To amend the Denali Commission Act of 1998 to reauthorize and modify the membership of the Denali Commission, and for other purposes.

Summary: Denali Commission Reauthorization Act of 2012 - Amends the Denali Commission Act of 1998 (the Act) to revise requirements concerning the composition of the membership of the Denali Commission. Appoints Commission members to four-year terms.

 Directs the Commission, in carrying out construction projects or activities under the Act, to require a cost share of: (1) up to 50% of the total cost of the project or activity; or (2) up to 20% of the total cost of a project or activity carried out in a distressed community. Exempts preconstruction procedures from such cost share requirements.

Requires the Commission to seek comments from rural Alaska communities and other stakeholder groups regarding rural development needs.

Rewrites the duties of the Commission. Instructs Commission members to: (1) advise the Commission regarding coordinated infrastructure planning among and for rural Alaskan communities, the state of Alaska, federal agencies, and other governmental and nongovernmental entities; (2) annually establish a list of priorities of the Commission for such communities; and (3) review ongoing and completed Commission-funded projects and programs. Makes the Cochairperson responsible for Commission operational matters, including budgetary matters.

Revises requirements regarding demonstration health projects. Authorizes appropriations.

Rewrites provisions concerning the powers of the Commission.

 Requires the Commission to use the services of the Inspector General of the Department of Commerce.

Makes permanent the authorization of appropriations for the Commission to carry out the Act.

Repeals provisions regarding: (1) the exemption of the Commission from the Federal Advisory Committee Act, and (2) the Economic Development Committee.

Requires the federal Cochairperson to establish a Budget Committee to serve the Commission.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Denali Commission Reauthorization 
Act of 2012''.

SEC. 2. ESTABLISHMENT OF COMMISSION.

    Section 303 of the Denali Commission Act of 1998 (42 U.S.C. 3121 
note; Public Law 105-277) is amended--
            (1) by striking subsection (b) and inserting the following:
    ``(b) Membership.--
            ``(1) Composition.--The Commission shall be composed of 7 
        members with a statewide perspective and knowledge regarding 
        rural Alaska matters (including transportation, health, 
        education and training, energy, economic development, community 
        and regional planning, design, construction, and maintenance of 
        rural infrastructure, workforce development, and communication 
        infrastructure and systems), of whom--
                    ``(A) 5 shall be appointed by the Secretary of 
                Commerce (referred to in this title as the 
                `Secretary'), of whom--
                            ``(i) 1 shall represent the views and 
                        perspectives of an organized labor or 
                        vocational training group within the State of 
                        Alaska;
                            ``(ii) 1 shall represent the views and 
                        perspectives of Native Corporations (as defined 
                        in section 3 of the Alaska Native Claims 
                        Settlement Act (43 U.S.C. 1602));
                            ``(iii) 1 shall have experience relating to 
                        project management and construction in rural 
                        Alaska;
                            ``(iv) 1 shall represent the views and 
                        perspectives of rural local government 
                        interests in the State of Alaska; and
                            ``(v) 1 shall represent the views and 
                        perspectives of rural tribal interests in the 
                        State of Alaska;
                    ``(B) 1 shall be the Governor of the State of 
                Alaska or an individual selected by the Secretary from 
                nominations submitted by the Governor; and
                    ``(C) 1 shall be the Federal Cochairperson of the 
                Commission, to be appointed by the Secretary in 
                accordance with paragraph (3).
            ``(2) Date of appointments.--The appointments of the 
        members of the Commission under subparagraphs (A) and (B) of 
        paragraph (1) shall be made by not later than 90 days after the 
        date of enactment of the Denali Commission Reauthorization Act 
        of 2012.
            ``(3) Federal cochairperson.--
                    ``(A) Recommendations.--Not later than 30 days 
                after the date of appointment of the members of the 
                Commission described in paragraph (2), those members 
                shall submit to the Secretary recommendations for an 
                individual to serve as Federal Cochairperson of the 
                Commission under paragraph (1)(C).
                    ``(B) Selection.--
                            ``(i) In general.--Not later than 60 days 
                        after the date of receipt of the 
                        recommendations under subparagraph (A), the 
                        Secretary shall appoint an individual to serve 
                        as Federal Cochairperson of the Commission.
                            ``(ii) Consideration.--In appointing the 
                        Federal Cochairperson under clause (i), the 
                        Secretary may take into consideration, but 
                        shall not be required to select, any individual 
                        recommended under subparagraph (A).
                    ``(C) Treatment.--The Federal Cochairperson shall 
                be a nonvoting member of the Commission.
                    ``(D) Vacancy.--
                            ``(i) In general.--Any vacancy in the 
                        position of Federal Cochairperson shall be 
                        filled in the same manner as the original 
                        appointment.
                            ``(ii) Interim federal cochairperson.--
                        Before vacating the position of Federal 
                        Cochairperson, the Federal Cochairperson shall 
                        appoint to serve as Interim Federal 
                        Cochairperson, for the period beginning on the 
                        date on which the vacancy in the position of 
                        Federal Cochairperson occurs and ending on the 
                        date on which a new Federal Cochairperson is 
                        appointed under clause (i), the staff member of 
                        the Commission with the most seniority.
            ``(4) Status.--No member of the Commission (other than the 
        Federal Cochairperson) shall be considered to be an employee of 
        the Federal Government for any purpose.''; and
            (2) in subsection (c)--
                    (A) in the first sentence, by striking ``The 
                Federal Cochairperson'' and inserting the following:
            ``(1) Federal cochairperson.--The Federal Cochairperson''; 
        and
                    (B) by striking the second and third sentences and 
                inserting the following:
            ``(2) Members.--
                    ``(A) Terms.--A member of the Commission shall be 
                appointed for a term of 4 years, except that, of the 
                members first appointed--
                            ``(i) the members appointed under clauses 
                        (ii) and (iv) of subsection (b)(1)(A) shall be 
                        appointed for terms of 3 years; and
                            ``(ii) the members appointed under clauses 
                        (i) and (iii) of subsection (b)(1)(A) shall be 
                        appointed for terms of 2 years.
                    ``(B) Vacancies.--
                            ``(i) In general.--A vacancy on the 
                        Commission--
                                    ``(I) shall not affect the powers 
                                of the Commission;
                                    ``(II) shall be filled in the 
                                manner in which the original 
                                appointment was made; and
                                    ``(III) shall be subject to any 
                                conditions that applied with respect to 
                                the original appointment.
                            ``(ii) Filling unexpired term.--An 
                        individual selected to fill a vacancy shall be 
                        appointed for the unexpired term of the member 
                        replaced.
                    ``(C) Expiration.--The term of any member shall not 
                expire before the date on which the successor of the 
                member takes office.''.

SEC. 3. FUNDING REQUIREMENTS; DUTIES.

    (a) In General.--Section 304 of the Denali Commission Act of 1998 
(42 U.S.C. 3121 note; Public Law 105-277) is amended to read as 
follows:

``SEC. 304. FUNDING REQUIREMENTS; DUTIES.

    ``(a) Cost Share.--
            ``(1) In general.--In carrying out any construction project 
        or activity under this title, the Commission shall require a 
        cost share of--
                    ``(A) up to 50 percent of the total cost of the 
                construction project or activity; or
                    ``(B) for a construction project or activity 
                carried out in a distressed community (as determined by 
                the department of labor and workforce development of 
                the State of Alaska or by the Commission), up to 20 
                percent of the total cost of the construction project 
                or activity.
            ``(2) Preconstruction procedures.--The cost-share 
        requirements under paragraph (1) shall not apply with respect 
        to preconstruction procedures.
    ``(b) Public Comments.--The Commission members and the Federal 
Cochairperson shall seek comments from rural Alaska communities and 
other stakeholder groups regarding rural development needs.
    ``(c) Duties.--The members of the Commission shall--
            ``(1) advise the Commission regarding coordinated 
        infrastructure planning (including annual and multiyear 
        strategies) among and for--
                    ``(A) rural Alaska communities;
                    ``(B) the State of Alaska;
                    ``(C) Federal agencies; and
                    ``(D) other governmental and nongovernmental 
                entities;
            ``(2) establish a list of priorities of the Commission for 
        rural Alaska communities on an annual basis, including funding 
        recommendations and the means by which the recommendations--
                    ``(A) address multiyear strategies; and
                    ``(B) are coordinated with--
                            ``(i) rural Alaska communities;
                            ``(ii) the State of Alaska;
                            ``(iii) Federal agencies; and
                            ``(iv) other government and nongovernmental 
                        entities;
            ``(3) review ongoing and completed Commission-funded 
        projects and programs for compliance with stated objectives and 
        outcomes; and
            ``(4) examine Commission-funded projects and programs--
                    ``(A) for consistency and standardization; and
                    ``(B) to determine a means of improving the 
                management and success of future Commission-funded 
                projects and programs.
    ``(d) Operational Matters.--The Federal Cochairperson (and not the 
members of the Commission) shall be responsible for Commission 
operational matters, including budgetary matters.''.
    (b) Conforming Amendment.--Section 307 of the Denali Commission Act 
of 1998 (42 U.S.C. 3121 note; Public Law 105-277) is amended by 
striking subsection (c) and inserting the following:
    ``(c) Demonstration Health Projects.--
            ``(1) In general.--To demonstrate the value of adequate 
        health facilities and services to the economic development of 
        the region, the Secretary of Health and Human Services may make 
        interagency transfers to the Commission to plan, construct, and 
        equip demonstration health, nutrition, and child care projects, 
        including hospitals, health care clinics, and mental health 
        facilities (including drug and alcohol treatment centers).
            ``(2) Authorization of appropriations.--There are 
        authorized to be appropriated such sums as are necessary to 
        carry out this subsection.''.

SEC. 4. POWERS OF COMMISSION.

    Section 305 of the Denali Commission Act of 1998 (42 U.S.C. 3121 
note; Public Law 105-277) is amended by striking subsection (d) and 
inserting the following:
    ``(d) Detail of Federal Employees; Agreements, Grants, and 
Payments.--
            ``(1) Detail of federal employees.--Any employee of the 
        Federal Government may be detailed to the Commission--
                    ``(A) without reimbursement; and
                    ``(B) without interruption or loss of civil service 
                status or privilege.
            ``(2) Agreements, grants, and payments.--The Commission, 
        acting through the Federal Cochairperson, may enter into 
        contracts and cooperative agreements, award grants, and make 
        payments necessary to carry out the purposes of the 
        Commission.''.

SEC. 5. COMMISSION PERSONNEL MATTERS.

    (a) Compensation of Members.--Section 306 of the Denali Commission 
Act of 1998 (42 U.S.C. 3121 note; Public Law 105-277) is amended by 
striking subsection (a) and inserting the following:
    ``(a) Compensation of Members.--
            ``(1) In general.--Subject to paragraph (2), the members of 
        the Commission shall serve without compensation.
            ``(2) Federal cochairperson.--The Federal Cochairperson 
        shall be compensated at the annual rate prescribed for level IV 
        of the Executive Schedule under section 5315 of title 5, United 
        States Code.''.
    (b) Travel Expenses.--Section 306(b) of the Denali Commission Act 
of 1998 (42 U.S.C. 3121 note; Public Law 105-277) is amended--
            (1) by striking ``The members'' and inserting the 
        following:
            ``(1) In general.--Subject to paragraph (2), the members''; 
        and
            (2) by adding at the end the following:
            ``(2) Waiver.--A member of the Commission may waive all or 
        any portion of the travel expenses provided to the member under 
        paragraph (1).''.
    (c) Inspector General.--
            (1) In general.--Section 306 of the Denali Commission Act 
        of 1998 (42 U.S.C. 3121 note; Public Law 105-277) is amended by 
        striking subsection (h) and inserting the following:
    ``(h) Inspector General.--The Commission shall use the services of 
the Inspector General of the Department of Commerce.''.
            (2) Conforming amendment.--Section 8G(a)(2) of the 
        Inspector General Act of 1978 (5 U.S.C. App.) is amended by 
        striking ``the Denali Commission,''.

SEC. 6. REAUTHORIZATION.

    The first section 310 of the Denali Commission Act of 1998 (42 
U.S.C. 3121 note; Public Law 105-277) (relating to authorization of 
appropriations) is amended by striking subsection (a) and inserting the 
following:
    ``(a) In General.--There are authorized to be appropriated to the 
Commission such sums as are necessary to carry out this title, in 
accordance with the purposes of this title, for fiscal year 2013 and 
each fiscal year thereafter.''.

SEC. 7. REPEALS.

    (a) In General.--
            (1) Exemption from federal advisory committee act.--Section 
        308 of the Denali Commission Act of 1998 (42 U.S.C. 3121 note; 
        Public Law 105-277) is repealed.
            (2) Economic development committee.--The second section 310 
        of the Denali Commission Act of 1998 (42 U.S.C. 3121 note; 
        Public Law 105-277) (relating to the Economic Development 
        Committee) is repealed.
    (b) Conforming Amendments.--Sections 309 and 310 of the Denali 
Commission Act of 1998 (42 U.S.C. 3121 note; Public Law 105-277) are 
redesignated as sections 308 and 309, respectively.

SEC. 8. BUDGET COMMITTEE.

    The Denali Commission Act of 1998 (42 U.S.C. 3121 note; Public Law 
105-277) (as amended by section 7(b)) is amended by adding at the end 
the following:

``SEC. 310. BUDGET COMMITTEE.

    ``(a) Establishment.--Not later than 180 days after the date of 
enactment of the Denali Commission Reauthorization Act of 2012, the 
Federal Cochairperson shall establish a Budget Committee to serve the 
Commission.
    ``(b) Membership.--The Budget Committee shall be composed of 3 
members, of whom--
            ``(1) 1 shall be the Governor of the State of Alaska or a 
        member of the Commission selected in accordance with section 
        303(b)(1)(B);
            ``(2) 1 shall be a Federal employee or detailee with 
        expertise in the Federal budget process, to be selected by the 
        Federal Cochairperson; and
            ``(3) 1 shall be a member of the Commission, to be selected 
        by the members of the Commission.
    ``(c) Duties.--The Budget Committee shall carry out the following 
activities for the Commission:
            ``(1) Review the operating budget of the Commission.
            ``(2) Make appropriate recommendations to the Federal 
        Cochairperson.
    ``(d) Compensation of Members.--
            ``(1) In general.--The members of the Budget Committee 
        shall serve without compensation.
            ``(2) Travel expenses.--The members of the Budget Committee 
        shall be allowed travel expenses, including per diem in lieu of 
        subsistence, at rates authorized for employees of agencies 
        under subchapter I of chapter 57 of title 5, United States 
        Code, while away from their homes or regular places of business 
        in the performance of services for the Budget Committee.''.