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[House Report 108-242]
[From the U.S. Government Publishing Office]

108th Congress                                            Rept. 108-242
                        HOUSE OF REPRESENTATIVES
 1st Session                                                     Part 1

======================================================================

 
    ECONOMIC DEVELOPMENT ADMINISTRATION REAUTHORIZATION ACT OF 2003

                                _______
                                

                 July 25, 2003.--Ordered to be printed

                                _______
                                

     Mr. Young of Alaska, from the Committee on Transportation and 
                Infrastructure, submitted the following

                              R E P O R T

                        [To accompany H.R. 2535]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Transportation and Infrastructure, to whom 
was referred the bill (H.R. 2535) to reauthorize and improve 
the program authorized by the Public Works and Economic 
Development Act of 1965, having considered the same, report 
favorably thereon with an amendment and recommend that the bill 
as amended do pass.
  The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``Economic Development 
Administration Reauthorization Act of 2003''.
  (b) Table of Contents.--

Sec. 1. Short title; table of contents.
Sec. 2. Amendments to Public Works and Economic Development Act of 
1965.

                      TITLE I--GENERAL PROVISIONS

Sec. 101. Findings and declarations.
Sec. 102. Definitions.
Sec. 103. Establishment of economic development partnerships.
Sec. 104. Coordination.

       TITLE II--GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT

Sec. 201. Grants for planning.
Sec. 202. Cost sharing.
Sec. 203. Supplementary grants.
Sec. 204. Regulations on relative needs and allocations.
Sec. 205. Grants for training, research, and technical assistance.
Sec. 206. Prevention of unfair competition.
Sec. 207. Grants for economic adjustment.
Sec. 208. Use of funds in projects constructed under projected cost.
Sec. 209. Special impact areas.
Sec. 210. Performance awards.
Sec. 211. Planning performance awards.
Sec. 212. Subgrants.
Sec. 213. Brownfields redevelopment.
Sec. 214. Brightfields demonstration program.

        TITLE III--COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

Sec. 301. Comprehensive economic development strategies.

                TITLE IV--ECONOMIC DEVELOPMENT DISTRICTS

Sec. 401. Incentives.
Sec. 402. Provision of comprehensive economic development strategies to 
regional commissions.

                        TITLE V--ADMINISTRATION

Sec. 501. Economic development information clearinghouse.
Sec. 502. Businesses desiring Federal contracts.
Sec. 503. Performance evaluations of grant recipients.
Sec. 504. Conforming amendments.

                        TITLE VI--MISCELLANEOUS

Sec. 601. Relationship to assistance under other law.
Sec. 602. Sense of Congress regarding economic development 
representatives.

                           TITLE VII--FUNDING

Sec. 701. Authorization of appropriations.

SEC. 2. AMENDMENTS TO PUBLIC WORKS AND ECONOMIC DEVELOPMENT ACT OF 
                    1965.

  Except as otherwise expressly provided, whenever in this Act an 
amendment or repeal is expressed in terms of an amendment to, or a 
repeal of, a section or other provision, the reference shall be 
considered to be made to a section or other provision of the Public 
Works and Economic Development Act of 1965 (42 U.S.C. 3121 et seq.).

                      TITLE I--GENERAL PROVISIONS

SEC. 101. FINDINGS AND DECLARATIONS.

  Section 2 (42 U.S.C. 3121) is amended to read as follows:

``SEC. 2. FINDINGS AND DECLARATIONS.

  ``(a) Findings.--Congress finds the following:
          ``(1) There continue to be areas experiencing chronic high 
        unemployment, underemployment, outmigration, and low per capita 
        incomes, as well as areas facing sudden and severe economic 
        dislocations due to structural economic changes, changing trade 
        patterns, certain Federal actions (including environmental 
        requirements that result in the removal of economic activities 
        from a locality), and natural disasters.
          ``(2) Economic growth in our Nation, States, cities, and 
        rural areas is produced by expanding economic opportunities, 
        expanding free enterprise through trade, developing and 
        strengthening public infrastructure, and creating a climate for 
        job creation and business development.
          ``(3) The goal of Federal economic development programs is to 
        raise the standard of living for all citizens and increase the 
        wealth and overall rate of growth of the economy by encouraging 
        communities to develop a more competitive and diversified 
        economic base by--
                  ``(A) creating an environment that promotes economic 
                activity by improving and expanding public 
                infrastructure;
                  ``(B) promoting job creation through increased 
                innovation, productivity, and entrepreneurship; and
                  ``(C) empowering local and regional communities 
                experiencing chronic high unemployment and low per 
                capita income to develop private sector business and 
                attract increased private sector capital investment.
          ``(4) While economic development is an inherently local 
        process, the Federal Government should work in partnership with 
        public and private local, regional, tribal, and State 
        organizations to maximize the impact of existing resources and 
        enable regions, communities, and citizens to participate more 
        fully in the American dream and national prosperity.
          ``(5) In order to avoid duplication of effort and achieve 
        meaningful, long-lasting results, Federal, State, tribal, and 
        local economic development activities should have a clear 
        focus, improved coordination, a comprehensive approach, and 
        simplified and consistent requirements.
          ``(6) Federal economic development efforts will be more 
        effective if they are coordinated with, and build upon, the 
        trade, workforce investment, transportation, and technology 
        programs of the United States.
  ``(b) Declarations.--In order to promote a strong and growing economy 
throughout the United States, Congress declares the following:
          ``(1) Assistance under this Act should be made available to 
        both rural- and urban-distressed communities.
          ``(2) Local communities should work in partnership with 
        neighboring communities, the States, Indian tribes, and the 
        Federal Government to increase their capacity to develop and 
        implement comprehensive economic development strategies to 
        alleviate economic distress and enhance competitiveness in the 
        global economy.
          ``(3) Whether suffering from long-term distress or a sudden 
        dislocation, distressed communities should be encouraged to 
        support entrepreneurship to take advantage of the development 
        opportunities afforded by technological innovation and 
        expanding newly opened global markets.''.

SEC. 102. DEFINITIONS.

  (a) Eligible Recipient.--Section 3(4)(A) (42 U.S.C. 3122(4)(A)) is 
amended--
          (1) by striking clause (i) and redesignating clauses (ii) 
        through (vii) as clauses (i) through (vi), respectively; and
          (2) in clause (iv) (as so redesignated) by inserting ``, 
        including a special purpose unit of a State or local government 
        engaged in economic or infrastructure development activities,'' 
        after ``State''.
  (b) Regional Commissions.--Section 3 (42 U.S.C. 3122) is amended--
          (1) by redesignating paragraphs (8), (9), and (10) as 
        paragraphs (9), (10), and (11), respectively; and
          (2) by inserting after paragraph (7) the following:
          ``(8) Regional commissions.--The term `Regional Commissions' 
        means the following entities:
                  ``(A) The Appalachian Regional Commission established 
                under chapter 143 of title 40, United States Code.
                  ``(B) The Delta Regional Authority established under 
                subtitle F of the Consolidated Farm and Rural 
                Development Act (7 U.S.C. 2009aa et seq).
                  ``(C) The Denali Commission established under the 
                Denali Commission Act of 1998 (42 U.S.C. 2131 note; 112 
                Stat. 2681-637 et seq.).
                  ``(D) The Northern Great Plains Regional Authority 
                established under subtitle F of the Consolidated Farm 
                and Rural Development Act (7 U.S.C. 2009bb et seq.).''.
  (c) University Center.--Section 3 (42 U.S.C. 3122) is amended by 
adding at the end the following:
          ``(12) University center.--The term `university center' means 
        an institution of higher education or a consortium of 
        institutions of higher education established as a University 
        Center for Economic Development under section 207(a)(2)(D).''.

SEC. 103. ESTABLISHMENT OF ECONOMIC DEVELOPMENT PARTNERSHIPS.

  Section 101 (42 U.S.C. 3131) is amended--
          (1) in subsection (b) by striking ``and multi-State regional 
        organizations'' and inserting ``multi-State regional 
        organizations, and nonprofit organizations''; and
          (2) in subsection (d)(1) by striking ``adjoining'' each place 
        it appears.

SEC. 104. COORDINATION.

  Section 103 (42 U.S.C. 3132) is amended--
          (1) by inserting ``(a) In General.--'' before ``The 
        Secretary'';
          (2) in subsection (a) (as so designated) by inserting 
        ``Indian tribes,'' after ``districts,''; and
          (3) by adding at the end the following:
  ``(b) Meetings.--To carry out the responsibilities in subsection (a), 
or for any other purpose related to economic development activities, 
the Secretary may convene meetings with Federal agencies, State and 
local governments, economic development districts, Indian tribes, and 
other appropriate planning and development organizations.''.

       TITLE II--GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT

SEC. 201. GRANTS FOR PLANNING.

  Section 203(d) (42 U.S.C. 3143(d)) is amended--
          (1) in paragraph (1) by inserting ``, to the maximum extent 
        practicable,'' after ``developed'' the second place it appears;
          (2) by striking paragraph (3) and inserting the following:
          ``(3) Coordination.--Before providing assistance for a State 
        plan under this section, the Secretary shall consider the 
        extent to which the State will consider local and economic 
        development district plans.''; and
          (3) in paragraph (4)--
                  (A) by striking ``and'' at the end of subparagraph 
                (C);
                  (B) by redesignating subparagraph (D) as subparagraph 
                (E); and
                  (C) by adding after subparagraph (C) the following:
                  ``(D) assist in carrying out a State's workforce 
                investment strategy; and''.

SEC. 202. COST SHARING.

  (a) Federal Share.--Section 204(a) (42 U.S.C. 3144(a)) is amended to 
read as follows:
  ``(a) Federal Share.--The Secretary shall issue regulations to 
establish the Federal share of the cost of projects carried out under 
this title based on the relative needs of the areas in which the 
projects will be located. Except as provided in subsection (c), the 
Federal share of the cost of any project carried out under this title 
shall not exceed 80 percent.''.
  (b) Non-Federal Share.--Section 204(b) (42 U.S.C. 3144(b)) is amended 
by inserting ``assumptions of debt,'' after ``equipment,''.
  (c) Increase in Federal Share.--Section 204 (42 U.S.C. 3144) is 
amended by adding at the end the following:
  ``(c) Increase in Federal Share.--
          ``(1) Indian tribes.--In the case of a grant to an Indian 
        tribe for a project under this title, the Secretary may 
        increase the Federal share above the percentage specified in 
        subsection (a) up to 100 percent of the cost of the project.
          ``(2) Certain states, political subdivisions, and nonprofit 
        organizations.--In the case of a grant to a State, or a 
        political subdivision of a State, that the Secretary determines 
        has exhausted its effective taxing and borrowing capacity, or 
        in the case of a grant to a nonprofit organization that the 
        Secretary determines has exhausted its effective borrowing 
        capacity, the Secretary may increase the Federal share above 
        the percentage specified in subsection (a) up to 100 percent of 
        the cost of the project.''.
  (d) Planning Grants.--Section 204 (42 U.S.C. 3144) is further amended 
by adding at the end the following:
  ``(d) Planning Grants.--Notwithstanding subsection (a), the Federal 
share of the costs of planning activities under section 203 shall be at 
least 65 percent and not more than 80 percent.''.

SEC. 203. SUPPLEMENTARY GRANTS.

  (a) In General.--Section 205(b) (42 U.S.C. 3145(b)) is amended to 
read as follows:
  ``(b) Supplementary Grants.--Subject to subsection (c), in order to 
assist eligible recipients in taking advantage of designated Federal 
grant programs, on the application of an eligible recipient, the 
Secretary may make a supplementary grant for a project for which the 
recipient is eligible but for which the recipient cannot provide the 
required non-Federal share because of the recipient's economic 
situation.''.
  (b) Requirements Applicable to Supplementary Grants.--Section 205(c) 
(42 U.S.C. 3145(c)) is amended--
          (1) by striking paragraphs (1) and (2) and inserting the 
        following:
          ``(1) Amount of supplementary grants.--The share of the 
        project cost supported by a supplementary grant under this 
        section may not exceed the applicable Federal share under 
        section 204.
          ``(2) Form of supplementary grants.--The Secretary shall make 
        supplementary grants by--
                  ``(A) the payment of funds made available under this 
                Act to the heads of the Federal agencies responsible 
                for carrying out the applicable Federal programs; or
                  ``(B) the award of funds under this Act, which will 
                be combined with funds transferred from other Federal 
                agencies in projects administered by the Secretary.''; 
                and
          (2) by striking paragraph (4).

SEC. 204. REGULATIONS ON RELATIVE NEEDS AND ALLOCATIONS.

  Section 206 (42 U.S.C. 3146) is amended--
          (1) by striking ``and'' at the end of paragraph (1)(B);
          (2) by striking the period at the end of paragraph (2) and 
        inserting ``; and''; and
          (3) by adding at the end the following:
          ``(3) grants made under this title promote job creation and 
        will have a high probability of meeting or exceeding applicable 
        performance requirements established in connection with the 
        grants.''.

SEC. 205. GRANTS FOR TRAINING, RESEARCH, AND TECHNICAL ASSISTANCE.

  (a) In General.--Section 207(a)(2) (42 U.S.C. 3147(a)(2)) is 
amended--
          (1) by striking ``and'' at the end of subparagraph (F);
          (2) by redesignating subparagraph (G) as subparagraph (H); 
        and
          (3) by inserting after subparagraph (F) the following:
                  ``(G) studies that evaluate the effectiveness of 
                coordinating projects funded under this Act with 
                projects funded under other Acts; and''.
  (b) Cooperation Requirement.--Section 207(a) (42 U.S.C. 3147(a)) is 
amended by adding at the end the following:
          ``(4) Cooperation requirement.--In the case of a project 
        assisted under this section that is national or regional in 
        scope, the Secretary may waive the provision in section 
        3(4)(A)(vi) requiring a nonprofit organization or association 
        to act in cooperation with officials of a political subdivision 
        of a State.''.

SEC. 206. PREVENTION OF UNFAIR COMPETITION.

  Section 208 (42 U.S.C. 3148), and the item relating to section 208 in 
the table of contents contained in section 1(b), are repealed.

SEC. 207. GRANTS FOR ECONOMIC ADJUSTMENT.

  (a) Direct Expenditure or Redistribution by Recipient.--Section 
209(d) (42 U.S.C. 3149(d)) is amended by striking ``an eligible 
recipient'' each place it appears and inserting ``a recipient''.
  (b) Special Provisions Relating to Revolving Loan Fund Grants.--
Section 209 (42 U.S.C. 3149) is amended by adding at the end the 
following:
  ``(e) Special Provisions Relating to Revolving Loan Fund Grants.--
          ``(1) In general.--The Secretary shall issue regulations to 
        maintain the proper operation and financial integrity of 
        revolving loan funds established by recipients with assistance 
        under this section.
          ``(2) Efficient administration.--The Secretary may--
                  ``(A) at the request of a grantee, amend and 
                consolidate grant agreements governing revolving loan 
                funds to provide flexibility with respect to lending 
                areas and borrower criteria;
                  ``(B) assign or transfer assets of a revolving loan 
                fund to a third party for the purpose of liquidation, 
                and a third party may retain assets of the fund to 
                defray costs related to liquidation; and
                  ``(C) take such actions as are appropriate to enable 
                revolving loan fund operators to sell or securitize 
                loans (except that the actions may not include issuance 
                of a Federal guaranty by the Secretary).
          ``(3) Treatment of actions.--An action taken by the Secretary 
        under this subsection with respect to a revolving loan fund 
        shall not constitute a new obligation if all grant funds 
        associated with the original grant award have been disbursed to 
        the recipient.''.

SEC. 208. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PROJECTED COST.

  Section 211 (42 U.S.C. 3151) is amended to read as follows:

``SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PROJECTED COST.

  ``(a) In General.--In the case of a grant to a recipient for a 
construction project under section 201 or 209, if the Secretary 
determines, before closeout of the project, that the cost of the 
project, based on the designs and specifications that were the basis of 
the grant, has decreased because of decreases in costs, the Secretary 
may approve, without further appropriations action, the use of the 
excess funds (or a portion of the excess funds) by the recipient to 
increase the Federal share of the cost of a project under this title to 
the maximum percentage allowable under section 204 or to improve the 
project.
  ``(b) Other Uses of Excess Funds.--Any amount of excess funds 
remaining after application of subsection (a) may be used by the 
Secretary for providing assistance under this Act.
  ``(c) Transferred Funds.--In the case of excess funds described in 
subsection (a) in projects utilizing funds transferred from other 
Federal agencies pursuant to section 604, the Secretary shall--
          ``(1) utilize the funds in accordance with subsection (a), 
        with the approval of the originating agency; or
          ``(2) return the funds to the originating agency.''.

SEC. 209. SPECIAL IMPACT AREAS.

  (a) In General.--Title II (42 U.S.C. 3141 et seq.) is amended by 
adding at the end the following:

``SEC. 214. SPECIAL IMPACT AREAS.

  ``(a) In General.--On the application of an eligible recipient, the 
Secretary may determine that the recipient is unable to comply with the 
requirements of section 302 and designate the area represented by the 
recipient as a special impact area.
  ``(b) Waivers.--Subject to the requirements of this section, the 
Secretary may waive, in whole or in part, as appropriate, the 
requirements of section 302 with respect to a special impact area 
designated under subsection (a) if the Secretary determines that the 
waiver will carry out the purposes of the Act.
  ``(c) Notification Requirement.--At least 30 days before issuing a 
waiver under this section, the Secretary shall transmit to the 
Committee on Transportation and Infrastructure of the House of 
Representatives and the Committee on Environment and Public Works of 
the Senate a written notice of the waiver, including a justification 
for the waiver.''.
  (b) Conforming Amendment.--The table of contents contained in section 
1(b) is amended by inserting after the item relating to section 213 the 
following:

``Sec. 214. Special impact areas.''.

SEC. 210. PERFORMANCE AWARDS.

  (a) In General.--Title II (42 U.S.C. 3141 et seq.) is further amended 
by adding at the end the following:

``SEC. 215. PERFORMANCE AWARDS.

  ``(a) In General.--The Secretary may make a performance award in 
connection with a grant made, on or after the date of enactment of this 
section, to an eligible recipient for a project under section 201 or 
209.
  ``(b) Performance Measures.--
          ``(1) Regulations.--The Secretary shall issue regulations to 
        establish performance measures for making performance awards 
        under subsection (a).
          ``(2) Considerations.--In issuing regulations under paragraph 
        (1), the Secretary shall consider including performance 
        measures that assess the following factors:
                  ``(A) Whether the recipient meets or exceeds 
                scheduling goals.
                  ``(B) Whether the recipient meets or exceeds job 
                creation goals.
                  ``(C) Amounts of private sector capital investments 
                leveraged.
                  ``(D) Such other factors as the Secretary determines 
                appropriate.
  ``(c) Amount of Awards.--
          ``(1) In general.--The Secretary shall base the amount of a 
        performance award made under subsection (a) in connection with 
        a grant on the extent to which a recipient meets or exceeds 
        performance measures established in connection with the grant.
          ``(2) Maximum amount.--The amount of a performance award may 
        not exceed 10 percent of the amount of the grant.
  ``(d) Use of Awards.--A recipient of a performance award under 
subsection (a) may use the award for any eligible purpose under this 
Act, in accordance with section 602 and such regulations as the 
Secretary may prescribe.
  ``(e) Federal Share.--Notwithstanding section 204, the amounts of a 
performance award may be used for up to 100 percent of the cost of an 
eligible project or activity.
  ``(f) Treatment in Meeting Non-Federal Share Requirements.--For the 
purposes of meeting the non-Federal share requirements of this Act, or 
any other Act, the amounts of a performance award shall be treated as 
funds from a non-Federal source.
  ``(g) Terms and Conditions.-- In making performance awards under 
subsection (a), the Secretary shall establish such terms and conditions 
as the Secretary considers appropriate.
  ``(h) Funding.--The Secretary shall carry out this section using any 
amounts made available for economic development assistance programs.
  ``(i) Reporting Requirement.--The Secretary shall include information 
regarding performance awards made under this section in the annual 
report required under section 603.
  ``(j) Review by Comptroller General.--
          ``(1) Review.--The Comptroller General shall review the 
        implementation of this section in each fiscal year.
          ``(2) Annual report.--Not later than one year after the date 
        of enactment of this section, and annually thereafter, the 
        Comptroller General shall transmit to the Committee on 
        Transportation and Infrastructure of the House of 
        Representatives and the Committee on Environment and Public 
        Works of the Senate a report on the Comptroller's findings 
        under this subsection.''.
  (b) Conforming Amendment.--The table of contents contained in section 
1(b) is amended by inserting after the item relating to section 214 the 
following:

``Sec. 215. Performance awards.''.

SEC. 211. PLANNING PERFORMANCE AWARDS.

  (a) In General.--Title II (42 U.S.C. 3141 et seq.) is further amended 
by adding at the end the following:

``SEC. 216. PLANNING PERFORMANCE AWARDS.

  ``(a) In General.--The Secretary may make a planning performance 
award in connection with a grant made, on or after the date of 
enactment of this section, to an eligible recipient for a project under 
this title located in an economic development district.
  ``(b) Eligibility.--The Secretary may make a planning performance 
award to an eligible recipient under subsection (a) in connection with 
a grant for a project if the Secretary determines before closeout of 
the project that--
          ``(1) the recipient actively participated in the economic 
        development activities of the economic development district in 
        which the project is located;
          ``(2) the project is consistent with the comprehensive 
        economic development strategy of the district;
          ``(3) the recipient worked with Federal, State, and local 
        economic development entities throughout the development of the 
        project; and
          ``(4) the project was completed in accordance with the 
        comprehensive economic development strategy of the district.
  ``(c) Maximum Amount.--The amount of a planning performance award 
made under subsection (a) in connection with a grant may not exceed 5 
percent of the amount of the grant.
  ``(d) Use of Awards.--A recipient of a planning performance award 
under subsection (a) shall use the award to increase the Federal share 
of the cost of a project under this title.
  ``(e) Federal Share.--Notwithstanding section 204, the amounts of a 
planning performance award may be used for up to 100 percent of the 
cost of a project under this title.
  ``(f) Funding.--The Secretary shall carry out this section using any 
amounts made available for economic development assistance programs.''.
  (b) Conforming Amendment.--The table of contents contained in section 
1(b) is amended by inserting after the item relating to section 215 the 
following:

``Sec. 216. Planning performance awards.''.

SEC. 212. SUBGRANTS.

  (a) In General.--Title II (42 U.S.C. 3141 et seq.) is further amended 
by adding at the end the following:

``SEC. 217. SUBGRANTS.

  ``(a) In General.--Subject to subsection (b), a recipient of a grant 
under section 201, 203, or 207 may directly expend the grant funds or 
may redistribute the funds in the form of a subgrant to other eligible 
recipients to fund required components of the scope of work approved 
for the project.
  ``(b) Limitation.--A recipient may not redistribute grant funds 
received under section 201 or 203 to a for-profit entity.''.
  (b) Conforming Amendment.--The table of contents contained in section 
1(b) is amended by inserting after the item relating to section 216 the 
following:

``Sec. 217. Subgrants.''.

SEC. 213. BROWNFIELDS REDEVELOPMENT.

  (a) In General.--Title II (42 U.S.C. 3141 et seq.) is further amended 
by adding at the end the following:

``SEC. 218. BROWNFIELDS REDEVELOPMENT.

  ``(a) In General.--On the application of a qualified eligible 
recipient, the Secretary may make grants under sections 201, 203, 207, 
and 209 for projects to expand, redevelop, or reuse brownfield sites.
  ``(b) Limitations.--Projects carried out under this section shall be 
subject to the limitations of section 104(k)(4)(B) of the Comprehensive 
Environmental Response, Compensation, and Liability Act of 1980 (42 
U.S.C. 9604(k)(4)(B)).
  ``(c) Definitions.--In this section, the following definitions apply:
          ``(1) Brownfield site.--The term `brownfield site' has the 
        meaning given such term in section 101(39) of the Comprehensive 
        Environmental Response, Compensation, and Liability Act of 1980 
        (42 U.S.C. 9601(39)).
          ``(2) Qualified eligible recipient.--The term `qualified 
        eligible recipient' means an eligible recipient that meets the 
        definition of `eligible entity' in section 104(k)(1) of the 
        Comprehensive Environmental Response, Compensation, and 
        Liability Act of 1980 (42 U.S.C. 9604(k)(1)); except that for 
        any project undertaken under this section the term may include 
        a nonprofit organization acting in cooperation with officials 
        of a political subdivision of a State.''.
  (b) Conforming Amendment.--The table of contents contained in section 
1(b) is amended by inserting after the item relating to section 217 the 
following:

``Sec. 218. Brownfields redevelopment.''.

SEC. 214. BRIGHTFIELDS DEMONSTRATION PROGRAM.

  (a) In General.--Title II (42 U.S.C. 3141 et seq.) is further amended 
by adding at the end the following:

``SEC. 219. BRIGHTFIELDS DEMONSTRATION PROGRAM.

  ``(a) In General.--On the application of a qualified eligible 
recipient, the Secretary may make a grant for a project for the 
development of brightfield sites if the Secretary determines that the 
project will--
          ``(1) utilize solar energy technologies to develop abandoned 
        or contaminated sites for commercial use; and
          ``(2) improve the commercial and economic opportunities in 
        the area where the project is located.
  ``(b) Limitations.--Projects carried out under this section shall be 
subject to the limitations of section 104(k)(4)(B) of the Comprehensive 
Environmental Response, Compensation, and Liability Act of 1980 (42 
U.S.C. 9604(k)(4)(B)).
  ``(c) Definitions.--In this section, the following definitions apply:
          ``(1) Brightfield site.--The term `brightfield site' means a 
        brownfield site (as defined in section 217) that is redeveloped 
        through the incorporation of solar energy technologies.
          ``(2) Qualified eligible recipient.--The term `qualified 
        eligible recipient' has the meaning given such term in section 
        217; except that for any project undertaken under this section 
        the term may include a nonprofit organization acting in 
        cooperation with officials of a political subdivision of a 
        State.
  ``(d) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $5,000,000 for each of fiscal 
years 2004 through 2008. Such sums shall remain available until 
expended.''.
  (b) Conforming Amendment.--The table of contents contained in section 
1(b) is amended by inserting after the item relating to section 218 the 
following:

``Sec. 219. Brightfields demonstration program.''.

        TITLE III--COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

SEC. 301. COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES.

  (a) In General.--Section 302(a)(3)(A) (42 U.S.C. 3162(a)(3)(A)) is 
amended by inserting ``maximizes effective development and use of the 
workforce consistent with any applicable State or local workforce 
investment strategy,'' after ``access,''.
  (b) Approval of Other Plan.--Section 302(c) (42 U.S.C. 3162(c)) is 
amended by adding at the end the following: ``To the maximum extent 
practicable, a plan submitted under this paragraph shall be consistent 
and coordinated with any existing comprehensive economic development 
strategy for the area.''.

                TITLE IV--ECONOMIC DEVELOPMENT DISTRICTS

SEC. 401. INCENTIVES.

  Section 403 (42 U.S.C. 3173), and the item relating to section 403 in 
the table of contents contained in section 1(b), are repealed.

SEC. 402. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES TO 
                    REGIONAL COMMISSIONS.

  (a) In General.--Section 404 (42 U.S.C. 3174) is amended to read as 
follows:

``SEC. 404. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES 
                    TO REGIONAL COMMISSIONS.

  ``If any part of an economic development district is in a region 
covered by one or more of the Regional Commissions (as defined in 
section 3), the economic development district shall ensure that a copy 
of the comprehensive economic development strategy of the district is 
provided to the affected Regional Commission.''.
  (b) Conforming Amendment.--The table of contents contained in section 
1(b) is amended by striking the item relating to section 404 and 
inserting the following:

``Sec. 404. Provision of comprehensive economic development strategies 
to Regional Commissions.''.

                        TITLE V--ADMINISTRATION

SEC. 501. ECONOMIC DEVELOPMENT INFORMATION CLEARINGHOUSE.

  Section 502 (42 U.S.C. 3192) is amended--
          (1) by striking paragraph (1) and inserting the following:
          ``(1) maintain a central information clearinghouse on the 
        Internet with--
                  ``(A) information on economic development, economic 
                adjustment, disaster recovery, defense conversion, and 
                trade adjustment programs and activities of the Federal 
                Government;
                  ``(B) links to State economic development 
                organizations; and
                  ``(C) links to other appropriate economic development 
                resources;'';
          (2) by striking paragraph (2) and inserting the following:
          ``(2) assist potential and actual applicants for economic 
        development, economic adjustment, disaster recovery, defense 
        conversion, and trade adjustment assistance under Federal and 
        State laws in locating and applying for the assistance;'';
          (3) by striking the period at the end of paragraph (3) and 
        inserting ``; and''; and
          (4) by adding at the end the following:
          ``(4) obtain appropriate information from other Federal 
        agencies needed to carry out the duties under this Act.''.

SEC. 502. BUSINESSES DESIRING FEDERAL CONTRACTS.

  Section 505 (42 U.S.C. 3195), and the item relating to section 505 in 
the table of contents contained in section 1(b), are repealed.

SEC. 503. PERFORMANCE EVALUATIONS OF GRANT RECIPIENTS.

  Section 506(c) (42 U.S.C. 3196(c)) is amended by striking ``after the 
effective date of the Economic Development Administration Reform Act of 
1998''.

SEC. 504. CONFORMING AMENDMENTS.

  (a) Standards.--Section 602 (42 U.S.C. 3212) is amended--
          (1) in the first sentence by striking ``in accordance with'' 
        and all that follows before the period at the end and inserting 
        ``in accordance with subchapter IV of chapter 31 of title 40, 
        United States Code''; and
          (2) in the third sentence by striking ``section 2 of the Act 
        of June 13, 1934, as amended (40 U.S.C. 276c)'' and inserting 
        ``section 3145 of title 40, United States Code''.
  (b) Evaluation Criteria.--Section 506(d)(2) (42 U.S.C. 3196(d)(2)) is 
amended by inserting ``program performance,'' after ``applied 
research,''.

                        TITLE VI--MISCELLANEOUS

SEC. 601. RELATIONSHIP TO ASSISTANCE UNDER OTHER LAW.

  Section 609 (42 U.S.C. 3219) is amended--
          (1) by striking subsection (a); and
          (2) by striking ``(b) Assistance Under Other Acts.--''.

SEC. 602. SENSE OF CONGRESS REGARDING ECONOMIC DEVELOPMENT 
                    REPRESENTATIVES.

  (a) Findings.--Congress finds the following:
          (1) Planning and coordination among Federal agencies, State 
        and local governments, Indian tribes, and economic development 
        districts is vital to the success of an economic development 
        program.
          (2) Economic Development Representatives of the Economic 
        Development Administration provide distressed communities with 
        the technical assistance necessary to foster this planning and 
        coordination.
          (3) In the past five years, the number of Economic 
        Development Representatives has declined by almost 25 percent.
  (b) Sense of Congress.--It is the sense of Congress that the 
Secretary should maintain a sufficient number of Economic Development 
Representatives to ensure that the Economic Development Administration 
is able to provide effective assistance to distressed communities and 
foster economic growth and development among the States.

                           TITLE VII--FUNDING

SEC. 701. AUTHORIZATION OF APPROPRIATIONS.

  Section 701 (42 U.S.C. 3231) is amended to read as follows:

``SEC. 701. GENERAL AUTHORIZATION OF APPROPRIATIONS.

  ``(a) Economic Development Assistance Programs.--There are authorized 
to be appropriated for economic development assistance programs to 
carry out this Act--
          ``(1) $400,000,000 for fiscal year 2004;
          ``(2) $425,000,000 for fiscal year 2005;
          ``(3) $450,000,000 for fiscal year 2006;
          ``(4) $475,000,000 for fiscal year 2007; and
          ``(5) $500,000,000 for fiscal year 2008.
Such sums shall remain available until expended.
  ``(b) Salaries and Expenses.--There are authorized to be appropriated 
for salaries and expenses of administering this Act $33,377,000 for 
fiscal year 2004 and such sums as may be necessary for each fiscal year 
thereafter. Such sums shall remain available until expended.''.

                       Purpose of the Legislation

    H.R. 2535 reauthorizes the Economic Development 
Administration for five years and authorizes $2.25 billion over 
five years for program operations. The legislation updates the 
findings and declarations; revises several definitions; and 
allows the inclusion of non-profit entities as an eligible 
economic development entity. The legislation grants the 
Secretary of Commerce new authority to implement a performance 
based incentive plan, to issue new regulations relating to the 
operation of revolving loan funds, to make grants for the 
redevelopment of brownfield sites and for the development of 
brightfield sites, to waive planning requirements for isolated 
areas, to convene meetings to improve coordination between 
federal agencies, to increase the federal share of grants, to 
allow for increased retention of funds, and to issue new 
performance regulations. The legislation also repeals a number 
of obsolete provisions.

                Background and Need for the Legislation

    Established by the Public Works and Economic Development 
Act of 1965, the Economic Development Administration (EDA) was 
created to alleviate conditions of substantial and persistent 
unemployment in economically distressed areas and regions. The 
mission of EDA today remains much the same as it was when 
originally founded, ``To enhance community success in 
attracting private capital investment and lucrative job 
opportunities.'' EDA has stated that to fulfill its mission, it 
must be, ``. . . guided by the principle that distressed 
communities must be empowered to develop and implement their 
own economic development and revitalization strategies.''
    The initial authorization of EDA, which was only for five 
years, expired in 1970. From 1970 through 1980, EDA continued 
to operate without a reauthorization, though there were several 
legislative efforts to reorganize and reorient the Agency. 
During this time, the agency continued to receive 
appropriations, including $6 billion for public works projects 
in 1976 and 1977. In 1980, EDA's programs were reauthorized, 
however, that reauthorization expired in 1982, and until 1998, 
the Agency went without an authorization, surviving only on 
year-to-year appropriations.
    The Economic Development Administration and Appalachian 
Regional Development Reform Act of 1998 reauthorized the Agency 
for a period of five years, and authorized funding levels that 
progressively declined from an initial amount of $398 million 
for FY '99 to $335 million in FY '03. Additionally, this 
reauthorization put into place a number of the management and 
administrative reforms already underway, such as efforts to 
target the most distressed areas and encourage regional 
cooperation.
    EDA provides assistance for projects through a variety of 
programs: Planning; Technical Assistance; Public Works; 
Economic Adjustment; Research and Evaluation; and Trade 
Adjustment Assistance. Projects are located in areas exhibiting 
economic distress at the time of application. Projects located 
outside these areas may be considered if they directly benefit 
a distressed area. All Public Works and Economic Adjustment 
projects must be consistent with an EDA-approved Comprehensive 
Economic Development Strategy (CEDS). EDA may fund up to 50% of 
project costs, however, certain conditions of high economic 
distress or an applicant's inability to provide the matching 
share may permit a higher grant rate.
    Planning grants support the design and implementation of 
effective economic development policies and programs by local 
organizations. Through the use of these grants, organizations 
are able to support development of CEDS, implement provisions 
of this strategy, and provide planning and other technical 
assistance to communities and local governments.
    Grants are made to university centers that provide 
technical assistance to public bodies, nonprofit organizations, 
and businesses to plan and implement activities designed to 
generate jobs and income in distressed areas. The information 
developed by these centers also assists EDA to support other 
economic development practitioners across the country. In 
addition to direct support and assistance for ongoing programs, 
these centers work to assist in measuring the performance of 
economic development programs.
    Public works grants provide for infrastructure projects 
that foster the establishment or expansion of industrial and 
commercial businesses generating employment in communities 
experiencing high unemployment, underemployment, low per-capita 
income, or out-migration. The grants provided by this program 
support locally developed plans and provide limited assistance 
for specific projects such as the expansion and strengthening 
of public infrastructure (water, sewer, etc.), construction of 
business incubators, and skill training facilities.
    Economic adjustment investments provide a package of 
assistance tools, including planning, technical assistance, 
revolving loan funds and infrastructure development, to help 
communities counteract either a gradual erosion or a sudden 
dislocation of their local economic structure as a result of 
natural disasters, international trade competition, or major 
plant closings. This assistance also encompasses assistance 
provided in the event of a military base closure, and grants to 
support redevelopment of brownfields.
    Research evaluation investments support studies about the 
causes of economic distress and approaches to alleviating and 
preventing such problems, national demonstrations of innovative 
economic development techniques, and dissemination of economic 
development information. These grants may be provided to 
nonprofit organizations, universities, private individuals, and 
other research institutions.
    Trade adjustment assistance provides technical assistance, 
through a national network of 12 Trade Adjustment Assistance 
Centers (TAAC), to certified U.S. manufacturing firms and 
industries economically injured as the result of international 
trade competition.
    Each of these programs operates to address a different need 
within the sphere of economic development activities to 
communities that meet the definition of distressed, which has 
been established by regulation. These regulations limit 
eligibility to communities in distress as well as projects in 
otherwise ineligible communities that will benefit communities 
in distress. In general, EDA defines an ``economically 
distressed area'' as one that has (for the most recent period 
for which data is available): unemployment rate one percent 
greater than the national average; per-capita income 80 percent 
or less of the national average; or a special need as 
determined by EDA, such as outmigration, the negative effects 
of international trade, or loss of a major economic resource. 
Typically EDA limits assistance to clearly defined political 
boundaries, however, these restrictions may be waived for 
isolated pockets of distress in otherwise ineligible 
communities.
    As of fiscal year 2001, EDA has funded more than 43,000 
projects, investing over $17 billion in more than 8,000 
communities nationwide. The Agency estimates that its 
assistance has directly created or helped to create over 4 
million jobs and leveraged more than $130 billion in private 
sector investment.
    In addition to activities coordinated directly with State 
and local governments, EDA has a long history of working with 
other organizations to meet its mission. EDA works with Local 
Development Districts (LDD's), which are often the recipient of 
grant assistance, and work on a multi-county level to address 
economic development needs in areas of distress. In addition, 
EDA has worked in the past with each of the existing and 
operational regional development authorities, including the 
Appalachian Regional Commission (ARC), Delta Regional Authority 
(DRA) and Denali Commission (Denali) to deliver planning 
assistance and guidance on regional planning issues.
    This work has been achieved through both Memoranda of 
Understanding (MOU's), as is the case with ARC, and through 
cooperative work, as is the case with Denali and DRA. In each 
of these cases however, EDA has worked to achieve a different 
mission than those established by the regional authorities, 
which have been established by law to operate independently.
    The present reauthorization legislation continues many of 
the important reforms put into place by the 1998 
reauthorization (P.L. 105-393), and builds upon the success of 
these reforms by providing increased resources and flexible new 
authorities to the Secretary of Commerce.

                       Summary of the Legislation

    Section 1. Section 1 provides that the short title for the 
legislation is the Economic Development Administration 
Reauthorization Act of 2003.
    Section 2. Section 2 clarifies that the amendments included 
in the bill are amendments to the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3121 et seq.) as amended 
(PWEDA).

                      TITLE I--GENERAL PROVISIONS

Section 101. Findings and declarations

    Revises the findings to reflect the different economy in 
2003 compared to 1998 when the Economic Development 
Administration (EDA) was last re-authorized. The new findings 
also provide an emphasis on the need to increase innovation, 
productivity and entrepreneurship and attract private sector 
capital investment in order to create jobs and sustained 
economic growth.

Section 102. Definitions

    Section 102 revises the definition of ``eligible 
recipient'' in section 3 of PWEDA. This is done since EDA looks 
to organizational status, such as status as a city, State or 
Indian tribe, to meet the requirements of paragraph (4)(A) of 
this section. This section also clarifies that a city or other 
political subdivision of a State under subparagraph (4)(A)(iv) 
(as re-designated) includes a special purpose unit of State or 
local government, engaged in economic or infrastructure 
development activities.
    This section also adds a new paragraph (8) that defines 
Regional Commissions for purposes of section 403 of the Act. 
The Regional Commissions are the Appalachian Regional 
Commission, Delta Regional Authority, the Denali Commission, 
and the Northern Great Plains Regional Authority. The 
legislation amends section 403 to require economic development 
districts to send a copy of their comprehensive economic 
development strategies to the appropriate Regional Commission 
as so defined.
    A new paragraph (12) is added to include a new definition 
of ``university centers'' to rename them as University Centers 
for Economic Development, and clarifies that these must be 
institutions of higher learning.

Section 103. Establishment of economic development partnerships

    Section 103 amends section 101 of PWEDA (42 U.S.C. 
Sec. 3131) which sets out EDA's authority to cooperate with 
States and other entities in establishing economic development 
partnerships that might be appropriate to alleviate economic 
distress or promote investment in infrastructure and 
technological development. Currently, the Secretary can work 
with States, political subdivisions of States, sub-State 
regional organizations and multi-State organizations, but not 
other non-profit organizations. The legislation amends 101(b) 
to allow non-profit organizations such as community development 
corporations to be eligible to receive assistance under this 
section.
    This section also amends subsection (d) of this section, 
which enables the Secretary to enter into cooperation 
agreements with two or more adjoining States or organizations 
of two or more adjoining States. Adjoining is stricken each 
time it is used since this restriction precludes the EDA from 
cooperating with two States that may have common problems in 
connection with a given matter, but do not adjoin.

Section 104. Coordination

    This section redesignates the existing Section 103 as 
paragraph (a) and adds a paragraph (b) that allows the 
Secretary to better coordinate the delivery of federal 
assistance by convening meetings with all relevant 
stakeholders. This section also includes Indian tribes as a 
stakeholder to be included in the discussions.

       TITLE II--GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT

Section 201. Grants for planning

    This section clarifies that States need only coordinate 
with local officials to the maximum extent practicable when 
preparing their state plan. This change alleviates a 
significant burden of large states, while at the same time 
retaining an appropriate level of regional involvement. This 
section also requires that prior to the Secretary granting 
assistance under this section, the Secretary must consider the 
extent to which a State plans to consider the local issues.
    A new subparagraph (d)(3)(D) is also added to require that 
any statewide planning assisted under section 203 be part of a 
comprehensive planning process that also considers a State 
workforce investment strategy. Such a process should include 
consideration of the State plan required under section 112 of 
the Workforce Investment Act of 1998 (29 U.S.C. Sec. 2822).
    It is the Committee's belief that planning is the key to 
successful economic development programs. Activities under this 
section have been underfunded for many years, and therefore the 
Committee supports increased funding for planning activities.

Section 202. Cost sharing

    This Section re-works sections 204 and 205 of PWEDA (42 
U.S.C. Sec. Sec. 3144, 3145), which authorizes the Secretary to 
establish grant rates from 50 percent to 80 percent (and in 
limited circumstances to 100 percent). EDA currently implements 
this authority through section 301.4 of its regulations (title 
13, Code of Federal Regulations).
    This section also establishes in law the cost share for 
planning activities funded under Section 203 of PWEDA. Under 
this act, the Federal share of these activities shall be not 
less than 65 percent and not more than 80 percent. It is the 
Committee's expectation that the Secretary will issue 
regulations to determine the criteria that must be met to 
qualify for different levels of assistance. It is also the 
Committee's expectation that this authority will not be used to 
decrease the amount of money currently given to recipients.

Section 203. Supplementary grants

    This Section eliminates the two-step process required by 
Sections 204 and 205 in which EDA may only make a basic grant 
of 50 percent of project cost and then, depending on the 
economic distress of the area in which the project is located, 
supplement that basic grant by 10, 20, or 30 percent, or more 
in the case of projects of Indian tribes or in certain other 
limited circumstances such as a natural disaster. This section 
does not alter the substance of current law; grant rates will 
continue to depend on the relative level of economic distress 
as 13 CFR Sec. 301.4 requires, but it eliminates the two-step 
process. As revised, supplementary grants will refer to only 
those projects in which EDA is participating in a multi-agency 
project and will transfer funds as a supplement to a sister 
agency's funds.

Section 204. Regulations on relative needs and allocations

    This Section adds a new paragraph (3) to section 206 of 
PWEDA (42 U.S.C. Sec. 3146) to require the Secretary in 
promulgating rules and procedures for grants under title II to 
ensure that allocations of assistance promote job creation and 
will meet or exceed applicable performance requirements.

Section 205. Grants for training, research, and technical assistance

    This section amends Section 207 of PWEDA to require that 
the agency conduct studies to evaluate the effectiveness of its 
projects in coordination with projects funded under other acts. 
This requirement applies specifically to those studies funded 
by the Workforce Investment Act of 1998 (29 U.S.C. Sec. 2801).
    This section also clarifies the current requirement under 
subparagraph 3(4)(A)(vi) (as re-designated) that ensures that 
recipients of assistance under the Act have cooperated with 
local officials. EDA is committed to ensuring that its economic 
development activities in funding projects are consistent with 
locally developed strategies and have broad community support. 
However, EDA upon occasion extends technical assistance or 
conducts research in which the focus is not local, but national 
or regional. In such cases, there is no appropriate local 
official with whom to cooperate. Accordingly, this section 
recommends clarifying the applicability of this requirement for 
such national or regional technical assistance or research 
projects.
    Grants under this section provide technical assistance to 
communities across the nation to transition from failing 
industries to those that can provide good paying jobs well into 
the future. In order that this may be continued, the Committee 
strongly encourages EDA to work with Trumbull and Mahoning 
counties in the State of Ohio to complete a study for the 
second phase of an economic development project that has the 
potential to generate nearly 2,000 jobs and over $9 million in 
tax revenue for Northeast Ohio.
    The Committee strongly encourages EDA to continue to work 
with the city of Fairfield, Maine to complete work on the 
Fairfield Biotech Park, an economic development project that 
has the potential to create jobs in the biotechnology industry 
and contribute significantly to the diversification of Maine's 
economy.
    The Committee also strongly encourages EDA to work with the 
Cedar City/Iron County Economic Development Group to complete 
work on Phase III of the Cedar City Airport Industrial Park, an 
economic development project that has the potential to create 
much needed, high wage jobs in southwestern Utah.

Section 206. Prevention of unfair competition

    This Section repeals section 208 of PWEDA (42 U.S.C. 
Sec. 3148) as a matter of administrative convenience. Section 
208 requires EDA to make a determination, before approving a 
public works grant under section 201 of PWEDA or an economic 
adjustment grant under section 209, that the financial 
assistance will not increase the production of goods, 
materials, or commodities, or the availability of services or 
facilities, when there is not sufficient demand for such goods, 
materials, commodities, services, or facilities, to employ the 
efficient capacity of existing competitive commercial or 
industrial enterprises. In practice it requires EDA to perform 
complex studies of the potential economic impact of its 
investments, even though EDA rarely determines that a potential 
project implicates such competitive concerns. EDA's criteria 
and Investment Policy Guidelines provide safeguards against 
situations section 208 was intended to prevent.

Section 207. Grants for economic adjustment

    This Section makes a minor wording change to subsection (d) 
to section 209 of PWEDA (42 U.S.C. Sec. 3149) to strike 
``eligible'' before ``recipient'' because in the context of the 
subsection the provision relates to recipients who have been 
awarded a grant.
    This Section also adds a new subsection (e) to section 209 
to improve the administration of economic adjustment grants, 
which establish revolving loan funds (RLF's). Paragraph (1) of 
new subsection (e) requires the Secretary to issue regulations 
to maintain the proper operation and financial integrity of 
RLF's. While the Committee appreciates and agrees that it is 
important for EDA to require regular audits of RLF operators to 
ensure good performance, it also believes that it is important 
that these audits not become overly burdensome. It is the 
Committee's expectation that regulations promulgated pursuant 
to this section will require an audit schedule that reflects, 
to the greatest extent practicable, the performance of an RLF, 
and will take into consideration the burden being imposed by 
requiring these audits on a regular basis.
    This Section also gives the Secretary the authority, in 
accordance with regulations issued for such purposes, and at 
the request of a grantee, to amend and consolidate grant 
agreements with respect to lending areas and borrower criteria; 
transfer RLF assets to third parties when such transfer would 
assist in the orderly liquidation of an RLF, which EDA is 
terminating for reasons of poor performance or for the 
convenience of the parties; and take such actions as are 
necessary to allow RLF operators to sell their loans to a 
secondary market.

Section 208. Use of funds in projects constructed under projected cost

    This Section amends section 211 of PWEDA (42 U.S.C. 
Sec. 3151) to provide additional flexibility in connection with 
the use of excess grant funds in construction projects. Under 
the current provision, EDA may approve a request by a grantee 
to expend grant funds to improve a construction project when 
the cost of the original project is less than originally 
anticipated. Any funds remaining after the cost of the 
improvement are returned to the Treasury. This amendment would 
provide EDA with the authority to use these excess funds to 
increase the Federal share of a project, improve the project, 
or make additional economic development investments under EDA 
program authorities (primarily sections 201 and 209 of PWEDA, 
42 U.S.C. Sec. Sec. 3141, 3149) in keeping with the original 
intent of the appropriations.

Section 209. Special impact areas

    This Section amends PWEDA to add a new section 214 to PWEDA 
to provide additional programmatic flexibility. On the 
application of an eligible recipient, EDA may determine that 
the recipient is unable to comply with therequirements of 
section 302 and designate the area as a special impact area. Subject to 
this requirement, the Secretary may waive the requirements of section 
302 of PWEDA (42 U.S.C. Sec. 3162). However, prior to using this 
authority, the Secretary must notify the Committee and provide a 
justification for the waiver.

Section 210. Performance awards

    This Section adds a new section 215 to PWEDA to provide new 
authority to develop a performance incentive program. The 
Secretary may make an award if it is determined that a grant 
recipient has met performance measures promulgated in 
regulations. The award would take the form of a grant to the 
recipient in an amount of up to 10 percent of the original 
project grant amount and may be used for any eligible purpose 
allowed under the act. EDA would issue new regulations to 
govern the performance incentive program and would address it 
specifically as part of the annual report under section 603 of 
the Act.

Section 211. Planning performance awards

    This section adds a new Section 216 to PWEDA and 
establishes in law a Planning Performance Award. This award 
replaces the current district incentive that is provided 
pursuant to Section 403 of PWEDA. The purpose of this change is 
to emphasize the importance of not only participation in the 
planning process, but also that the resulting plan is designed 
to promote strong economic growth and contains a means of 
measuring such a plan.
    This award may be given prior to closeout of a grant 
project to an eligible recipient in an Economic Development 
District (EDD). To receive a planning performance award, a 
recipient of an award must meet four criteria. The recipient 
must have actively participated in the economic development 
activities of the EDD, the project must be consistent with the 
Comprehensive Economic Development Strategy (CEDS), the 
recipient must have worked with economic development entities 
throughout the project, and the project must have been 
completed in accordance with the CEDS.
    A Planning Performance Award may be up to five percent of 
the cost of the project, and may only be used to increase the 
federal share of the project up to 100 percent. Funding for the 
award comes from any amounts made available for economic 
development assistance programs.

Section 212. Subgrants

    This Section amends PWEDA (42 U.S.C. Sec. 3141) to clarify 
that recipients of assistance have the flexibility to spend the 
funds directly, or if it would be more efficient, to re-
distribute grant funds to a subgrantee otherwise eligible under 
the Act to fund required components of the scope of work 
approved for the project. This amendment, which affects 
assistance under Sections 201, 203, and 207, is patterned after 
similar authority in connection with the economic adjustment 
program under section 209 of the Act.

Section 213. Brownfields redevelopment

    This Section allows the use of EDA grant funds for the 
redevelopment of Brownfields, as current law defines that term. 
The language in this Section is consistent with EDA's current 
practice of funding Brownfield redevelopment. Additionally, 
this section does not authorize new funding or require a 
minimum level of funding for the program.

Section 214. Brightfields demonstration program

    This Section creates a limited demonstration program for 
Brightfields development. A Brightfield is defined as a 
Brownfield redevelopment project that utilizes photovoltaic 
technologies. This section authorizes $5 million a year for 
five years to fund demonstration projects separate and apart 
from the general authorization in title VII.
    It is the Committee's expectation that at least one of the 
projects funded under this section will be the Union Ship Canal 
in the City of Buffalo, New York.

        TITLE III--COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

Section 301. Comprehensive economic development strategies

    This Section clarifies that the Comprehensive Economic 
Development Strategy (CEDS) developed by this Section should be 
consistent, to the extent practicable, with applicable State or 
local workforce strategies.
    This Section also requires that another plan approved by 
the Secretary functioning as a CEDS, be, to the maximum extent 
practicable, consistent, and coordinated with an existing plan 
for the area.

                TITLE IV--ECONOMIC DEVELOPMENT DISTRICTS

Section 401. Provision of comprehensive economic development strategies 
        to regional commissions

    This Section clarifies that in any instance that an 
Economic Development District (EDD) is in a Regional 
Commission, that such EDD deliver a copy of their CEDS to the 
Regional Commission.

                        TITLE V--ADMINISTRATION

Section 501. Economic development information clearinghouse

    This Section makes minor clarifications to section 502 of 
PWEDA (42 U.S.C. Sec. 3192) regarding the operation of the 
economic development information clearinghouse. These changes 
clarify that the clearinghouse will be maintained on the 
Internet and delete references to links to local laws and 
information as beyond what is realistically achievable by EDA.

Section 502. Businesses desiring federal contracts

    This Section strikes section 505 of PWEDA (42 U.S.C. 
Sec. 3195), which authorizes the Secretary to provide Federal 
procurement officials with the names of businesses in 
economically distressed areas. EDA has never received 
appropriations to implement this section.

Section 503. Performance evaluations of grant recipients

    This Section deletes a portion of Section 506 of PWEDA that 
makes reference to the effective date of the previous 
reauthorization in 1998.
    Section 506 of PWEDA (as redesignated by the Act) also 
addresses the criteria to be used when evaluating the 
performance of grant recipients. This includes an evaluation of 
University Centers. The Committee believes that University 
Centers have effectively provided a wide range of technical 
assistance not only to nonprofit entities, local governments, 
and communities; but also to other economic development 
organizations. One of the features of this program is that 
University Centers design programs to fit the needs of the 
service areas. In the current economic climate, where many 
states have been forced to redefine their economic structures 
and communities have suffered economic downturns with 
substantial job losses, increased support by University Centers 
offers the potential to greatly assist in economic development.
    The Committee therefore urges the EDA to increase the 
number of University Centers from the present number of 68 to a 
number that will allow the maximum number of communities to 
benefit from their efforts. The Committee believes that EDA 
should also strive to increase the funding available for each 
center. Funding for additional university centers comes from 
amounts made available for economic development under this Act.

Section 505. Conforming amendments

    Section 505 corrects two citations in section 602 of PWEDA 
to reflect changes made by Public Law No. 107-217.

                        TITLE VI--MISCELLANEOUS

Section 601. Relationship to assistance under other law

    Section 601 strikes subsection (a) of section 609 regarding 
assistance previously authorized under the Act prior to the 
1998 amendments. This provision is no longer needed.

                           TITLE VII--FUNDING

Section 701. Authorization of appropriations

    Section 701 amends section 701 of PWEDA (42 U.S.C. 
Sec. 3231) to authorize appropriations at levels that will 
allow the agency to fully perform its mission and carry out 
programs authorized under this Act. The agency is authorized 
$400 million for fiscal year 2004; $425 million for FY 2005; 
$450 million for FY 2006; $475 million for FY 2007; and $500 
million for FY 2008. Additionally, the agency is authorized 
$33,377,000 for fiscal year 2004 for salaries and expenses, and 
such sums as may be necessary thereafter.

            Legislative History and Committee Consideration

    The Subcommittee on Economic Development, Public Buildings 
and Emergency Management held a series of hearings in 
connection with the introduction and consideration of H.R. 
2535. These hearings focused on the many different aspects of 
the Economic Development Administration and its programs. On 
April 2, the Subcommittee held a hearing to examine local 
economic development issues; on April 9, the Subcommittee 
considered regional economic development issues; and on June 4, 
the Subcommittee considered the Administration's proposal for 
reauthorization of EDA.
    On June 19, 2003, Mr. LaTourette, Ms. Norton, Mr. Young of 
Alaska, and Mr. Oberstar introduced H.R. 2535, a bill to 
reauthorize and improve the program authorized by the Public 
Works and Economic Development Act of 1965. On June 18, 2003, 
the Subcommittee met in open session and considered H.R. 2535. 
A motion by Ms. Norton to order H.R. 2535 favorably reported to 
the Full Committee was agreed to unanimously, by voice vote 
with a quorum present. There were no recorded votes taken 
during Subcommittee consideration of H.R. 2535.
    On June 25, 2003, the Full Committee met in open session 
and considered H.R. 2535. An amendment offered by Mr. 
LaTourette and Ms. Norton, making several changes to the 
legislation as introduced, was adopted by voice vote, with a 
quorum present. A motion by Mr. LaTourette to order H.R. 2535, 
as amended, favorably reported to the House was agreed to 
unanimously, by voice vote with a quorum present. There were no 
recorded votes taken during consideration of H.R. 2535, as 
amended.

                             Rollcall Votes

    Clause 3(b) of rule XIII of the House of Representatives 
requires each committee report to include the total number of 
votes cast for and against on each rollcall vote on a motion to 
report and on any amendment offered to the measure or matter, 
and the names of those members voting for and against. There 
were no rollcall votes taken during consideration of H.R. 2535.

                      Committee Oversight Findings

    With respect to the requirements of clause 3(c)(1) of rule 
XIII of the Rules of the House of Representatives, the 
Committee's oversight findings and recommendations are 
reflected in this report.

                          Cost of Legislation

    Clause 3(c)(2) of rule XIII of the Rules of the House of 
Representatives does not apply where a cost estimate and 
comparison prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act of 
1974 has been timely submitted prior to the filing of the 
report and is included in the report. Such a cost estimate is 
included in this report.

                    Compliance With House Rule XIII

    1. With respect to the requirement of clause 3(c)(2) of 
rule XIII of the Rules of the House of Representatives, and 
308(a) of the Congressional Budget Act of 1974, the Committee 
references the report of the Congressional Budget Office 
included below.
    2. With respect to the requirement of clause 3(c)(4) of 
rule XIII of the Rules of the House of Representatives, the 
performance goals and objective of this legislation are to 
reauthorize and improve the program authorized by the Public 
Works and Economic Development Act of 1965 by promoting 
administrative flexibility, creating a performance based 
incentive program, promoting, requiring the adoption of 
performance goals, and increasing coordination among 
participating organizations.
    3. With respect to the requirement of clause 3(c)(3) of 
rule XIII of the Rules of the House of Representatives and 
section 402 of the Congressional Budget Act of 1974, the 
Committee has received the following cost estimate for H.R. 
2535 from the Director of the Congressional Budget Office.

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, July 15, 2003.
Hon. Don Young,
Chairman, Committee on Transportation and Infrastructure,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 2535, the Economic 
Development Administration Reauthorization Act of 2003.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Susanne S. 
Mehlman.
            Sincerely,
                                       Douglas Holtz-Eakin,
                                                          Director.
    Enclosure.

H.R. 2535--Economic Development Administration Reauthorization Act of 
        2003

    Summary: H.R. 2535 would reauthorize the Economic 
Development Administration (EDA) for an additional five years 
and provide funding for existing grant programs and new grant 
programs established under the bill. CBO estimates that 
implementing this legislation would cost about $1.3 billion 
over the 2004-2008 period and an additional $1.2 billion after 
2008, assuming appropriation of the necessary amounts. Enacting 
H.R. 2535 would not affect direct spending or revenues.
    Over the 2004-2008 period, about $1.1 billion would be used 
by EDA to provide various types of grants that support 
activities associated with economic development and assistance 
for distressed communities, including a new incentive grant 
program that would reward grant recipients who have met certain 
performance measures. About $200 million over the next five 
years would be used by EDA to fund its salaries and expenses 
($175 million) and to establish a demonstration program ($25 
million) for the redevelopment of brownfield sites using solar 
energy technologies (such sites are known as brightfield 
sites).
    H.R. 2535 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA). 
The grants and incentive awards authorized in the bill would 
provide financial benefits to state, local, and tribal 
governments that participate in the economic development and 
planning programs. And additional costs or requirements would 
be conditions of aid.
    Estimated Cost to the Federal Government: CBO estimates 
that implementing the bill would cost $1.29 billion over the 
2004-2008 period, assuming appropriation of the necessary 
amounts each year. Those estimated outlays are based on 
historical patterns for similar activities. The estimated 
budgetary impact of H.R. 2535 is shown in the following table. 
The costs of this legislation fall within budget function 450 
(community and regional development).

----------------------------------------------------------------------------------------------------------------
                                                                    By Fiscal Year (millions of dollars)
                                                           -----------------------------------------------------
                                                              2003     2004     2005     2006     2007     2008
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

Spending under current law:
    Budget authority \1\..................................      319        0        0        0        0        0
    Estimated outlays.....................................      391      349      270      181       58        9
Proposed changes:
    Economic development assistance programs:
        Authorization level...............................        0      400      425      450      475      500
        Estimated outlays.................................        0       20      109      204      328      428
    Economic development administration S&E:
        Estimated authorization level \2\.................        0       33       34       35       36       37
        Estimated outlays.................................        0       30       34       35       36       37
    Brightfields demonstration program:
        Authorization level...............................        0        5        5        5        5        5
        Estimated outlays.................................        0        5        5        5        5        5
    Total proposed changes:
        Estimated authorization level.....................        0      438      464      490      516      542
        Estimated outlays.................................        0       55      148      244      369      469
    Spending under H.R. 2535:
        Estimated authorization level.....................      319      438      464      490      516      542
        Estimated outlays.................................      391      404      418      425      427      478
----------------------------------------------------------------------------------------------------------------
\1\ The 2003 level is the amount appropriated for EDA assistance programs and EDA's salaries and expenses.
\2\ The 2004 amount for administration costs is specified by the bill, amounts over the 2005-2008 period were
  estimated by adjusting the 2004 level for anticipated inflation.

    Intergovernmental and Private-Sector Impact: H.R. 2535 
contains no intergovernmental or private-sector mandates as 
defined in UMRA. State, local, and tribal governments would 
benefit from additional grant programs for economic 
development, performance and planning awards, and the changes 
to the requirements for state and local matches of federal 
grants. Such changes would provide additional resources for 
economic development projects. Any costs associated with 
participating in these grant programs would be conditions of 
aid and therefore voluntary.
    Estimate Prepared by: Federal costs: Susanne S. Mehlman; 
impact on state, local, and tribal governments: Melissa 
Merrell; and impact on the private sector: Cecil McPherson.
    Estimate Approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

                   Constitutional Authority Statement

    Pursuant to clause (3)(d)(1) of rule XIII of the Rules of 
the House of Representatives, committee reports on a bill or 
joint resolution of a public character shall include a 
statement citing the specific powers granted to the Congress in 
the Constitution to enact the measure. The Committee on 
Transportation and Infrastructure finds that Congress has the 
authority to enact this measure pursuant to its powers granted 
under article I, section 8 of the Constitution.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act. (Public Law 104-4).

                        Preemption Clarification

    Section 423 of the Congressional Budget Act of 1994 
requires the report of any Committee on a bill or joint 
resolution to include a statement on the extent to which the 
bill or joint resolution is intended to preempt state, local, 
or tribal law. The Committee states that H.R. 2535 does not 
preempt any state, local, or tribal law.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act are created by this 
legislation.

                Applicability to the Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act (Public Law 
104-1).

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

           PUBLIC WORKS AND ECONOMIC DEVELOPMENT ACT OF 1965

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

  (a) * * *
  (b) Table of Contents.--The table of contents of this Act is 
as follows:

Sec. 1. Short title; table of contents.
     * * * * * * *

       TITLE II--GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT

Sec. 201. Grants for public works and economic development.
     * * * * * * *
[Sec. 208. Prevention of unfair competition.]
     * * * * * * *
Sec. 214. Special impact areas.
Sec. 215. Performance awards.
Sec. 216. Planning performance awards.
Sec. 217. Subgrants.
Sec. 218. Brownfields redevelopment.
Sec. 219. Brightfields demonstration program.
     * * * * * * *

                TITLE IV--ECONOMIC DEVELOPMENT DISTRICTS

Sec. 401. Designation of economic development districts.
     * * * * * * *
[Sec. 403. Incentives.
[Sec. 404. Provision of comprehensive economic development strategies to 
          Appalachian Regional Commission.]
Sec. 404. Provision of comprehensive economic development strategies to 
          Regional Commissions.
     * * * * * * *

                         TITLE V--ADMINISTRATION

Sec. 501. Assistant Secretary for Economic Development.
     * * * * * * *
[Sec. 505. Businesses desiring Federal contracts.]

           *       *       *       *       *       *       *

[SEC. 2. FINDINGS AND DECLARATIONS.

  [(a) Findings.--Congress finds that--
          [(1) while the economy of the United States is 
        undergoing a sustained period of economic growth 
        resulting in low unemployment and increasing incomes, 
        there continue to be areas suffering economic distress 
        in the form of high unemployment, low incomes, 
        underemployment, and outmigration as well as areas 
        facing sudden economic dislocations due to industrial 
        restructuring and relocation, defense base closures and 
        procurement cutbacks, certain Federal actions 
        (including environmental requirements that result in 
        the removal of economic activities from a locality), 
        and natural disasters;
          [(2) as the economy of the United States continues to 
        grow, those distressed areas contain significant human 
        and infrastructure resources that are underused;
          [(3) expanding international trade and the increasing 
        pace of technological innovation offer both a challenge 
        and an opportunity to the distressed communities of the 
        United States;
          [(4) while economic development is an inherently 
        local process, the Federal Government should work in 
        partnership with public and private local, regional, 
        and State organizations to ensure that existing 
        resources are not wasted and all Americans have an 
        opportunity to participate in the economic growth of 
        the United States;
          [(5) in order to avoid wasteful duplication of effort 
        and to limit the burden on distressed communities, 
        Federal, State, and local economic development 
        activities should be better planned and coordinated and 
        Federal program requirements should be simplified and 
        made more consistent;
          [(6) the goal of Federal economic development 
        activities should be to work in partnership with local, 
        regional, and State public and private organizations to 
        support the development of private sector businesses 
        and jobs in distressed communities;
          [(7) Federal economic development efforts will be 
        more effective if they are coordinated with, and build 
        upon, the trade and technology programs of the United 
        States; and
          [(8) under this Act, new employment opportunities 
        should be created by developing and expanding new and 
        existing public works and other facilities and 
        resources rather than by merely transferring jobs from 
        one area of the United States to another.
  [(b) Declarations.--Congress declares that, in order to 
promote a strong and growing economy throughout the United 
States--
          [(1) assistance under this Act should be made 
        available to both rural and urban distressed 
        communities;
          [(2) local communities should work in partnership 
        with neighboring communities, the States, and the 
        Federal Government to increase their capacity to 
        develop and implement comprehensive economic 
        development strategies to address existing, or deter 
        impending, economic distress; and
          [(3) whether suffering from long-term distress or a 
        sudden dislocation, distressed communities should be 
        encouraged to take advantage of the development 
        opportunities afforded by technological innovation and 
        expanding and newly opened global markets.]

SEC. 2. FINDINGS AND DECLARATIONS.

  (a) Findings.--Congress finds the following:
          (1) There continue to be areas experiencing chronic 
        high unemployment, underemployment, outmigration, and 
        low per capita incomes, as well as areas facing sudden 
        and severe economic dislocations due to structural 
        economic changes, changing trade patterns, certain 
        Federal actions (including environmental requirements 
        that result in the removal of economic activities from 
        a locality), and natural disasters.
          (2) Economic growth in our Nation, States, cities, 
        and rural areas is produced by expanding economic 
        opportunities, expanding free enterprise through trade, 
        developing and strengthening public infrastructure, and 
        creating a climate for job creation and business 
        development.
          (3) The goal of Federal economic development programs 
        is to raise the standard of living for all citizens and 
        increase the wealth and overall rate of growth of the 
        economy by encouraging communities to develop a more 
        competitive and diversified economic base by--
                  (A) creating an environment that promotes 
                economic activity by improving and expanding 
                public infrastructure;
                  (B) promoting job creation through increased 
                innovation, productivity, and entrepreneurship; 
                and
                  (C) empowering local and regional communities 
                experiencing chronic high unemployment and low 
                per capita income to develop private sector 
                business and attract increased private sector 
                capital investment.
          (4) While economic development is an inherently local 
        process, the Federal Government should work in 
        partnership with public and private local, regional, 
        tribal, and State organizations to maximize the impact 
        of existing resources and enable regions, communities, 
        and citizens to participate more fully in the American 
        dream and national prosperity.
          (5) In order to avoid duplication of effort and 
        achieve meaningful, long-lasting results, Federal, 
        State, tribal, and local economic development 
        activities should have a clear focus, improved 
        coordination, a comprehensive approach, and simplified 
        and consistent requirements.
          (6) Federal economic development efforts will be more 
        effective if they are coordinated with, and build upon, 
        the trade, workforce investment, transportation, and 
        technology programs of the United States.
  (b) Declarations.--In order to promote a strong and growing 
economy throughout the United States, Congress declares the 
following:
          (1) Assistance under this Act should be made 
        available to both rural- and urban-distressed 
        communities.
          (2) Local communities should work in partnership with 
        neighboring communities, the States, Indian tribes, and 
        the Federal Government to increase their capacity to 
        develop and implement comprehensive economic 
        development strategies to alleviate economic distress 
        and enhance competitiveness in the global economy.
          (3) Whether suffering from long-term distress or a 
        sudden dislocation, distressed communities should be 
        encouraged to support entrepreneurship to take 
        advantage of the development opportunities afforded by 
        technological innovation and expanding newly opened 
        global markets.

SEC. 3. DEFINITIONS.

  In this Act:
          (1) * * *

           *       *       *       *       *       *       *

          (4) Eligible recipient.--
                  (A) In general.--The term ``eligible 
                recipient'' means--
                          [(i) an area described in section 
                        301(a);]
                          [(ii)] (i) an economic development 
                        district;
                          [(iii)] (ii) an Indian tribe;
                          [(iv)] (iii) a State;
                          [(v)] (iv) a city or other political 
                        subdivision of a State, including a 
                        special purpose unit of a State or 
                        local government engaged in economic or 
                        infrastructure development activities, 
                        or a consortium of political 
                        subdivisions;
                          [(vi)] (v) an institution of higher 
                        education or a consortium of 
                        institutions of higher education; or
                          [(vii)] (vi) a public or private 
                        nonprofit organization or association 
                        acting in cooperation with officials of 
                        a political subdivision of a State.

           *       *       *       *       *       *       *

          (8) Regional commissions.--The term ``Regional 
        Commissions'' means the following entities:
                  (A) The Appalachian Regional Commission 
                established under chapter 143 of title 40, 
                United States Code.
                  (B) The Delta Regional Authority established 
                under subtitle F of the Consolidated Farm and 
                Rural Development Act (7 U.S.C. 2009aa et 
                seq.).
                  (C) The Denali Commission established under 
                the Denali Commission Act of 1998 (42 U.S.C. 
                2131 note; 112 Stat. 2681-637 et seq.).
                  (D) The Northern Great Plains Regional 
                Authority established under subtitle F of the 
                Consolidated Farm and Rural Development Act (7 
                U.S.C. 2009bb et seq.).
          [(8)] (9) Secretary.--The term ``Secretary'' means 
        the Secretary of Commerce.
          [(9)] (10) State.--The term ``State'' means a State, 
        the District of Columbia, the Commonwealth of Puerto 
        Rico, the Virgin Islands, Guam, American Samoa, the 
        Commonwealth of the Northern Mariana Islands, the 
        Republic of the Marshall Islands, the Federated States 
        of Micronesia, and the Republic of Palau.
          [(10)] (11) United states.--The term ``United 
        States'' means all of the States.
          (12) University center.--The term ``university 
        center'' means an institution of higher education or a 
        consortium of institutions of higher education 
        established as a University Center for Economic 
        Development under section 207(a)(2)(D).

TITLE I--ECONOMIC DEVELOPMENT PARTNERSHIPS COOPERATION AND COORDINATION

SEC. 101. ESTABLISHMENT OF ECONOMIC DEVELOPMENT PARTNERSHIPS.

  (a) * * *
  (b) Technical Assistance.--The Secretary may provide such 
technical assistance to States, political subdivisions of 
States, sub-State regional organizations (including 
organizations that cross State boundaries), [and multi-State 
regional organizations] multi-State regional organizations, and 
nonprofit organizations as the Secretary determines is 
appropriate to--
          (1) * * *

           *       *       *       *       *       *       *

  (d) Cooperation Agreements.--
          (1) In general.--The Secretary may enter into a 
        cooperation agreement with any 2 or more [adjoining] 
        States, or an organization of any 2 or more [adjoining] 
        States, in support of effective economic development.

           *       *       *       *       *       *       *

SEC. 103. COORDINATION.

  (a) In General.--The Secretary shall coordinate activities 
relating to the preparation and implementation of comprehensive 
economic development strategies under this Act with Federal 
agencies carrying out other Federal programs, States, economic 
development districts, Indian tribes, and other appropriate 
planning and development organizations.
  (b) Meetings.--To carry out the responsibilities in 
subsection (a), or for any other purpose related to economic 
development activities, the Secretary may convene meetings with 
Federal agencies, State and local governments, economic 
development districts, Indian tribes, and other appropriate 
planning and development organizations.

TITLE II--GRANTS FOR PUBLIC WORKS AND ECONOMIC DEVELOPMENT

           *       *       *       *       *       *       *

SEC. 203. GRANTS FOR PLANNING AND GRANTS FOR ADMINISTRATIVE EXPENSES.

  (a) * * *

           *       *       *       *       *       *       *

  (d) State Plans.--
          (1) Development.--Any State plan developed with 
        assistance under this section shall be developed, to 
        the maximum extent practicable, cooperatively by the 
        State, political subdivisions of the State, and the 
        economic development districts located wholly or 
        partially in the State.

           *       *       *       *       *       *       *

          [(3) Certification to the secretary.--On completion 
        of a State plan developed with assistance under this 
        section, the State shall--
                  [(A) certify to the Secretary that, in the 
                development of the State plan, local and 
                economic development district plans were 
                considered and, to the maximum extent 
                practicable, the State plan is consistent with 
                the local and economic development district 
                plans; and
                  [(B) identify any inconsistencies between the 
                State plan and the local and economic 
                development district plans and provide a 
                justification for each inconsistency.]
          (3) Coordination.--Before providing assistance for a 
        State plan under this section, the Secretary shall 
        consider the extent to which the State will consider 
        local and economic development district plans.
          (4) Comprehensive planning process.--Any overall 
        State economic development planning assisted under this 
        section shall be a part of a comprehensive planning 
        process that shall consider the provision of public 
        works to--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) enhance and protect the environment; 
                [and]
                  (D) assist in carrying out a State's 
                workforce investment strategy; and
                  [(D)] (E) balance resources through the sound 
                management of physical development.

           *       *       *       *       *       *       *

SEC. 204. COST SHARING.

  [(a) Federal Share.--Subject to section 205, the amount of a 
grant for a project under this title shall not exceed 50 
percent of the cost of the project.]
  (a) Federal Share.--The Secretary shall issue regulations to 
establish the Federal share of the cost of projects carried out 
under this title based on the relative needs of the areas in 
which the projects will be located. Except as provided in 
subsection (c), the Federal share of the cost of any project 
carried out under this title shall not exceed 80 percent.
  (b) Non-Federal Share.--In determining the amount of the non-
Federal share of the cost of a project, the Secretary may 
provide credit toward the non-Federal share for all 
contributions both in cash and in-kind, fairly evaluated, 
including contributions of space, equipment, assumptions of 
debt, and services.
  (c) Increase in Federal Share.--
          (1) Indian tribes.--In the case of a grant to an 
        Indian tribe for a project under this title, the 
        Secretary may increase the Federal share above the 
        percentage specified in subsection (a) up to 100 
        percent of the cost of the project.
          (2) Certain states, political subdivisions, and 
        nonprofit organizations.--In the case of a grant to a 
        State, or a political subdivision of a State, that the 
        Secretary determines has exhausted its effective taxing 
        and borrowing capacity, or in the case of a grant to a 
        nonprofit organization that the Secretary determines 
        has exhausted its effective borrowing capacity, the 
        Secretary may increase the Federal share above the 
        percentage specified in subsection (a) up to 100 
        percent of the cost of the project.
  (d) Planning Grants.--Notwithstanding subsection (a), the 
Federal share of the costs of planning activities under section 
203 shall be at least 65 percent and not more than 80 percent.

SEC. 205. SUPPLEMENTARY GRANTS.

  (a) * * *
  [(b) Supplementary Grants.--
          [(1) In general.--On the application of an eligible 
        recipient, the Secretary may make a supplementary grant 
        for a project for which the eligible recipient is 
        eligible but, because of the eligible recipient's 
        economic situation, for which the eligible recipient 
        cannot provide the required non-Federal share.
          [(2) Purposes of grants.--Supplementary grants under 
        paragraph (1) may be made for purposes that shall 
        include enabling eligible recipients to use--
                  [(A) designated Federal grant programs; and
                  [(B) direct grants authorized under this 
                title.]
  (b) Supplementary Grants.--Subject to subsection (c), in 
order to assist eligible recipients in taking advantage of 
designated Federal grant programs, on the application of an 
eligible recipient, the Secretary may make a supplementary 
grant for a project for which the recipient is eligible but for 
which the recipient cannot provide the required non-Federal 
share because of the recipient's economic situation.
  (c) Requirements Applicable to Supplementary Grants.--
          [(1) Amount of supplementary grants.--Subject to 
        paragraph (4), the amount of a supplementary grant 
        under this title for a project shall not exceed the 
        applicable percentage of the cost of the project 
        established by regulations promulgated by the 
        Secretary, except that the non-Federal share of the 
        cost of a project (including assumptions of debt) shall 
        not be less than 20 percent.
          [(2) Form of supplementary grants.--In accordance 
        with such regulations as the Secretary may promulgate, 
        the Secretary shall make supplementary grants by 
        increasing the amounts of grants authorized under this 
        title or by the payment of funds made available under 
        this Act to the heads of the Federal agencies 
        responsible for carrying out the applicable Federal 
        programs.]
          (1) Amount of supplementary grants.--The share of the 
        project cost supported by a supplementary grant under 
        this section may not exceed the applicable Federal 
        share under section 204.
          (2) Form of supplementary grants.--The Secretary 
        shall make supplementary grants by--
                  (A) the payment of funds made available under 
                this Act to the heads of the Federal agencies 
                responsible for carrying out the applicable 
                Federal programs; or
                  (B) the award of funds under this Act, which 
                will be combined with funds transferred from 
                other Federal agencies in projects administered 
                by the Secretary.

           *       *       *       *       *       *       *

          [(4) Lower non-federal share.--
                  [(A) Indian tribes.--In the case of a grant 
                to an Indian tribe, the Secretary may reduce 
                the non-Federal share below the percentage 
                specified in paragraph (1) or may waive the 
                non-Federal share.
                  [(B) Certain states, political subdivisions, 
                and nonprofit organizations.--In the case of a 
                grant to a State, or a political subdivision of 
                a State, that the Secretary determines has 
                exhausted its effective taxing and borrowing 
                capacity, or in the case of a grant to a 
                nonprofit organization that the Secretary 
                determines has exhausted its effective 
                borrowing capacity, the Secretary may reduce 
                the non-Federal share below the percentage 
                specified in paragraph (1).]

SEC. 206. REGULATIONS ON RELATIVE NEEDS AND ALLOCATIONS.

  In promulgating rules, regulations, and procedures for 
assistance under this title, the Secretary shall ensure that--
          (1) the relative needs of eligible areas are given 
        adequate consideration by the Secretary, as determined 
        based on, among other relevant factors--
                  (A) * * *
                  (B) the income levels and the extent of 
                underemployment in eligible areas; [and]

           *       *       *       *       *       *       *

          (2) allocations of assistance under this title are 
        prioritized to ensure that the level of economic 
        distress of an area, rather than a preference for a 
        geographic area or a specific type of economic 
        distress, is the primary factor in allocating the 
        assistance[.]; and
          (3) grants made under this title promote job creation 
        and will have a high probability of meeting or 
        exceeding applicable performance requirements 
        established in connection with the grants.

SEC. 207. GRANTS FOR TRAINING, RESEARCH, AND TECHNICAL ASSISTANCE.

  (a) In General.--
          (1) * * *
          (2) Types of assistance.--Grants under paragraph (1) 
        may be used for--
                  (A) * * *

           *       *       *       *       *       *       *

                  (F) studies evaluating the needs of, and 
                development potential for, economic growth of 
                areas that the Secretary determines have 
                substantial need for the assistance; [and]
                  (G) studies that evaluate the effectiveness 
                of coordinating projects funded under this Act 
                with projects funded under other Acts; and
                  [(G)] (H) other activities determined by the 
                Secretary to be appropriate.

           *       *       *       *       *       *       *

          (4) Cooperation requirement.--In the case of a 
        project assisted under this section that is national or 
        regional in scope, the Secretary may waive the 
        provision in section 3(4)(A)(vi) requiring a nonprofit 
        organization or association to act in cooperation with 
        officials of a political subdivision of a State.

           *       *       *       *       *       *       *

[SEC. 208. PREVENTION OF UNFAIR COMPETITION.

  [No financial assistance under this Act shall be extended to 
any project when the result would be to increase the production 
of goods, materials, or commodities, or the availability of 
services or facilities, when there is not sufficient demand for 
such goods, materials, commodities, services, or facilities, to 
employ the efficient capacity of existing competitive 
commercial or industrial enterprises.]

SEC. 209. GRANTS FOR ECONOMIC ADJUSTMENT.

  (a) * * *

           *       *       *       *       *       *       *

  (d) Direct Expenditure or Redistribution by Recipient.--
          (1) In general.--Subject to paragraph (2), [an 
        eligible recipient] a recipient of a grant under this 
        section may directly expend the grant funds or may 
        redistribute the funds to public and private entities 
        in the form of a grant, loan, loan guarantee, payment 
        to reduce interest on a loan guarantee, or other 
        appropriate assistance.
          (2) Limitation.--Under paragraph (1), [an eligible 
        recipient] a recipient may not provide any grant to a 
        private for-profit entity.
  (e) Special Provisions Relating to Revolving Loan Fund 
Grants.--
          (1) In general.--The Secretary shall issue 
        regulations to maintain the proper operation and 
        financial integrity of revolving loan funds established 
        by recipients with assistance under this section.
          (2) Efficient administration.--The Secretary may--
                  (A) at the request of a grantee, amend and 
                consolidate grant agreements governing 
                revolving loan funds to provide flexibility 
                with respect to lending areas and borrower 
                criteria;
                  (B) assign or transfer assets of a revolving 
                loan fund to a third party for the purpose of 
                liquidation, and a third party may retain 
                assets of the fund to defray costs related to 
                liquidation; and
                  (C) take such actions as are appropriate to 
                enable revolving loan fund operators to sell or 
                securitize loans (except that the actions may 
                not include issuance of a Federal guaranty by 
                the Secretary).
          (3) Treatment of actions.--An action taken by the 
        Secretary under this subsection with respect to a 
        revolving loan fund shall not constitute a new 
        obligation if all grant funds associated with the 
        original grant award have been disbursed to the 
        recipient.

           *       *       *       *       *       *       *

[SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PROJECTED COST.

  [In any case in which a grant (including a supplementary 
grant described in section 205) has been made by the Secretary 
under this title (or made under this Act, as in effect on the 
day before the effective date of the Economic Development 
Administration Reform Act of 1998) for a construction project, 
and, after the grant has been made but before completion of the 
project, the cost of the project based on the designs and 
specifications that was the basis of the grant has decreased 
because of decreases in costs--
          [(1) the Secretary may approve, subject to the 
        availability of appropriations, the use of the excess 
        funds or a portion of the funds to improve the project; 
        and
          [(2) any amount of excess funds remaining after 
        application of paragraph (1) shall be deposited in the 
        general fund of the Treasury.]

SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PROJECTED COST.

  (a) In General.--In the case of a grant to a recipient for a 
construction project under section 201 or 209, if the Secretary 
determines, before closeout of the project, that the cost of 
the project, based on the designs and specifications that were 
the basis of the grant, has decreased because of decreases in 
costs, the Secretary may approve, without further 
appropriations action, the use of the excess funds (or a 
portion of the excess funds) by the recipient to increase the 
Federal share of the cost of a project under this title to the 
maximum percentage allowable under section 204 or to improve 
the project.
  (b) Other Uses of Excess Funds.--Any amount of excess funds 
remaining after application of subsection (a) may be used by 
the Secretary for providing assistance under this Act.
  (c) Transferred Funds.--In the case of excess funds described 
in subsection (a) in projects utilizing funds transferred from 
other Federal agencies pursuant to section 604, the Secretary 
shall--
          (1) utilize the funds in accordance with subsection 
        (a), with the approval of the originating agency; or
          (2) return the funds to the originating agency.

           *       *       *       *       *       *       *

SEC. 214. SPECIAL IMPACT AREAS.

  (a) In General.--On the application of an eligible recipient, 
the Secretary may determine that the recipient is unable to 
comply with the requirements of section 302 and designate the 
area represented by the recipient as a special impact area.
  (b) Waivers.--Subject to the requirements of this section, 
the Secretary may waive, in whole or in part, as appropriate, 
the requirements of section 302 with respect to a special 
impact area designated under subsection (a) if the Secretary 
determines that the waiver will carry out the purposes of the 
Act.
  (c) Notification Requirement.--At least 30 days before 
issuing a waiver under this section, the Secretary shall 
transmit to the Committee on Transportation and Infrastructure 
of the House of Representatives and the Committee on 
Environment and Public Works of the Senate a written notice of 
the waiver, including a justification for the waiver.

SEC. 215. PERFORMANCE AWARDS.

  (a) In General.--The Secretary may make a performance award 
in connection with a grant made, on or after the date of 
enactment of this section, to an eligible recipient for a 
project under section 201 or 209.
  (b) Performance Measures.--
          (1) Regulations.--The Secretary shall issue 
        regulations to establish performance measures for 
        making performance awards under subsection (a).
          (2) Considerations.--In issuing regulations under 
        paragraph (1), the Secretary shall consider including 
        performance measures that assess the following factors:
                  (A) Whether the recipient meets or exceeds 
                scheduling goals.
                  (B) Whether the recipient meets or exceeds 
                job creation goals.
                  (C) Amounts of private sector capital 
                investments leveraged.
                  (D) Such other factors as the Secretary 
                determines appropriate.
  (c) Amount of Awards.--
          (1) In general.--The Secretary shall base the amount 
        of a performance award made under subsection (a) in 
        connection with a grant on the extent to which a 
        recipient meets or exceeds performance measures 
        established in connection with the grant.
          (2) Maximum amount.--The amount of a performance 
        award may not exceed 10 percent of the amount of the 
        grant.
  (d) Use of Awards.--A recipient of a performance award under 
subsection (a) may use the award for any eligible purpose under 
this Act, in accordance with section 602 and such regulations 
as the Secretary may prescribe.
  (e) Federal Share.--Notwithstanding section 204, the amounts 
of a performance award may be used for up to 100 percent of the 
cost of an eligible project or activity.
  (f) Treatment in Meeting Non-Federal Share Requirements.--For 
the purposes of meeting the non-Federal share requirements of 
this Act, or any other Act, the amounts of a performance award 
shall be treated as funds from a non-Federal source.
  (g) Terms and Conditions.--In making performance awards under 
subsection (a), the Secretary shall establish such terms and 
conditions as the Secretary considers appropriate.
  (h) Funding.--The Secretary shall carry out this section 
using any amounts made available for economic development 
assistance programs.
  (i) Reporting Requirement.--The Secretary shall include 
information regarding performance awards made under this 
section in the annual report required under section 603.
  (j) Review by Comptroller General.--
          (1) Review.--The Comptroller General shall review the 
        implementation of this section in each fiscal year.
          (2) Annual report.--Not later than one year after the 
        date of enactment of this section, and annually 
        thereafter, the Comptroller General shall transmit to 
        the Committee on Transportation and Infrastructure of 
        the House of Representatives and the Committee on 
        Environment and Public Works of the Senate a report on 
        the Comptroller's findings under this subsection.

SEC. 216. PLANNING PERFORMANCE AWARDS.

  (a) In General.--The Secretary may make a planning 
performance award in connection with a grant made, on or after 
the date of enactment of this section, to an eligible recipient 
for a project under this title located in an economic 
development district.
  (b) Eligibility.--The Secretary may make a planning 
performance award to an eligible recipient under subsection (a) 
in connection with a grant for a project if the Secretary 
determines before closeout of the project that--
          (1) the recipient actively participated in the 
        economic development activities of the economic 
        development district in which the project is located;
          (2) the project is consistent with the comprehensive 
        economic development strategy of the district;
          (3) the recipient worked with Federal, State, and 
        local economic development entities throughout the 
        development of the project; and
          (4) the project was completed in accordance with the 
        comprehensive economic development strategy of the 
        district.
  (c) Maximum Amount.--The amount of a planning performance 
award made under subsection (a) in connection with a grant may 
not exceed 5 percent of the amount of the grant.
  (d) Use of Awards.--A recipient of a planning performance 
award under subsection (a) shall use the award to increase the 
Federal share of the cost of a project under this title.
  (e) Federal Share.--Notwithstanding section 204, the amounts 
of a planning performance award may be used for up to 100 
percent of the cost of a project under this title.
  (f) Funding.--The Secretary shall carry out this section 
using any amounts made available for economic development 
assistance programs.

SEC. 217. SUBGRANTS.

  (a) In General.--Subject to subsection (b), a recipient of a 
grant under section 201, 203, or 207 may directly expend the 
grant funds or may redistribute the funds in the form of a 
subgrant to other eligible recipients to fund required 
components of the scope of work approved for the project.
  (b) Limitation.--A recipient may not redistribute grant funds 
received under section 201 or 203 to a for-profit entity.

SEC. 218. BROWNFIELDS REDEVELOPMENT.

  (a) In General.--On the application of a qualified eligible 
recipient, the Secretary may make grants under sections 201, 
203, 207, and 209 for projects to expand, redevelop, or reuse 
brownfield sites.
  (b) Limitations.--Projects carried out under this section 
shall be subject to the limitations of section 104(k)(4)(B) of 
the Comprehensive Environmental Response, Compensation, and 
Liability Act of 1980 (42 U.S.C. 9604(k)(4)(B)).
  (c) Definitions.--In this section, the following definitions 
apply:
          (1) Brownfield site.--The term ``brownfield site'' 
        has the meaning given such term in section 101(39) of 
        the Comprehensive Environmental Response, Compensation, 
        and Liability Act of 1980 (42 U.S.C. 9601(39)).
          (2) Qualified eligible recipient.--The term 
        ``qualified eligible recipient'' means an eligible 
        recipient that meets the definition of ``eligible 
        entity'' in section 104(k)(1) of the Comprehensive 
        Environmental Response, Compensation, and Liability Act 
        of 1980 (42 U.S.C. 9604(k)(1)); except that for any 
        project undertaken under this section the term may 
        include a nonprofit organization acting in cooperation 
        with officials of a political subdivision of a State.

SEC. 219. BRIGHTFIELDS DEMONSTRATION PROGRAM.

  (a) In General.--On the application of a qualified eligible 
recipient, the Secretary may make a grant for a project for the 
development of brightfield sites if the Secretary determines 
that the project will--
          (1) utilize solar energy technologies to develop 
        abandoned or contaminated sites for commercial use; and
          (2) improve the commercial and economic opportunities 
        in the area where the project is located.
  (b) Limitations.--Projects carried out under this section 
shall be subject to the limitations of section 104(k)(4)(B) of 
the Comprehensive Environmental Response, Compensation, and 
Liability Act of 1980 (42 U.S.C. 9604(k)(4)(B)).
  (c) Definitions.--In this section, the following definitions 
apply:
          (1) Brightfield site.--The term ``brightfield site'' 
        means a brownfield site (as defined in section 217) 
        that is redeveloped through the incorporation of solar 
        energy technologies.
          (2) Qualified eligible recipient.--The term 
        ``qualified eligible recipient'' has the meaning given 
        such term in section 217; except that for any project 
        undertaken under this section the term may include a 
        nonprofit organization acting in cooperation with 
        officials of a political subdivision of a State.
  (d) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $5,000,000 for each 
of fiscal years 2004 through 2008. Such sums shall remain 
available until expended.

TITLE III--ELIGIBILITY; COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

           *       *       *       *       *       *       *

SEC. 302. COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES.

  (a) In General.--The Secretary may provide assistance under 
section 201 or 209 (except for planning assistance under 
section 209) to an eligible recipient for a project only if the 
eligible recipient submits to the Secretary, as part of an 
application for the assistance--
          (1) * * *
          (3)(A) a comprehensive economic development strategy 
        for addressing the economic problems identified under 
        paragraph (1) in a manner that promotes economic 
        development and opportunity, fosters effective 
        transportation access, maximizes effective development 
        and use of the workforce consistent with any applicable 
        State or local workforce investment strategy, enhances 
        and protects the environment, and balances resources 
        through sound management of development; and

           *       *       *       *       *       *       *

  (c) Approval of Other Plan.--The Secretary may accept as a 
comprehensive economic development strategy a satisfactory plan 
developed under another federally supported program. To the 
maximum extent practicable, a plan submitted under this 
paragraph shall be consistent and coordinated with any existing 
comprehensive economic development strategy for the area.

TITLE IV--ECONOMIC DEVELOPMENT DISTRICTS

           *       *       *       *       *       *       *

[SEC. 403. INCENTIVES.

  [(a) In General.--Subject to the non-Federal share 
requirement under section 205(c)(1), the Secretary may increase 
the amount of grant assistance for a project in an economic 
development district by an amount that does not exceed 10 
percent of the cost of the project, in accordance with such 
regulations as the Secretary shall promulgate, if--
          [(1) the project applicant is actively participating 
        in the economic development activities of the district; 
        and
          [(2) the project is consistent with the comprehensive 
        economic development strategy of the district.
  [(b) Review of Incentive System.--In promulgating regulations 
under subsection (a), the Secretary shall review the current 
incentive system to ensure that the system is administered in 
the most direct and effective manner to achieve active 
participation by project applicants in the economic development 
activities of economic development districts.

[SEC. 404. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES 
                    TO APPALACHIAN REGIONAL COMMISSION.

  [If any part of an economic development district is in the 
Appalachian region (as defined in section 403 of the 
Appalachian Regional Development Act of 1965 (40 U.S.C. App.)), 
the economic development district shall ensure that a copy of 
the comprehensive economic development strategy of the district 
is provided to the Appalachian Regional Commission established 
under that Act.]

SEC. 404. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES TO 
                    REGIONAL COMMISSIONS.

  If any part of an economic development district is in a 
region covered by one or more of the Regional Commissions (as 
defined in section 3), the economic development district shall 
ensure that a copy of the comprehensive economic development 
strategy of the district is provided to the affected Regional 
Commission.

           *       *       *       *       *       *       *

TITLE V--ADMINISTRATION

           *       *       *       *       *       *       *

SEC. 502. ECONOMIC DEVELOPMENT INFORMATION CLEARINGHOUSE.

  In carrying out this Act, the Secretary shall--
          [(1) maintain a central information clearinghouse on 
        matters relating to economic development, economic 
        adjustment, disaster recovery, defense conversion, and 
        trade adjustment programs and activities of the Federal 
        and State governments, including political subdivisions 
        of States;
          [(2) assist potential and actual applicants for 
        economic development, economic adjustment, disaster 
        recovery, defense conversion, and trade adjustment 
        assistance under Federal, State, and local laws in 
        locating and applying for the assistance; and]
          (1) maintain a central information clearinghouse on 
        the Internet with--
                  (A) information on economic development, 
                economic adjustment, disaster recovery, defense 
                conversion, and trade adjustment programs and 
                activities of the Federal Government;
                  (B) links to State economic development 
                organizations; and
                  (C) links to other appropriate economic 
                development resources;
          (2) assist potential and actual applicants for 
        economic development, economic adjustment, disaster 
        recovery, defense conversion, and trade adjustment 
        assistance under Federal and State laws in locating and 
        applying for the assistance;
          (3) assist areas described in section 301(a) and 
        other areas by providing to interested persons, 
        communities, industries, and businesses in the areas 
        any technical information, market research, or other 
        forms of assistance, information, or advice that would 
        be useful in alleviating or preventing conditions of 
        excessive unemployment or underemployment in the 
        areas[.]; and
          (4) obtain appropriate information from other Federal 
        agencies needed to carry out the duties under this Act.

           *       *       *       *       *       *       *

[SEC. 505. BUSINESSES DESIRING FEDERAL CONTRACTS.

  [The Secretary may provide the procurement divisions of 
Federal agencies with a list consisting of--
          [(1) the names and addresses of businesses that are 
        located in areas described in section 301(a) and that 
        wish to obtain Federal Government contracts for the 
        provision of supplies or services; and
          [(2) the supplies and services that each business 
        provides.]

SEC. 506. PERFORMANCE EVALUATIONS OF GRANT RECIPIENTS.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Timing of Evaluations.--Evaluations under subsection (a) 
shall be conducted on a continuing basis so that each grantee 
is evaluated within 3 years after the first award of assistance 
to the grantee [after the effective date of the Economic 
Development Administration Reform Act of 1998], and at least 
once every 3 years thereafter, so long as the grantee receives 
the assistance.
  (d) Evaluation Criteria.--
          (1) * * *
          (2) Evaluation criteria for university centers.--The 
        criteria for evaluation of a university center shall, 
        at a minimum, provide for an assessment of the center's 
        contribution to providing technical assistance, 
        conducting applied research, program performance, and 
        disseminating results of the activities of the center.

           *       *       *       *       *       *       *

TITLE VI--MISCELLANEOUS

           *       *       *       *       *       *       *

SEC. 602. MAINTENANCE OF STANDARDS.

  All laborers and mechanics employed by contractors or 
subcontractors on projects assisted by the Secretary under this 
Act shall be paid wages at rates not less than those prevailing 
on smiliar construction in the locality as determined by the 
Secretary of Labor [in accordance with the Davis-Bacon Act, as 
amended (40 U.S.C. 276a-276a-5)] in accordance with subchapter 
IV of chapter 31 of title 40, United States Code. The Secretary 
shall not extend any financial assistance under this Act, for 
such project without first obtaining adequate assurance that 
these labor standards will be maintained upon the cosntruction 
work. The Secretary of Labor shall have, with respect to the 
labor standards specified in this provision, the authority and 
functions sent forth in Reorganization Plan Numbered 14 of 1950 
(15 F.R. 3176; 64 Stat. 1267; 5 U.S.C. 133z-15), and [section 2 
of the Act of June 13, 1934, as amended (40 U.S.C. 276c)] 
section 3145 of title 40, United States Code.

           *       *       *       *       *       *       *

SEC. 609. RELATIONSHIP TO ASSISTANCE UNDER OTHER LAW.

  [(a) Previously Authorized Assistance.--Except as otherwise 
provided in this Act, all financial and technical assistance 
authorized under this Act shall be in addition to any Federal 
assistance authorized before the effective date of the Economic 
Development Administration Reform Act of 1998.]
  [(b) Assistance Under Other Acts.--]Nothing in this Act 
authorizes or permits any reduction in the amount of Federal 
assistance that any State or other entity eligible under this 
Act is entitled to receive under any other Act.

           *       *       *       *       *       *       *

                           TITLE VII--FUNDING

[SEC. 701. GENERAL AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated to carry out this 
Act $397,969,000 for fiscal year 1999, $368,000,000 for fiscal 
year 2000, $335,000,000 for fiscal year 2001, $335,000,000 for 
fiscal year 2002, and $335,000,000 for fiscal year 2003, to 
remain available until expended.]

SEC. 701. GENERAL AUTHORIZATION OF APPROPRIATIONS.

  (a) Economic Development Assistance Programs.--There are 
authorized to be appropriated for economic development 
assistance programs to carry out this Act--
          (1) $400,000,000 for fiscal year 2004;
          (2) $425,000,000 for fiscal year 2005;
          (3) $450,000,000 for fiscal year 2006;
          (4) $475,000,000 for fiscal year 2007; and
          (5) $500,000,000 for fiscal year 2008.
Such sums shall remain available until expended.
  (b) Salaries and Expenses.--There are authorized to be 
appropriated for salaries and expenses of administering this 
Act $33,377,000 for fiscal year 2004 and such sums as may be 
necessary for each fiscal year thereafter. Such sums shall 
remain available until expended.

           *       *       *       *       *       *       *

                                
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