SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Revitalizing the Economy of Coal 
Communities by Leveraging Local Activities and Investing More Act of 
2016'' or the ``RECLAIM Act of 2016''.

SEC. 2. ECONOMIC REVITALIZATION FOR COAL COUNTRY.

    (a) In General.--Title IV of the Surface Mining Control and 
Reclamation Act of 1977 (30 U.S.C. 1231 et seq.) is amended by adding 
at the end the following:

``SEC. 416. ABANDONED MINE LAND ECONOMIC REVITALIZATION.

    ``(a) In General.--From amounts deposited into the fund under 
section 401(b) before October 1, 2007, and not otherwise appropriated, 
$200,000,000 shall be available to the Secretary, without further 
appropriation, for each of fiscal years 2017 through 2021 for 
distribution to States and Indian tribes in accordance with this 
section for the purpose of promoting economic revitalization, 
diversification, and development in economically distressed communities 
through the reclamation and restoration of land and water resources 
adversely affected by coal mining carried out before August 3, 1977.
    ``(b) Use of Funds.--Funds distributed to a State or Indian tribe 
under subsection (c) shall be used only for those projects that meet 
the following criteria:
            ``(1) Related to the reclamation of abandoned mine lands 
        and waters.--The project is designed to--
                    ``(A) achieve one or more of the priorities stated 
                in section 403(a); or
                    ``(B) be conducted on land adjacent to eligible 
                lands and waters described in section 403(a) that has 
                previously been remediated or will be remediated under 
                this section.
            ``(2) Contribution to future economic or community 
        development.--
                    ``(A) In general.--The project is reasonably likely 
                to create favorable conditions for the economic 
                development of the project site or promote the general 
                welfare through economic and community development of 
                the area in which the project is conducted.
                    ``(B) Demonstration of conditions.--Such conditions 
                are demonstrated by--
                            ``(i) documentation of the role of the 
                        project in the area's economic development 
                        strategy or other economic and community 
                        development planning process;
                            ``(ii) any other documentation of the 
                        planned economic and community use of the 
                        project site after the primary reclamation 
                        activities are completed, which may include 
                        contracts, agreements in principle, or other 
                        evidence that, once reclaimed, the site is 
                        reasonably anticipated to be used for one or 
                        more industrial, commercial, residential, 
                        agricultural, or recreational purposes; or
                            ``(iii) any other documentation agreed to 
                        by the State or Indian tribe that demonstrates 
                        the project will meet the criteria set forth in 
                        this subsection.
            ``(3) Location in community affected by recent decline in 
        mining.--The project will be conducted in a community--
                    ``(A) that has been adversely affected economically 
                by a reduction in coal mining-related activity over the 
                preceding 5 years, as demonstrated by employment data, 
                per capita income, or other indicators of reduced 
                economic activity attributable to such reduction; or
                    ``(B)(i) that has traditionally relied on coal 
                mining for a substantial portion of its economy; and
                    ``(ii) in which the economic contribution of coal 
                mining has significantly declined.
            ``(4) Stakeholder collaboration.--The project has been the 
        subject of project planning under subsection (f) and has been 
        the focus of collaboration, including partnerships, as 
        appropriate, with interested persons or local organizations.
            ``(5) Eligible applicants.--The project has been proposed 
        and will be executed by entities of State, local, county, or 
        tribal government, which may include subcontracting project-
        related activities, as appropriate.
    ``(c) Distribution of Funds.--
            ``(1) Uncertified states.--
                    ``(A) In general.--From the amount made available 
                in subsection (a), the Secretary shall distribute 
                $195,000,000 annually for each of fiscal years 2017 
                through 2021 to States and Indian tribes that have a 
                State program approved under section 405 or are 
                referred to in section 402(g)(8)(B), and have not made 
                a certification under section 411(a) in which the 
                Secretary has concurred, as follows:
                            ``(i) Fiscal years 2017 and 2018.--For each 
                        of fiscal years 2017 and 2018, the Secretary 
                        shall allocate such funds through a formula 
                        based on the amount of coal historically 
                        produced in each State or from the lands of 
                        each Indian tribe concerned before August 3, 
                        1977.
                            ``(ii) Fiscal years 2019 through 2021.--For 
                        each of fiscal years 2019 through 2021, the 
                        Secretary shall allocate to each State and 
                        Indian tribe either--
                                    ``(I) the amount allocated to the 
                                State or Indian tribe for fiscal year 
                                2017, plus any amount reallocated to it 
                                under this paragraph, if it has 
                                committed the full amount of its 
                                allocation for the preceding fiscal 
                                year to eligible projects; or
                                    ``(II) the lesser of the amount the 
                                State or Indian tribe has committed to 
                                eligible projects from its allocation 
                                for the preceding fiscal year or the 
                                amount allocated to the State or Indian 
                                tribe for fiscal year 2017, if it has 
                                not committed the full amount of its 
                                allocation for the preceding fiscal 
                                year to eligible projects.
                            ``(iii) Fiscal year 2022.--For fiscal year 
                        2022, the Secretary shall allocate to each 
                        State or Indian tribe the amount reallocated to 
                        the State or Indian tribe under subparagraph 
                        (B), if it has committed the full amount of its 
                        allocation for fiscal year 2021 to eligible 
                        projects.
                    ``(B) Reallocation of uncommitted funds.--
                            ``(i) Fiscal year 2019 through 2021.--For 
                        each of fiscal years 2019 through 2021, the 
                        Secretary shall reallocate in accordance with 
                        clause (iii) any amount available for 
                        distribution under this subsection that has not 
                        been committed to eligible projects in the 
                        preceding 2 fiscal years, among the States and 
                        Indian tribes that have committed to eligible 
                        projects the full amount of their annual 
                        allocation for the preceding fiscal year as 
                        described in clause (iii).
                            ``(ii) Fiscal year 2022.--For fiscal year 
                        2022, the Secretary shall reallocate in 
                        accordance with clause (iii) any amount 
                        available for distribution under this 
                        subsection that has not been committed to 
                        eligible projects or distributed under 
                        subparagraph (A)(iii), among the States and 
                        Indian tribes that have committed to eligible 
                        projects the full amount of their annual 
                        allocation for fiscal year 2021.
                            ``(iii) Amount of reallocation.--The amount 
                        reallocated to each State or Indian tribe under 
                        each of clauses (i) and (ii) shall be 
                        determined by the Secretary to reflect, to the 
                        extent practicable--
                                    ``(I) the proportion of unreclaimed 
                                eligible lands and waters the State or 
                                Indian tribe has in the inventory 
                                maintained under section 403(c); and
                                    ``(II) the proportion of coal 
                                mining employment loss incurred in the 
                                State or Indian lands, respectively, as 
                                determined by the Mine Safety and 
                                Health Administration, over the 5-year 
                                period preceding the fiscal year for 
                                which the reallocation is made.
                    ``(C) Supplemental funds.--Funds distributed under 
                this section--
                            ``(i) shall be in addition to, and shall 
                        not affect, the amount of funds distributed to 
                        States and Indian tribes under section 401(f); 
                        and
                            ``(ii) shall not reduce any funds 
                        distributed to a State or Indian tribe by 
                        reason of the application of section 402(g)(8).
            ``(2) Additional funding to certain states and indian 
        tribes.--
                    ``(A) Eligibility.--From the amount made available 
                in subsection (a), the Secretary shall distribute 
                $5,000,000 annually for each of the five fiscal years 
                beginning in fiscal year 2017 to States and Indian 
                tribes that have a State program approved under section 
                405 and--
                            ``(i) have made a certification under 
                        section 411(a) in which the Secretary has 
                        concurred; or
                            ``(ii) receive an allocation by reason of 
                        the application of section 402(g)(8)(A).
                    ``(B) Application for funds.--Using the process in 
                section 405(f), any State or Indian tribe described in 
                subparagraph (A) may submit a grant application to the 
                Secretary for funds under this paragraph. The Secretary 
                shall review each grant application to confirm that the 
                projects identified in the application for funding are 
                eligible under subsection (b).
                    ``(C) Distribution of funds.--The amount of funds 
                distributed to each State or Indian tribe under this 
                paragraph shall be determined by the Secretary based on 
                the demonstrated need for the funding to accomplish the 
                purposes of this section.
    ``(d) Resolution of Secretary's Concerns; Congressional 
Notification.--If the Secretary does not agree with a State or Indian 
tribe that a proposed project meets the criteria set forth in 
subsection (b)--
            ``(1) the Secretary and the State or tribe shall meet and 
        confer for a period of not less than 30 days to resolve the 
        Secretary's concerns;
            ``(2) during that period, the Secretary may consult with 
        any appropriate Federal agency, such as the Appalachian 
        Regional Commission, the Economic Development Administration, 
        and the Bureau of Indian Affairs, to assist with the resolution 
        of the concerns; and
            ``(3) at the end of that period, if the Secretary's 
        concerns are not resolved the Secretary shall provide to the 
        Congress an explanation of the concerns.
    ``(e) Acid Mine Drainage Treatment.--
            ``(1) In general.--Subject to paragraph (2), a State or 
        Indian tribe that receives funds under this section may retain 
        a portion of such funds as is necessary to supplement the 
        State's or tribe's acid mine drainage abatement and treatment 
        fund established under section 402(g)(6)(A), for future 
        operation and maintenance costs for the treatment of acid mine 
        drainage associated with the individual projects funded under 
        this section. A State or Indian tribe shall specify the total 
        funds allotted for such costs in its application submitted 
        under subsection (c)(2)(B).
            ``(2) Condition.--A State or Indian tribe may retain and 
        use funds under this subsection only if the State or tribe can 
        demonstrate that the annual grant distributed to the State or 
        tribe pursuant to section 401(f), including any interest from 
        the State's or tribe's acid mine drainage abatement and 
        treatment fund that is not used for the operation or 
        maintenance of preexisting acid mine drainage treatment 
        systems, is insufficient to fund the operation and maintenance 
        of any acid mine drainage treatment system associated with an 
        individual project funded under this section.
    ``(f) Project Planning and Administration.--
            ``(1) States and indian tribes.--
                    ``(A) In general.--A State or Indian tribe may use 
                up to 10 percent of its distribution for project 
                planning and the costs of administering this section.
                    ``(B) Planning requirements.--Planning under this 
                paragraph may include--
                            ``(i) identification of eligible projects;
                            ``(ii) updating the inventory referred to 
                        in section 403(c);
                            ``(iii) developing project designs;
                            ``(iv) preparing cost estimates; or
                            ``(v) engaging in other similar activities 
                        necessary to facilitate reclamation activities 
                        under this section.
            ``(2) Secretary.--In addition to amounts available for 
        distribution under subsection (a), the Secretary may expend, 
        without further appropriation, not more than $3,000,000 for the 
        five full fiscal years following the date of the enactment of 
        the RECLAIM Act of 2016 for staffing and other administrative 
        expenses necessary to carry out this section.
    ``(g) Report to Congress.--Each State and Indian tribe to which 
funds are distributed under this section shall provide to the Congress 
and the Secretary at the end of each fiscal year for which such funds 
are distributed a detailed report on the various projects that have 
been undertaken with such funds and the community and economic benefits 
that are resulting, or are expected to result from, the use of the 
funds.
    ``(h) Committed Defined.--For purposes of this section the term 
`committed'--
            ``(1) means that the State or Indian tribe receiving funds 
        has executed a project agreement with an applicant for such 
        funds; and
            ``(2) includes any amount used for project planning under 
        subsection (f).''.
    (b) Clerical Amendment.--The table of contents in the first section 
of such Act is amended by adding at the end of the items relating to 
title IV the following:

``Sec. 416. Abandoned mine land economic revitalization.''.

SEC. 3. TECHNICAL AND CONFORMING AMENDMENTS.

    The Surface Mining Control and Reclamation Act of 1977 is amended--
            (1) in section 401(c) (30 U.S.C. 1231(c)), by striking 
        ``and'' after the semicolon at the end of paragraph (10), by 
        redesignating paragraph (11) as paragraph (12), and by 
        inserting after paragraph (10) the following:
            ``(11) to implement section 416; and'';
            (2) in section 401(d)(3) (30 U.S.C. 1231(d)(3)), by 
        striking ``subsection (f)'' and inserting ``subsection (f) and 
        section 416(a)'';
            (3) in section 402(g) (30 U.S.C. 1232(g))--
                    (A) in paragraph (1), by inserting ``and section 
                416'' after ``subsection (h)''; and
                    (B) by adding at the end of paragraph (3) the 
                following:
                    ``(F) For the purpose of section 416(c)(2)(A).''; 
                and
            (4) in section 403(c) (30 U.S.C. 1233(c))--
                    (A) in the first sentence, by--
                            (i) inserting ``any of'' after ``which 
                        meet''; and
                            (ii) striking ``paragraphs (1) and (2) 
                        of'';
                    (B) by inserting after the second sentence the 
                following: ``As practicable, States and Indian tribes 
                shall offer such amendments based on the use of remote 
                sensing, global positioning systems, and other advanced 
                technologies.''; and
                    (C) by adding at the end the following: ``The 
                Secretary may perform any work necessary to amend any 
                entry in the inventory that has not been updated by a 
                State or Indian tribe within the preceding 3 years to 
                ensure that the entry is up-to-date and accurate.''.
Revitalizing the Economy of Coal Communities by Leveraging Local Activities and Investing More Act of 2016 or the RECLAIM Act of 2016 This bill amends the Surface Mining Control and Reclamation Act of 1977 to make specified funds available to the Department of the Interior for each of FY2017-FY2021 for distribution to states and Indian tribes to promote economic revitalization, diversification, and development in economically distressed communities through the reclamation and restoration of land and water resources adversely affected by coal mining carried out before August 3, 1977. The bill prescribes general requirements for projects to reclaim abandoned mine lands and waters that are likely to create favorable conditions for the economic development of the project site or promote the general welfare through economic and community development of the area in which the project is conducted. Any such project shall be located in a community affected by a recent decline in mining.A state or Indian tribe that receives funds under this bill may retain a portion of them as necessary to supplement its acid mine drainage abatement and treatment fund for future operation and maintenance costs for the treatment of acid mine drainage associated with individual projects.
RECLAIM Act of 2016