To provide grants for special environmental assistance for the regulation of communities and habitat ("SEARCH grants") to small communities.

Summary: Project SEARCH Act of 2001 - Establishes the SEARCH Grant (grants for special environmental assistance for the regulation of communities and habitat) Program.Authorizes independent citizens' councils established by this Act to recommend the award of a SEARCH grant for an environmental project to small communities that: (1) demonstrate that they have pursued traditional funding sources for the project and have not obtained, or have obtained insufficient, funding; or (2) need funds for initial feasibility or environmental studies before applying to traditional funding sources.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Project SEARCH Act of 2001''.

SEC. 2. FINDINGS.

    Congress finds that--
            (1) small communities often struggle to meet environmental 
        goals because of difficulty in securing funding;
            (2) often, sources of funding for environmental projects 
        require expensive, complex studies or other application 
        materials;
            (3) a small community that secures funding for an 
        environmental project from a traditional source often is unable 
        to provide matching funds required by the traditional source; 
        and
            (4) small communities would benefit from a grant program 
        designed to provide funding for environmental projects--
                    (A) through a simplified application process; and
                    (B) without the requirement of matching funds.

SEC. 3. DEFINITIONS.

    In this Act, the following definitions apply:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) Council.--The term ``council'' means an independent 
        citizens' council established by section 4(b).
            (3) Environmental project.--
                    (A) In general.--The term ``environmental project'' 
                means a project that--
                            (i) benefits human health or the 
                        environment; and
                            (ii) is necessary to comply with an 
                        environmental law (including a regulation).
                    (B) Inclusion.--The term ``environmental project'' 
                includes an initial feasibility study of a project.
            (4) Region.--The term ``region'' means a geographic area of 
        a State, as determined by the Governor of the State.
            (5) SEARCH grant.--The term ``SEARCH grant'' means a grant 
        for special environmental assistance for the regulation of 
        communities and habitat awarded under section 4(c)(3).
            (6) Small community.--The term ``small community'' means an 
        incorporated or unincorporated community having a population of 
        not more than 2,500 individuals.

SEC. 4. SEARCH GRANT PROGRAM.

    (a) In General.--
            (1) Establishment.--There is established the SEARCH Grant 
        Program.
            (2) State requirements.--
                    (A) In general.--Not later than October 1 of each 
                fiscal year, a State may submit to the Administrator an 
                application to receive a grant under paragraph (3) for 
                the fiscal year.
                    (B) Application requirements.--An application under 
                subparagraph (A) shall contain--
                            (i) a certification by the State that the 
                        State has appointed members to the council of 
                        the State under subsection (b)(2)(C); and
                            (ii) such information as the Administrator 
                        may reasonably require.
            (3) Grant to state.--Not later than 60 days after the date 
        on which the Office of Management and Budget apportions any 
        amounts made available under this Act, for each fiscal year 
        after the date of enactment of this Act, the Administrator 
        shall, on request by a State--
                    (A) determine whether any application submitted by 
                the State under paragraph (2) meets the requirements of 
                that paragraph; and
                    (B) subject to section 6(b), if the Administrator 
                determines that the application meets the requirements 
                of paragraph (2)(B), award a grant of $1,000,000 to the 
                State, to be used by the council of the State to award 
                SEARCH grants under subsection (b)(3).
    (b) Independent Citizens' Council.--
            (1) Establishment.--There is established in each State an 
        independent citizens' council to carry out the duties described 
        in this section.
            (2) Composition.--
                    (A) In general.--Each council shall be composed of 
                9 members, appointed by the Governor of the State.
                    (B) Representation; residence.--Each member of a 
                council shall--
                            (i) represent an individual region of the 
                        State, as determined by the Governor of the 
                        State in which the council is established; and
                            (ii) reside in a small community of the 
                        State.
                    (C) Appointment.--Before a State receives funds 
                under this Act, the State shall appoint members to the 
                council for the fiscal year; except that not more than 
                1 member shall be an agent, employee, or official of 
                the State government.
                    (D) Chairperson.--Each council shall select a 
                chairperson from among the members of the council, 
                except that a member who is an agent, employee, or 
                official of the State government shall not serve as 
                chairperson.
                    (E) Federal representation.--An agent, employee, or 
                official of the Federal Government shall participate in 
                the activities of the council only--
                            (i) in an advisory capacity; and
                            (ii) at the invitation of the council.
            (3) SEARCH grants.--
                    (A) In general.--Each council shall review 
                applications for, and recommend awards of, SEARCH 
                grants to small communities that meet the eligibility 
                criteria under subsection (c).
                    (B) Recommendations.--In accordance with State law, 
                in awarding a SEARCH grant, a State shall--
                            (i) follow the recommendations of the 
                        council; and
                            (ii) award the funds for any recommended 
                        environmental project in a timely and 
                        expeditious manner.
                    (C) No matching requirement.--A small community 
                that receives a SEARCH grant under this section shall 
                not be required to provide matching funds.
    (c) SEARCH Grants for Small Communities.--
            (1) Eligibility.--A council may recommend the award of a 
        SEARCH grant under this section to a small community for an 
        environmental project for which the small community--
                    (A) demonstrates, to the satisfaction of the 
                council, that the small community has pursued 
                traditional funding sources for the environmental 
                project and has not obtained funding, or has obtained 
                insufficient funding, from those sources; or
                    (B) needs funds to carry out initial feasibility or 
                environmental studies before applying to traditional 
                funding sources.
            (2) Application.--To apply for a SEARCH grant under this 
        section, not later than February 5 of the fiscal year for which 
        the grant is to be recommended for award, a small community 
        shall submit to the council in the State in which the small 
        community is located an application that includes--
                    (A) a description of the proposed environmental 
                project (including an explanation of how the project 
                would assist the small community in complying with an 
                environmental law (including a regulation);
                    (B) an explanation of why the project is important 
                to the small community;
                    (C) a description of all actions taken with respect 
                to the project, including any attempt to secure funding 
                and a description of demonstrated need for funding for 
                the project, as of the date of the application; and
                    (D) a SEARCH grant application form provided by the 
                council, completed and with all required supporting 
                documentation.
            (3) Review and award.--Not later than March 5 of each 
        fiscal year, each council shall--
                    (A) review all applications received under 
                paragraph (2); and
                    (B) recommend for award SEARCH grants to small 
                communities based on--
                            (i) an evaluation of the eligibility 
                        criteria under paragraph (1); and
                            (ii) the content of the application.
            (4) Unexpended funds.--
                    (A) In general.--If any unexpended funds remain 
                after SEARCH grants are awarded under subsection 
                (b)(3)(B), the council may repeat the application and 
                review process so that any remaining funds may be 
                recommended for award, and awarded, not later than July 
                30.
                    (B) Retention of funds.--Any unexpended funds that 
                are not awarded under subsection (b)(3)(B) or 
                subparagraph (A) shall be retained for award during the 
                following fiscal year.

SEC. 5. REPORT.

    Not later than September 1 of the first fiscal year for which a 
SEARCH grant is awarded by a council, and annually thereafter, the 
council shall submit to the Administrator a report that--
            (1) describes the number of SEARCH grants awarded during 
        the fiscal year;
            (2) identifies each small community that received a SEARCH 
        grant during the fiscal year;
            (3) describes the project or purpose for which each SEARCH 
        grant was awarded, including a statement of the benefit to 
        public health or the environment of the environmental project 
        receiving the grant funds; and
            (4) describes the status of each project or portion of a 
        project for which a SEARCH grant was awarded, including a 
        project or portion of a project for which a SEARCH grant was 
        awarded for any fiscal year before the fiscal year in which the 
        report is submitted.

SEC. 6. FUNDING.

    (a) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out section 4(a)(3) $50,000,000.
    (b) Actual Appropriation.--If funds to carry out section 4(a)(3) 
are made available for a fiscal year in an amount that is less than the 
amount authorized under subsection (a) for the fiscal year, the 
appropriated funds shall be divided equally among the 50 States.
    (c) Unused Funds.--If, for any fiscal year, a State does not apply, 
or does not qualify, to receive funds under section 4(a)(2), the funds 
that would have been made available to the State under section 4(a)(3) 
on submission by the State of a successful application under section 
4(a)(2) shall be redistributed for award under this Act among States, 
the councils of which awarded 1 or more SEARCH grants during the 
preceding fiscal year.
    (d) Other Expenses.--There are authorized to be appropriated such 
sums as are necessary to carry out the provisions of this Act (other 
than section 4(a)(3)).