political subdivisions of States; ``(2) assist potential and actual applicants for economic development, economic adjustment, disaster recovery, defense conversion, and trade adjustment assistance under Federal, State, and local laws in locating and applying for the assistance; and ``(3) assist areas described in section 301(a) and other areas by providing to interested persons, communities, industries, and businesses in the areas any technical information, market research, or other forms of assistance, information, or advice that would be useful in alleviating or preventing conditions of excessive unemployment or underemployment in the areas. ``SEC. 503. CONSULTATION WITH OTHER PERSONS AND AGENCIES. ``(a) Consultation on Problems Relating to Employment.--The Secretary may consult with any persons, including representatives of labor, management, agriculture, and government, who can assist in addressing the problems of area and regional unemployment or underemployment. ``(b) Consultation on Administration of Act.--The Secretary may provide for such consultation with interested Federal agencies as the Secretary determines to be appropriate in the performance of the duties of the Secretary under this Act. ``SEC. 504. ADMINISTRATION, OPERATION, AND MAINTENANCE. ``The Secretary shall approve Federal assistance under this Act only if the Secretary is satisfied that the project for which Federal assistance is granted will be properly and efficiently administered, operated, and maintained. ``SEC. 505. BUSINESSES DESIRING FEDERAL CONTRACTS. ``The Secretary may provide the procurement divisions of Federal agencies with a list consisting of-- ``(1) the names and addresses of businesses that are located in areas described in section 301(a) and that wish to obtain Federal Government contracts for the provision of supplies or services; and ``(2) the supplies and services that each business provides. ``SEC. 506. PERFORMANCE EVALUATIONS OF GRANT RECIPIENTS. ``(a) In General.--The Secretary shall conduct an evaluation of each university center and each economic development district that receives grant assistance under this Act (each referred to in this section as a `grantee') to assess the grantee's performance and contribution toward retention and creation of employment. ``(b) Purpose of Evaluations of University Centers.--The purpose of the evaluations of university centers under subsection (a) shall be to determine which university centers are performing well and are worthy of continued grant assistance under this Act, and which should not receive continued assistance, so that university centers that have not previously received assistance may receive assistance. ``(c) Timing of Evaluations.--Evaluations under subsection (a) shall be conducted on a continuing basis so that each grantee is evaluated within 3 years after the first award of assistance to the grantee after the effective date of the Economic Development Administration Reform Act of 1998, and at least once every 3 years thereafter, so long as the grantee receives the assistance. ``(d) Evaluation Criteria.-- ``(1) Establishment.--The Secretary shall establish criteria for use in conducting evaluations under subsection (a). ``(2) Evaluation criteria for university centers.--The criteria for evaluation of a university center shall, at a minimum, provide for an assessment of the center's contribution to providing technical assistance, conducting applied research, and disseminating results of the activities of the center. ``(3) Evaluation criteria for economic development districts.-- The criteria for evaluation of an economic development district
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