SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Technology Extension Act of 2001''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The Federal Government developed the Agriculture 
        Extension Program, and more recently, the Manufacturing 
        Extension Program to help farmers and small manufacturers gain 
        access to the latest technologies. Today's small and medium-
        sized businesses need a technology extension program that 
        provides access to cutting edge technology.
            (2) There is a need to create partnerships to cut the time 
        it takes for new developments in university laboratories to 
        reach the manufacturing floor, to help small and medium-sized 
        businesses transform their innovations into jobs.
            (3) There is a need to build upon the Manufacturing 
        Extension Program to encourage the adoption of advanced 
        technology.

SEC. 3. TECHNOLOGY EXTENSION PROGRAM.

    (a) Purpose.--It is the purpose of this section--
            (1) to encourage meaningful use of the most advanced 
        available technologies by small businesses and medium-sized 
        businesses to the maximum extent possible to improve the 
        productivity of those businesses and thereby to promote 
        economic growth; and
            (2) to promote regional partnerships between educational 
        institutions and businesses to develop such technologies and 
        products in the surrounding areas.
    (b) Grant Program.--To achieve the purpose of this section, the 
Secretary of Commerce (in this section, referred to as the 
``Secretary'') shall carry out a program to provide, through grants, 
financial assistance for the establishment and support of regional 
centers for the commercial use of advanced technologies by small 
businesses and medium-sized businesses.
    (c) Eligibility.--An entity is eligible to receive a grant as a 
regional center under this section if the entity--
            (1) is affiliated with a United States-based institution or 
        organization that is operated on a not-for-profit basis, or any 
        combination of two or more of such institutions or 
        organizations;
            (2) offers to enter into an agreement with the Secretary to 
        function as a regional center for the commercial use of 
        advanced technologies for the purpose of this section within a 
        region determined appropriate by the Secretary; and
            (3) demonstrates that it has the capabilities necessary to 
        achieve the purpose of this section through its operations as a 
        center within that region.
    (d) Selection of Applicants.--
            (1) Competitive process.--The Secretary shall use a 
        competitive process for the awarding of grants under this 
        section and, under that process, select recipients of the 
        grants on the basis of merit, with priority given to 
        underserved areas.
            (2) Applications for grants.--The Secretary shall prescribe 
        the form and content of applications required for grants under 
        this section.
    (e) Specific Activities of Regional Centers.--A regional center may 
use the proceeds of a grant under this section for any activity that 
carries out the purpose of this section, including such activities as 
the following:
            (1) Assist small businesses and medium-sized businesses to 
        address their most critical needs for the application of the 
        latest technology, improvement of infrastructure, and use of 
        best business practices.
            (2) In conjunction with institutions of higher education 
        and laboratories located in the region, transfer technologies 
        to small businesses and medium-sized businesses located in such 
        region to create jobs and increase production in surrounding 
        areas.
    (f) Additional Administrative Authorities.--
            (1) Cost-sharing.--The Secretary may require the recipient 
        of a grant to defray, out of funds available from sources other 
        than the Federal Government, a specific level of the operating 
        expenses of the regional center for which the grant is made.
            (2) Additional terms and conditions.--The Secretary, in 
        awarding a grant, may impose any other terms and conditions for 
        the use of the proceeds of the grant that the Secretary 
        determines appropriate for carrying out the purposes of this 
        section and to protect the interests of the United States.
    (g) Definitions of Small Business and Medium-Sized Business.--
            (1) Secretary to prescribe.--The Secretary shall prescribe 
        the definitions of the terms ``small business'' and ``medium-
        sized business'' for the purpose of this section.
            (2) Small business standards.--In defining the term ``small 
        business'', the Secretary shall apply the standards applicable 
        for the definition of the term ``small-business concern'' under 
        section 3 of the Small Business Act (15 U.S.C. 632).
    (h) Regulations.--The Secretary shall prescribe regulations for the 
grant program administered under this section.
    (i) Authorization of Appropriations.--There is authorized to be 
appropriated for the Department of Commerce for carrying out this 
section $125,000,000 for fiscal year 2002, and such sums as are 
necessary for each fiscal year thereafter.
Technology Extension Act of 2001 - Directs the Secretary of Commerce to provide financial assistance, through grants, for the establishment and support of regional centers for the commercial use of advanced technologies by small- and medium-sized businesses. Allows a regional center to use grant proceeds to: (1) assist such businesses in addressing their most critical needs for the application of the latest technology, improvement of infrastructure, and use of best business practices; and (2) transfer technologies to such businesses in the region in order to create jobs and increase production.
To expand the Manufacturing Extension Program to bring the new economy to small and medium-sized businesses.