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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 4006 Introduced in Senate (IS)]

<DOC>

118th CONGRESS
  2d Session
                                S. 4006

To reauthorize programs of the Economic Development Administration, and 
                          for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             March 20, 2024

 Ms. Cortez Masto (for herself and Mr. Kelly) introduced the following 
bill; which was read twice and referred to the Committee on Environment 
                            and Public Works

_______________________________________________________________________

                                 A BILL

 
To reauthorize programs of the Economic Development Administration, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Increasing our Nation's Value 
through Economic Support and Tourism in Our Communities Act'' or the 
``INVEST in Our Communities Act''.

SEC. 2. DEFINITIONS.

    Section 3 of the Public Works and Economic Development Act of 1965 
(42 U.S.C. 3122) is amended--
            (1) by redesignating paragraphs (8) through (12) as 
        paragraphs (10), (11), (12), (14), and (15), respectively;
            (2) by inserting after paragraph (7) the following:
            ``(8) Outdoor recreation.--The term `outdoor recreation' 
        means all recreational activities, and the economic drivers of 
        those activities, that occur in nature-based environments 
        outdoors.
            ``(9) Project predevelopment.--The term `project 
        predevelopment' means a measure required to be completed before 
        the initiation of a project, including--
                    ``(A) planning and community asset mapping;
                    ``(B) training;
                    ``(C) technical assistance and organizational 
                development;
                    ``(D) feasibility and market studies;
                    ``(E) demonstration projects; and
                    ``(F) other predevelopment activities determined by 
                the Secretary to be appropriate.''; and
            (3) by inserting after paragraph (12) (as so redesignated) 
        the following:
            ``(13) Travel and tourism.--The term `travel and tourism' 
        means any economic activity that primarily serves to encourage 
        recreational or business travel within the United States or 
        from abroad.''.

SEC. 3. INCREASE IN FEDERAL SHARE.

    Section 204 of the Public Works and Economic Development Act of 
1965 (42 U.S.C. 3144) is amended--
            (1) in subsection (a)(1), by striking ``50'' and inserting 
        ``60''; and
            (2) in subsection (c)--
                    (A) by striking paragraph (2) and inserting the 
                following:
            ``(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 the effective taxing and borrowing capacity of 
        the State or political subdivision or can otherwise document 
        that no local matching funds are reasonably obtainable, or in 
        the case of a grant to a nonprofit organization that the 
        Secretary determines has exhausted the effective borrowing 
        capacity of the nonprofit organization, the Secretary may 
        increase the Federal share above the percentage specified in 
        subsection (a) up to 100 percent of the cost of the project.''; 
        and
                    (B) by adding at the end the following:
            ``(4) Small communities.--In the case of a grant to a 
        political subdivision of a State (as described in section 
        3(4)(A)(iv)) that has a population of fewer than 10,000 
        residents, the Secretary may increase the Federal share above 
        the percentage specified in subsection (a) up to 100 percent of 
        the total cost of the project.
            ``(5) Communities affected by disasters.--In the case of a 
        grant under section 209(c)(2), the Federal share of the cost of 
        a project carried out with the grant shall be 100 percent.''.

SEC. 4. GRANTS FOR PLANNING AND GRANTS FOR ADMINISTRATIVE EXPENSES.

    Section 203 of the Public Works and Economic Development Act of 
1965 (42 U.S.C. 3143) is amended by adding at the end the following:
    ``(e) Administrative Expenses.--Administrative expenses described 
in subsection (a) shall include--
            ``(1) expenses related to carrying out the planning process 
        described in subsection (b);
            ``(2) expenses related to project predevelopment; and
            ``(3) expenses related to hiring professional staff to 
        assist communities in--
                    ``(A) project predevelopment and the implementation 
                of projects and priorities included in--
                            ``(i) a comprehensive economic development 
                        strategy; or
                            ``(ii) an economic development planning 
                        grant;
                    ``(B) identifying and using other Federal, State, 
                and Tribal economic development programs;
                    ``(C) leveraging private and philanthropic 
                investment;
                    ``(D) preparing disaster coordination and 
                preparation plans; and
                    ``(E) carrying out economic development activities 
                in accordance with professional economic development 
                best practices.''.

SEC. 5. TOURISM, OUTDOOR RECREATION, AND SUPPORT.

    (a) In General.--Section 201 of the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3141) is amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following:
    ``(c) Additional Considerations.--In providing grants under 
subsection (a) and subject to the criteria in subsection (b), the 
Secretary may also consider the extent to which a project would--
            ``(1) benefit highly rural communities without adequate tax 
        revenues to invest in long-term or costly infrastructure;
            ``(2) increase access to high-speed broadband;
            ``(3) support outdoor recreation to spur economic 
        development, with a focus on rural communities;
            ``(4) promote job creation or retention relative to the 
        population of the impacted region with outsized significance; 
        or
            ``(5) promote travel and tourism.''.
    (b) Economic Adjustment.--Section 209(c)(5) of the Public Works and 
Economic Development Act of 1965 (42 U.S.C. 3149(c)(5)) is amended by 
inserting ``, travel and tourism, or natural resource-based'' after 
``manufacturing''.

SEC. 6. TOURISM MARKETING.

    Section 2(b) of the Public Works and Economic Development Act of 
1965 (42 U.S.C. 3121(b)) is amended--
            (1) in paragraph (3), by striking ``and'' at the end;
            (2) in paragraph (4), by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(5) tourism marketing is an economic development tool 
        used by communities for economic development and should be 
        considered an eligible use of economic development funding 
        awarded by the Federal Government through the Economic 
        Development Administration.''.

SEC. 7. ECONOMIC DISTRESS FORMULA.

    Not later than 180 days after the date of enactment of this Act, 
the Secretary of Commerce shall review the economic distress formula 
under section 301 of the Public Works and Economic Development Act of 
1965 (42 U.S.C. 3161) and submit to Congress a report that includes--
            (1) recommendations for modifications to the formula to 
        ensure that all areas, including distressed areas, are eligible 
        to receive a higher percentage of Federal funding than those 
        areas currently are eligible to receive;
            (2) a recommendation on whether to reduce the non-Federal 
        share for projects carried out with grants under that Act (42 
        U.S.C. 3121 et seq.); and
            (3) an analysis of the financial limitations of eligible 
        recipients located within counties with a majority of acreage 
        under Federal management in accessing Economic Development 
        Administration funding opportunities.

SEC. 8. OFFICE OF TRIBAL ECONOMIC DEVELOPMENT.

    (a) In General.--Title V of the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3191 et seq.) is amended by adding 
at the end the following:

``SEC. 508. OFFICE OF TRIBAL ECONOMIC DEVELOPMENT.

    ``(a) Establishment.--There is established within the Economic 
Development Administration an Office of Tribal Economic Development 
(referred to in this section as the `Office').
    ``(b) Purposes.--The purposes of the Office shall be--
            ``(1) to coordinate all Tribal economic development 
        activities carried out by the Secretary;
            ``(2) to help Tribal communities access economic 
        development assistance programs, including the assistance 
        provided under this Act;
            ``(3) to coordinate Tribal economic development strategies 
        and efforts with other Federal agencies; and
            ``(4) to be a participant in any negotiated rulemakings or 
        consultations relating to, or having an impact on, projects, 
        programs, or funding that benefit Tribal communities.
    ``(c) Tribal Economic Development Strategy.--
            ``(1) In general.--Not later than 1 year after the date of 
        enactment of the INVEST in Our Communities Act, the Office 
        shall initiate a Tribal consultation process to develop, and 
        not less frequently than every 3 years thereafter, update, a 
        strategic plan for Tribal economic development for the Economic 
        Development Administration.
            ``(2) Submission to congress.--Not later than 1 year after 
        the date of enactment of the INVEST in Our Communities Act and 
        not less frequently than every 3 years thereafter, the Office 
        shall submit to Congress the strategic plan for Tribal economic 
        development developed under paragraph (1).
    ``(d) Outreach.--The Secretary shall establish a publicly facing 
website to help provide a comprehensive, single source of information 
for Indian tribes, Tribal leaders, Tribal businesses, and citizens in 
Tribal communities to better understand and access programs that 
support economic development in Tribal communities, including the 
economic development programs administered by Federal agencies or 
departments other than the Department.
    ``(e) Dedicated Staff.--The Secretary shall ensure that the Office 
has sufficient staff to carry out all outreach activities under this 
section.''.
    (b) Clerical Amendment.--The table of contents contained in section 
1(b) of the Public Works and Economic Development Act of 1965 (79 Stat. 
552; 112 Stat. 3597) is amended by inserting after the item relating to 
section 507 the following:

``Sec. 508. Office of Tribal Economic Development.''.

SEC. 9. ESTABLISHMENT OF TECHNICAL ASSISTANCE LIAISONS.

    (a) In General.--Title V of the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3191 et seq.) (as amended by section 
8(a)) is amended by adding at the end the following:

``SEC. 509. TECHNICAL ASSISTANCE LIAISONS.

    ``(a) In General.--A Regional Director of a regional office of the 
Economic Development Administration may designate a staff member to act 
as a `Technical Assistance Liaison' for any State served by the 
regional office.
    ``(b) Role.--A Technical Assistance Liaison shall--
            ``(1) work in coordination with an Economic Development 
        Representative to provide technical assistance, in addition to 
        technical assistance under section 207, to eligible recipients 
        that are underresourced communities, as determined by the 
        Technical Assistance Liaison, that submit applications for 
        assistance under title II; and
            ``(2) at the request of an eligible recipient that 
        submitted an application for assistance under title II, provide 
        technical feedback on unsuccessful grant applications.
    ``(c) Technical Assistance.--The Secretary may enter into a 
contract or cooperative agreement with an eligible recipient for the 
purpose of providing technical assistance to eligible recipients that 
are underresourced communities that have submitted or may submit an 
application for assistance under this Act.''.
    (b) Clerical Amendment.--The table of contents contained in section 
1(b) of the Public Works and Economic Development Act of 1965 (79 Stat. 
552; 112 Stat. 3597) (as amended by section 8(b)) is amended by 
inserting after the item relating to section 508 the following:

``Sec. 509. Technical assistance liaisons.''.

SEC. 10. FLEXIBLE HIRING AND DISASTER AUTHORITIES.

    (a) In General.--Title V of the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3191 et seq.) (as amended by section 
9(a)) is amended by adding at the end the following:

``SEC. 510. FLEXIBLE HIRING AND DISASTER AUTHORITIES.

    ``(a) Appointment and Compensation Authorities.--
            ``(1) In general.--The Secretary may appoint and fix the 
        compensation of such temporary personnel as may be necessary to 
        carry out this Act and to implement post-disaster economic 
        recovery responsibilities, without regard to the provisions of 
        subchapter I of chapter 33 of title 5, United States Code, 
        governing appointments in competitive service and compensation 
        of personnel.
            ``(2) Appointment to position within eda.--Notwithstanding 
        chapter 33 of title 5, United States Code, or any other 
        provision of law relating to the examination, certification, 
        and appointment of individuals in the competitive service, the 
        Secretary may convert a temporary employee appointed under 
        paragraph (1) to a permanent appointment in the competitive 
        service in the Economic Development Administration under merit 
        promotion procedures if--
                    ``(A) the employee has served continuously in that 
                appointment for not less than 2 years; and
                    ``(B) the performance of the employee has been at 
                an acceptable level of performance throughout the 
                period or periods referred to in subparagraph (A).
    ``(b) Disaster Team.--
            ``(1) Establishment.--As soon as practicable after the date 
        of enactment of the INVEST in Our Communities Act, the 
        Secretary shall establish a disaster team for the deployment of 
        individuals to carry out post-disaster economic recovery 
        efforts after a major disaster or emergency has been declared 
        under the Robert T. Stafford Disaster Relief and Emergency 
        Assistance Act (42 U.S.C. 5121 et seq.) and an agency has been 
        activated by the Federal Emergency Management Agency.
            ``(2) Membership.--
                    ``(A) Designation of staff.--As soon as practicable 
                after the date of enactment of the INVEST in Our 
                Communities Act, the Secretary shall designate to serve 
                on the disaster team, in conjunction with staff of the 
                Department--
                            ``(i) employees of the Department who are 
                        not employees of the agency; and
                            ``(ii) in consultation with the heads of 
                        other Federal agencies, employees of those 
                        agencies, as appropriate.
                    ``(B) Capabilities.--In designating individuals 
                under subparagraph (A), the Secretary shall ensure that 
                the disaster team includes a sufficient number of--
                            ``(i) individuals who are capable of 
                        deploying rapidly and efficiently to respond to 
                        major disasters and emergencies; and
                            ``(ii) in conjunction with permanent agency 
                        staff, highly trained individuals employed 
                        full-time to lead and manage the disaster team.
            ``(3) Training.--The Secretary shall ensure that 
        appropriate and ongoing training is provided to members of the 
        disaster team designed under paragraph (2) to ensure that the 
        members are adequately trained with respect to the programs and 
        policies of the agency relating to post-disaster economic 
        recovery efforts.
            ``(4) Expenses.--In carrying out this subsection, the 
        Secretary may--
                    ``(A) use, with or without reimbursement, any 
                service, equipment, personnel, or facility of any 
                Federal agency with the explicit support of that 
                agency, to the extent such use does not impair or 
                conflict with the authority of the President or the 
                Administrator of the Federal Emergency Management 
                Agency under the Robert T. Stafford Disaster Relief and 
                Emergency Assistance Act (42 U.S.C. 5121 et seq.) to 
                direct Federal agencies in any major disaster or 
                emergency declared under that Act; and
                    ``(B) provide members of the disaster team with 
                travel expenses, including per diem in lieu of 
                subsistence, at rates authorized for employees of 
                agencies under subchapter I of chapter 57 of title 5, 
                United States Code, relating to service as a member of 
                the disaster team.''.
    (b) Clerical Amendment.--The table of contents contained in section 
1(b) of the Public Works and Economic Development Act of 1965 (79 Stat. 
552; 112 Stat. 3597) (as amended by section 9(b)) is amended by 
inserting after the item relating to section 509 the following:

``Sec. 510. Flexible hiring and disaster authorities.''.

SEC. 11. INTERAGENCY AGREEMENT.

    (a) Definitions.--In this section:
            (1) Covered agency.--The term ``covered agency'' means--
                    (A) the Economic Development Administration; and
                    (B) the Department of Agriculture, with respect to 
                the rural development mission area.
            (2) Covered program.--The term ``covered program'' means a 
        program administered by a covered agency that provides funding 
        and technical assistance for rural economic development.
    (b) Interagency Agreement.--Not later than 180 days after the date 
of enactment of this Act, the heads of the covered agencies shall enter 
into an interagency agreement requiring coordination between the 
covered agencies with respect to covered programs.
    (c) Requirements.--The interagency agreement entered into under 
subsection (b) shall require that the covered agencies--
            (1) share information about existing or planned projects 
        that have received or will receive funds for new rural economic 
        development under a covered program;
            (2) coordinate at all levels to support communities in 
        broadening awareness of, and access to, covered programs and 
        obtaining additional Federal funding opportunities to help 
        address the needs of local or regional economies;
            (3) align the collaborative efforts of the covered agencies 
        based on current priorities and determine the extent to which 
        any additional agencies should be included in the interagency 
        agreement entered into under subsection (b);
            (4) on request from another Federal agency with authority 
        to award or authorize funds for rural economic development, 
        provide to that agency any information the covered agencies 
        possess relating to--
                    (A) each entity that has received or will receive 
                funds under the covered program; and
                    (B) the geographic scope of rural economic 
                development in the area in which the project is carried 
                out;
            (5) monitor progress toward achieving outcomes of the 
        covered agencies relating to rural economic development;
            (6) coordinate with the Council on Rural Community 
        Innovation and Economic Development established by section 
        6306(b)(1) of the Agriculture Improvement Act of 2018 (7 U.S.C. 
        2204b-3(b)(1)) and the Rural Broadband Integration Working 
        Group established by section 6214(a)(1) of that Act (Public Law 
        115-334; 132 Stat. 4746) to assist communities in addressing 
        and resolving Federal barriers to administering, fulfilling, or 
        expanding economic development goals associated with 
        investments from the covered agencies;
            (7) establish, maintain, and update not less frequently 
        than once every 2 years, an effective resource guide to 
        boosting economic development in rural communities, which shall 
        include information on, and Internet links to, the key 
        priorities and resources of the covered agencies and outline 
        programs and services that can be used to advance community and 
        economic development in rural communities through 4 key focus 
        areas, including--
                    (A) planning and technical assistance;
                    (B) infrastructure and broadband expansion;
                    (C) entrepreneurship and business assistance; and
                    (D) workforce development and livability; and
            (8) expand, in writing, the joint efforts of the covered 
        agencies with respect to rural economic development with the 
        Department of Housing and Urban Development, as appropriate.
    (d) Periodic Updates.--The covered agencies shall periodically 
update the interagency agreement entered into under subsection (b).
    (e) Public Comment; Assessment and Report.--
            (1) Public comment.--Not later than 1 year after the date 
        on which the covered agencies enter into the interagency 
        agreement under subsection (b), the Secretary of Commerce and 
        the Secretary of Agriculture shall jointly seek public comment 
        on--
                    (A) the effectiveness of the interagency agreement 
                in facilitating efficient use of funds for rural 
                economic development;
                    (B) the availability of Tribal, State, and local 
                data relating to rural economic development and the 
                inclusion of those data in interagency coordination; 
                and
                    (C) modifications to the interagency agreement that 
                would improve the efficacy of interagency coordination.
            (2) Assessment; report.--Not later than 18 months after the 
        date of enactment of this Act, the Secretary of Commerce and 
        the Secretary of Agriculture shall jointly--
                    (A) review and assess the comments received under 
                paragraph (1); and
                    (B) submit to the Committees on Environment and 
                Public Works and Agriculture, Nutrition, and Forestry 
                of the Senate and the Committees on Transportation and 
                Infrastructure and Agriculture of the House of 
                Representatives a report detailing any findings and 
                recommendations from the assessment under subparagraph 
                (A).

SEC. 12. HOSPITALITY AND OUTDOOR-RECREATION SUPPORTING TOURISM (HOST) 
              GRANTS.

    (a) In General.--Title II of the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3141 et seq.) is amended by adding 
at the end the following:

``SEC. 219. HOSPITALITY AND OUTDOOR-RECREATION SUPPORTING TOURISM 
              (HOST) GRANTS.

    ``(a) Definition of Tourism, Hospitality, or Special Event 
Activity.--In this section, the term `tourism, hospitality, or special 
event activity' means any economic activity that primarily serves to 
encourage recreational or business travel within the United States or 
from abroad, including tourist attractions, business and recreational 
conventions, large entertainment events and venues, and promotion or 
organization of any such activity.
    ``(b) Establishment.--The Secretary shall establish a program to 
provide grants to eligible recipients to support outdoor recreation, 
travel, and tourism, hospitality, or special event activities to spur 
economic development.
    ``(c) Goals.--A project carried out with a grant under this section 
shall be carried out for the goal of--
            ``(1) in the case of an infrastructure project--
                    ``(A) leading to long-term increases in tourist 
                activity in a region, including in communities adjacent 
                to National Park System units, National Forest System 
                land, State parks, national marine sanctuaries, 
                National Heritage Areas, Tribal parks, or other natural 
                destinations;
                    ``(B) using nature-based infrastructure projects 
                and other projects intended to enhance public access to 
                outdoor recreation opportunities; and
                    ``(C) enhancing the visitor experience or economic 
                value of the local tourism, hospitality, or special 
                event industries; or
            ``(2) in the case of other projects as determined 
        appropriate by the Secretary, supporting the outdoor 
        recreation, travel, tourism, hospitality, or special event 
        industries, in a manner consistent with the National Travel and 
        Tourism Strategy or as recommended by the United States Travel 
        and Tourism Advisory Board, if any.
    ``(d) Eligible Uses.--
            ``(1) In general.--A grant under this section may be used--
                    ``(A) for short-term and long-term economic 
                development planning and coordination of local or 
                regional outdoor recreation, travel, tourism, 
                hospitality, and special event industries;
                    ``(B) to carry out technical assistance projects to 
                assist local or regional economies in--
                            ``(i) the recovery from, and response to, 
                        damage to the outdoor recreation, travel, 
                        tourism, hospitality, and special event 
                        industries as a result of a natural disaster or 
                        public health emergency; and
                            ``(ii) future development of the outdoor 
                        recreation, travel, tourism, hospitality, or 
                        special event industries;
                    ``(C) to pay costs associated with obtaining State, 
                Tribal, county, city, community, or regional tourism, 
                hospitality, or special event activity marketing and 
                promotion campaigns, including through nonprofit or 
                quasigovernmental Destination Marketing Organizations 
                (DMOs);
                    ``(D) to carry out construction activities that 
                support local or regional outdoor recreation, travel, 
                tourism, hospitality, or special events, including 
                activities involving--
                            ``(i) construction of new, or improvements 
                        to existing, outdoor recreation and trail 
                        infrastructure, including public access and 
                        safety enhancements to that infrastructure;
                            ``(ii) nature-based infrastructure projects 
                        to improve access to outdoor recreation;
                            ``(iii) improvement of cultural, arts, 
                        convention, special event, outdoor recreation, 
                        and tourism facilities, such as visitor or 
                        tourist information centers, including 
                        through--
                                    ``(I) general accessibility 
                                upgrades, such as increasing disability 
                                access;
                                    ``(II) improving ventilation, 
                                heating, and cooling systems;
                                    ``(III) increasing energy 
                                efficiency; and
                                    ``(IV) incorporating additional 
                                renewable energy generation associated 
                                with that infrastructure, including 
                                zero-emission vehicle fleets and 
                                charging infrastructure;
                            ``(iv) construction of workforce training 
                        facilities in order to carry out capacity 
                        building programs;
                            ``(v) water or wastewater and stormwater 
                        improvements;
                            ``(vi) pier construction and improvements; 
                        and
                            ``(vii) accessibility enhancements;
                    ``(E) to pay costs associated with upgrades and 
                retrofits, including filtration and sanitation and 
                physical modifications to existing local or regional 
                outdoor recreation, travel, tourism, hospitality, or 
                special event infrastructure, such as convention 
                centers, large event spaces, campsites, or associated 
                community attractions, with precautions to provide for 
                safe worker, traveler, or event environments to 
                increase travel and tourism activities or to make the 
                infrastructure more functional as a result of a natural 
                disaster or a public health emergency;
                    ``(F) to establish programs to provide assistance 
                to businesses in local or regional outdoor recreation, 
                travel, tourism, hospitality, or special events 
                industries--
                            ``(i) for development;
                            ``(ii) to recover from the impacts of a 
                        major disaster or emergency declared under the 
                        Robert T. Stafford Disaster Relief and 
                        Emergency Assistance Act (42 U.S.C. 5121 et 
                        seq.) or a public health emergency declared 
                        under section 319 of the Public Health Service 
                        Act (42 U.S.C. 247d); or
                            ``(iii) for expansion of programs;
                    ``(G) to carry out workforce training, recruitment, 
                and research programs that support the outdoor 
                recreation, travel, tourism, hospitality, or special 
                event industries to improve the skills of, and job 
                opportunities for, workers in those industries, 
                including through a program registered under the Act of 
                August 16, 1937 (commonly known as the `National 
                Apprenticeship Act'; 29 U.S.C. 50 et seq.), and other 
                work and learn models;
                    ``(H) to pay costs associated with providing 
                information to visitors about the health and safety 
                protections, guidance, or requirements of Federal, 
                State, Tribal, or local governments and businesses in 
                the wake of a natural disaster or a public health 
                emergency; and
                    ``(I) as applicable, and a result of a natural 
                disaster or a public health emergency to pay the costs 
                of salaries and expenses associated with the operations 
                of the eligible recipient, other than salaries and 
                expenses of the executives of the eligible recipient, 
                if the applicant--
                            ``(i) demonstrates the capacity to maintain 
                        the positions for which the funds are used; or
                            ``(ii) demonstrates that the positions for 
                        which the funds are used are temporary or 
                        seasonal.
            ``(2) Examples.--Examples of activities that comply with 
        the eligible uses described in subparagraphs (A) through (I) of 
        paragraph (1) include activities that involve--
                    ``(A) media and marketing;
                    ``(B) installing or constructing visitor kiosks;
                    ``(C) installing interpretive signage;
                    ``(D) building improvements; and
                    ``(E) support or technical assistance for small 
                businesses, including activities that bring public 
                awareness to those small businesses.
            ``(3) Prohibition.--Amounts provided under this section may 
        not be used--
                    ``(A) for recruitment efforts to bring in or host 
                particular events, such as sporting competitions or 
                other activities; or
                    ``(B) to invest in facilities, events, or 
                operations that are not open or broadly available to 
                the general public.
    ``(e) Coordination With BIA.--In carrying out this section, the 
Secretary shall coordinate with, as appropriate, the Tribal Tourism 
Grant Program of the Office of Indian Economic Development of the 
Bureau of Indian Affairs to support Tribal communities when funding 
provided under that grant program is helpful in developing or expanding 
the outdoor recreation, travel, tourism, hospitality, and special event 
economies of those Tribal communities.
    ``(f) Priority.--The Secretary shall give priority to eligible 
recipients that seek to carry out an activity that--
            ``(1) is based on long-term, regionally oriented, 
        coordinated, and collaborative economic development or 
        redevelopment strategies that foster economic growth and 
        resilience;
            ``(2) will promote workforce development; or
            ``(3) will involve a minority-owned, rural, Native 
        American, or otherwise underserved small business concern.
    ``(g) Consideration Relating to Indian Tribes, Tribal 
Organizations, and Native Hawaiian Organizations.--In providing a grant 
under this section to an eligible recipient that is an Indian tribe, a 
tribal organization (as defined in section 3 of the NATIVE Act (25 
U.S.C. 4352)), or a Native Hawaiian organization (as defined in that 
section), the Secretary--
            ``(1) may consider whether the Indian tribe, tribal 
        organization (as so defined), or Native Hawaiian organization 
        (as so defined), as applicable, has matching funds from other 
        sources to carry out an activity; and
            ``(2) shall not require the Indian tribe, tribal 
        organization (as so defined), or Native Hawaiian organization 
        (as so defined), as applicable, to provide matching funds from 
        other sources to receive a grant under this section.
    ``(h) Regional Distribution.--
            ``(1) In general.--In providing grants under this section, 
        the Secretary shall distribute the funds to eligible recipients 
        in each region served by the Economic Development 
        Administration in accordance with the distribution parameters 
        described in paragraph (2)(A).
            ``(2) Distribution of awards.--
                    ``(A) In general.--The distribution parameters 
                referred to in paragraph (1) shall include 
                consideration of each of the following:
                            ``(i) Using the most recent data from the 
                        Quarterly Census of Employment and Wages and 
                        the Current Employment Statistics, employment 
                        in the leisure and hospitality sectors (other 
                        than food service businesses) as a percentage 
                        of total employment in States in the region, 
                        using a 5-year average.
                            ``(ii) Using the most recent data from the 
                        Arts and Cultural Production and Outdoor 
                        Recreation Satellite Account, employment in 
                        arts and cultural production and outdoor 
                        recreation as a percentage of total employment 
                        in States in the region, using a 5-year 
                        average.
                            ``(iii) The number of international and 
                        domestic visitors in States in the region, 
                        using data from the Department or another 
                        source as the Secretary determines to be 
                        appropriate.
                            ``(iv) The impacts of natural or economic 
                        disasters, or public health emergencies, on the 
                        outdoor recreation, travel, tourism, 
                        hospitality, or special event industries in 
                        States in the region.
                            ``(v) Any other data that the Secretary 
                        determines reliably measures the impact of 
                        outdoor recreation, travel, tourism, 
                        hospitality, or special events to the economy 
                        of a State.
                    ``(B) Out of date, discontinued, or inaccurate data 
                sources.--If the Secretary determines that a data 
                source described in clause (i) or (ii) of subparagraph 
                (A) is out of date, discontinued, or otherwise 
                inaccurate, the Secretary may substitute other data 
                sources to obtain the employment statistics described 
                in those clauses, subject to the condition that the 
                Secretary provides to Congress a report describing the 
                new data source used by the Secretary.
    ``(i) Outdoor Recreation Set-Aside.--Of the amounts made available 
for each fiscal year to carry out this section, the Secretary shall 
ensure that not less than 40 percent is used to provide assistance to 
eligible recipients for activities that benefit the local outdoor 
recreation sector.
    ``(j) Rural Set-Aside.--
            ``(1) In general.--Of the amounts made available for each 
        fiscal year to carry out this section, the Secretary shall 
        ensure that not less than 20 percent is used to provide 
        assistance to eligible recipients located in, or that serve, a 
        rural area (as defined in section 343(a) of the Consolidated 
        Farm and Rural Development Act (7 U.S.C. 1991(a))), with a 
        particular focus on rural areas that are located in distressed 
        or underserved communities.
            ``(2) Waiver.--If there are not sufficient qualified 
        eligible recipients located in, or that serve, a rural area (as 
        so defined), to carry out paragraph (1), the Secretary may 
        waive the requirement under that paragraph.
    ``(k) Native American Set-Aside.--
            ``(1) In general.--Of the amounts made available for each 
        fiscal year to carry out this section, the Secretary shall 
        ensure that not less than 5 percent is used to provide 
        assistance to eligible recipients that are Indian tribes, 
        tribal organizations (as defined in section 3 of the NATIVE Act 
        (25 U.S.C. 4352)), and Native Hawaiian organizations (as 
        defined in that section).
            ``(2) Waiver.--If there are not sufficient qualified 
        eligible recipients that are Indian tribes, tribal 
        organizations (as so defined), or Native Hawaiian organizations 
        (as so defined) to carry out paragraph (1), the Secretary may 
        waive the requirement under that paragraph.''.
    (b) Federal Share.--Section 204(c) of the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3144(c)) (as amended by section 
3(2)(B)) is amended--
            (1) in paragraph (1), by striking ``In the case'' and 
        inserting ``Except as provided in paragraph (6), in the case''; 
        and
            (2) by adding at the end the following:
            ``(6) HOST grant to indian tribes, tribal organizations, or 
        native hawaiian organizations.--In the case of a grant to an 
        Indian tribe, a tribal organization (as defined in section 3 of 
        the NATIVE Act (25 U.S.C. 4352)), or a Native Hawaiian 
        organization (as defined in that section) for a project under 
        section 219, the Federal share of the cost of the project shall 
        be 100 percent.''.
    (c) Clerical Amendment.--The table of contents contained in section 
1(b) of the Public Works and Economic Development Act of 1965 (79 Stat. 
552; 112 Stat. 3597; 118 Stat. 1767) is amended by inserting after the 
item relating to section 218 the following:

``Sec. 219. Hospitality and Outdoor-Recreation Supporting Tourism 
                            (HOST) grants.''.

SEC. 13. FUNDING FOR HOST GRANTS.

    (a) In General.--Title VII of the Public Works and Economic 
Development Act of 1965 (42 U.S.C. 3231 et seq.) is amended by adding 
at the end the following:

``SEC. 705. FUNDING FOR HOST GRANTS.

    ``Of the amounts made available to carry out this Act for each of 
fiscal years 2025 through 2029, $100,000,000 shall be used to carry out 
section 219, of which 3 percent shall be used for the administrative 
costs of carrying out that section, including for maintaining the 
distribution parameters described in subsection (h)(2) of that 
section.''.
    (b) Clerical Amendment.--The table of contents contained in section 
1(b) of the Public Works and Economic Development Act of 1965 (79 Stat. 
552; 112 Stat. 3597; 118 Stat. 1772) is amended by inserting after the 
item relating to section 704 the following:

``Sec. 705. Funding for HOST grants.''.
                                 <all>
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