Small Manufacturers' Renewal and Training Act of 1993

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Small Manufacturers' Renewal and 
Training Act of 1993''.

SEC. 2. FINDINGS.

    The Congress finds that--
            (1) a productive manufacturing sector is essential to a 
        competitive national economy;
            (2) small businesses are responsible for most new job 
        creation in the United States;
            (3) small manufacturers play a critical role in maintaining 
        the vitality of the manufacturing sector;
            (4) small manufacturers often do not use the most modern 
        production technology;
            (5) the barriers to the adoption of modern technology by 
        small manufacturers include--
                    (A) the lack of readily available sources of 
                information about such technology;
                    (B) the perception that such technology is too 
                costly; and
                    (C) the difficulty in attracting talented engineers 
                to work for small manufacturers; and
            (6) the education of engineering students often does not 
        expose such students to current industrial practices, 
        especially those of small manufacturers.

SEC. 3. PURPOSE.

    It is the purpose of this Act to give undergraduate students of 
engineering the opportunity to work with small manufacturing companies 
in order to--
            (1) bring knowledge of modern engineering practices to 
        small manufacturers, increase the recognition by small 
        manufacturers of the importance of these practices, and promote 
        the adoption of modern engineering practices by small 
        manufacturers;
            (2) expose engineering students to the special environment 
        and needs of small manufacturers, and increase the number of 
        engineers who choose to work for small manufacturers;
            (3) encourage engineering colleges to devote greater 
        attention to the needs of small manufacturers; and
            (4) promote the development and expansion of a community of 
        technological entrepreneurs in the small manufacturing sector.

SEC. 4. DEFINITIONS.

    For the purposes of this Act--
            (1) the term ``cooperative education program'' means a 
        program of cooperative education as such term is defined in 
        section 801(b) of the Higher Education Act of 1965 that is 
        accredited by a nationally recognized accrediting agency or 
        association;
            (2) the term ``Director'' means the Director of the 
        National Institute of Standards and Technology;
            (3) the term ``engineering student'' means a student 
        enrolled in a program (that is accredited by a nationally 
        recognized accrediting agency or association) at a college or 
        university leading to a bachelor of science degree in 
        engineering, mathematics or science, or an equivalent degree;
            (4) the term ``host company'' means a small manufacturer 
        that hosts an intern under this Act;
            (5) the term ``Secretary'' means the Secretary of Commerce;
            (6) the term ``small manufacturer'' means a company 
        employing 500 or fewer employees engaged in manufacturing, 
        mining, construction, transportation, communication, or public 
        utilities as defined in the Standard Industrial Classification 
        Manual of 1987;
            (7) the term ``underrepresented group'' means a group of 
        individuals who have been historically underrepresented in the 
        engineering professions, including women, blacks, hispanics, 
        and native Americans; and
            (8) the term ``United States'' means each of the 50 States, 
        the District of Columbia, the Commonwealth of Puerto Rico, the 
        United States Virgin Islands, Guam, American Samoa, the 
        Commonwealth of Northern Mariana Islands, the Republic of the 
        Marshal Islands, the Federated State of Micronesia, and the 
        Republic of Palau.

SEC. 5. ESTABLISHMENT OF THE SMART PROGRAM.

    (a) SMART Program Established.--
            (1) In general.--The Director shall carry out a program of 
        awarding grants to manufacturing outreach centers to enable 
        such centers to carry out internship activities in accordance 
        with this Act. Such program shall be known as the ``Small 
        Manufacturers Renewal and Training Program'' (hereafter in this 
        Act referred to as the ``SMART Program'').
            (2) Eligible entities.--For the purpose of this Act the 
        term ``manufacturing outreach center'' means an organization 
        engaged in technology or manufacturing extension activities, 
        including a Federal, State, or local government agency or 
        laboratory, a small business development center, an office 
        within a college or university, a professional society, a 
        worker organization, an industrial organization, or a for-
        profit or nonprofit organization.
    (b) Grant Duration and Renewal.--
            (1) Grant duration.--Grants under this Act shall be awarded 
        on a multiyear basis for not more than 3 years.
            (2) Renewal.--Grants under this Act may be renewed on a 
        multiyear basis for not more than 5 years per renewal.
    (c) Priority.--In awarding grants under this Act the Director shall 
give a priority to a grant proposal describing internships that place 
engineering students with small manufacturers that employ 100 or fewer 
individuals.
    (d) Funding Limitations.--
            (1) Outreach.--Not more than 35 percent of the grant funds 
        awarded to a manufacturing outreach center in the first 3 years 
        that such center receives assistance under this Act shall be 
        expended for outreach activities to solicit the participation 
        of small manufacturers in the SMART Program. In subsequent 
        years such percentage may be altered for grants that are 
        renewed, subject to approval by the Secretary.
            (2) Minimum.--The Director shall award grants under this 
        Act so that a manufacturing outreach center or centers in each 
        State receives a grant equal to 1 percent of the amount 
        appropriated pursuant to section 11 or $200,000, whichever is 
        less.

SEC. 6. FEDERAL ROLE.

    (a) Role of the Director.--
            (1) In general.--In carrying out the SMART Program the 
        Director shall--
                    (A) solicit and evaluate grant proposals from 
                manufacturing outreach centers;
                    (B) collect information regarding the performance 
                of the SMART Program, including an annual report from 
                each manufacturing outreach center in accordance with 
                section 7(a)(5); and
                    (C) coordinate the activities of the SMART Program 
                with other programs of the Federal Government for 
                manufacturing and technology extension, as appropriate.
            (2) Administrative provisions.--The Director--
                    (A) is authorized to hire such staff as the 
                Director determines necessary to administer the SMART 
                Program; and
                    (B) shall use not more than $500,000 or 5 percent 
                of the funds appropriated pursuant to the authority of 
                section 11, whichever is less, for the administrative 
                expenses associated with the SMART Program.
    (b) Role of Secretary.--
            (1) Establishment of grant proposal criteria; 
        preferences.--The Secretary shall establish criteria for 
        evaluating proposals for grants under this Act, which criteria 
        shall include a preference for proposals that describe programs 
        which--
                    (A) bring together organizations with demonstrated 
                commitments to--
                            (i) outreach to small manufacturers; and
                            (ii) cooperative education;
                    (B) serve regions with low economic growth and 
                regions where the manufacturing sector is weak; and
                    (C) in the case of renewal grants, have 
                demonstrated success in placing interns with small 
                manufacturers, particularly small manufacturers that 
                employ 100 or fewer employees.
            (2) Evaluation.--The Secretary shall provide a report to 
        Congress evaluating the SMART Program 3 years after the date of 
        enactment of this Act and at 5-year intervals thereafter.

SEC. 7. ROLE OF MANUFACTURING OUTREACH CENTERS.

    (a) In General.--Each manufacturing outreach center receiving a 
grant under this Act shall use such grant funds--
            (1) to support outreach activities that solicit the 
        participation of small manufacturers in the SMART Program and 
        determine the eligibility of small manufacturers to serve as 
        host companies;
            (2) to solicit and select engineering students to 
        participate in the SMART Program on the basis of the ability 
        and interest of each student in working with a small 
        manufacturer;
            (3) to assist in placing selected engineering students with 
        host companies as interns;
            (4) to carry out an internship program that--
                    (A) sponsors engineering students for employment as 
                interns with host companies;
                    (B) provides funding to host companies--
                            (i) that is used to supplement the wage of 
                        an intern by paying the Federal share of such 
                        intern's wages, which Federal share shall not 
                        exceed the amount paid to an employee earning 
                        the Federal minimum wage for a period of not 
                        less than 3 months and not more than 6 months;
                            (ii) the total amount of which does not 
                        exceed the amount paid to an employee earning 
                        the Federal minimum wage during the 24-month 
                        period preceding the receipt of such grant; and
                            (iii) that is used to supplement the wage 
                        of an intern, in accordance with this 
                        subparagraph, who has completed 3 years of 
                        study in the standard curriculum for a bachelor 
                        of science degree in engineering, mathematics 
                        or science, or an equivalent degree;
            (5) to collect information from interns, from host 
        companies, and from other sources, and use such information to 
        provide annual reports to the Director in accordance with 
        section 6(a)(1)(B); and
            (6) to provide such training and information to interns 
        regarding modern manufacturing technologies as the Director 
        determines appropriate.
    (b) Placement Priority.--Each manufacturing outreach center 
receiving a grant under this Act shall give a preference to placing 
interns with host companies that employ 100 or fewer employees.
    (c) Proposals Required.--Each manufacturing outreach center 
desiring a grant under this Act shall submit a proposal to the 
Secretary at such time, in such manner, and accompanied by such 
information, as the Secretary may reasonably require. Each such 
proposal shall describe the activities and services for which 
assistance is sought.
    (d) Cooperative Education Program Arrangements.--A manufacturing 
outreach center may make arrangements with cooperative education 
programs to provide an engineering student with cooperative education 
work experience pursuant to this Act under which the engineering 
student--
            (1) performs the outreach activities described in 
        subsection (a)(1);
            (2) participates in an internship program in accordance 
        with subsection (a)(4); and
            (3) may perform technology extension services for the 
        manufacturing outreach center.

SEC. 8. ROLE OF HOST COMPANIES.

    A host company--
            (1) shall only be eligible to host interns in manufacturing 
        operations in the United States;
            (2) shall provide such employment-related benefits to 
        interns under this Act as are provided to full-time employees 
        of the host company, except that health insurance may be 
        provided by the college or university in which the intern is 
        enrolled;
            (3) shall use the funds provided by a manufacturing 
        outreach center under this Act only to pay the wages of 
        interns, and may supplement those wages;
            (4) shall be eligible to receive funds from a manufacturing 
        outreach center only if such host company has not participated 
        in a cooperative education program;
            (5) shall provide to the manufacturing outreach center 
        information on wages and benefits provided to interns, 
        including the expenditure of any funds provided by such center; 
        and
            (6) shall designate a supervisor for each intern, who 
        shall--
                    (A) oversee the employment of that intern;
                    (B) provide to such center a brief evaluation of 
                the performance of that intern; and
                    (C) provide to such center a brief evaluation of 
                the value of the host company's participation in the 
                SMART Program.

SEC. 9. ROLE OF INTERNS.

    Each intern shall--
            (1) work as an employee for the host company; and
            (2) provide a brief evaluation of the internship to the 
        manufacturing outreach center.

SEC. 10. UNDERREPRESENTED GROUPS.

    The Director shall make every effort to solicit for participation 
in the SMART Program qualified engineering students from 
underrepresented groups by--
            (1) soliciting the participation of traditionally minority 
        and women's engineering colleges and universities; and
            (2) encouraging all manufacturing outreach centers to 
        solicit the participation of qualified engineering, mathematics 
        or science students from underrepresented groups.

SEC. 11. AUTHORIZATION.

    There are authorized to be appropriated $10,000,000 for fiscal year 
1994, and $25,000,000 for each of the fiscal years 1995, 1996, 1997, 
and 1998, to carry out this Act.

Summary: Small Manufacturers' Renewal and Training Act of 1993 - Requires the Director of the National Institute of Standards and Technology to carry out the Small Manufacturers Renewal and Training Program for awarding grants to manufacturing outreach centers to give undergraduate engineering students the opportunity to work as interns with small manufacturing companies. Sets forth provisions regarding: (1) eligible entities, (2) grant duration and renewal, (3) grant priorities. And (4) funding limitations. Requires the: (1) Director to solicit and evaluate grant proposals from such centers, collect information regarding program performance, and coordinate Program activities with other Federal programs for manufacturing and technology extension. And (2) Secretary of Commerce to establish criteria for evaluating grant proposals. Sets forth provisions regarding the respective roles of manufacturing outreach centers, host companies, and interns in the Program. Requires the Director to solicit qualified engineering students from underrepresented groups for participation in the Program. Authorizes appropriations.