II

103D CONGRESS

2D SESSION S. 2257

To amend the Public Works and Economic Development Act of 1965 to

reauthorize economic development programs, and for other purposes.

IN THE SENATE OF THE UNITED STATES

JUNE 30 (legislative day, JUNE 7), 1994

Mr. BAUCUS (for himself, Mr. DURENBERGER, Mr. MITCHELL, Mr. MOYNIHAN, Mr. MATHEWS, Mr. COHEN, Mr. PRYOR, Mr. BINGAMAN, Mrs.

BOXER, and Mr. DORGAN) introduced the following bill; which was read

twice and referred to the Committee on Environment and Public Works

A BILL

To amend the Public Works and Economic Development

Act of 1965 to reauthorize economic development programs, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

4 (a) SHORT TITLE.—This Act may be cited as the

5 ‘‘Economic Development Reauthorization Act of 1994’’.

6 (b) TABLE OF CONTENTS.—The table of contents for

7 this Act is as follows:

Sec. 1. Short title; table of contents.

Sec. 2. Direct and supplementary grants.

Sec. 3. Grants for public works facilities.
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Sec. 4. Repeal of financial assistance for sewer facilities.

Sec. 5. Relationship of overall economic development plan to public works and

development facility loans.

Sec. 6. Elimination of overall economic development program.

Sec. 7. Redevelopment area loan program.

Sec. 8. Technical assistance, research, and information.

Sec. 9. Business outreach center demonstration project.

Sec. 10. Office of Strategic Economic Development Planning and Policy.

Sec. 11. Authorization of appropriations for technical assistance, research, and

information.

Sec. 12. Redevelopment areas.

Sec. 13. Annual review.

Sec. 14. Economic development districts.

Sec. 15. Applications for assistance.

Sec. 16. Performance evaluations of grant recipients.

Sec. 17. Transfer of funds.

Sec. 18. Extension of benefits.

Sec. 19. Supervision of Regional Counsels.

Sec. 20. Purpose.

Sec. 21. Base closings and realignments.

Sec. 22. Outreach to communities adversely affected by closures and

realignments of military installations.

Sec. 23. Treatment of revolving loan funds.

Sec. 24. Sale of financial instruments in revolving loan funds.

Sec. 25. Special economic development and adjustment assistance.

Sec. 26. Compliance with Buy American Act.

1 SEC. 2. DIRECT AND SUPPLEMENTARY GRANTS.

2 (a) DIRECT GRANTS.—Section 101(a)(1) of the Pub3 lic Works and Economic Development Act of 1965 (42

4 U.S.C. 3131(a)(1)) is amended—

5 (1) in the matter preceding subparagraph (A),

6 by striking ‘‘acquisition, construction’’ and inserting

7 ‘‘acquisition, design, engineering, construction’’;

8 (2) by striking subparagraph (C) and inserting

9 the following new subparagraph:

10 ‘‘(C) the area for which the project is to be

11 undertaken has an approved overall economic

12 development plan as provided in section 402
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1 and such project is consistent with such plan;

2 and’’; and

3 (3) in subparagraph (D)—

4 (A) by striking ‘‘so designated under sec5 tion 401(a)(6),’’ and inserting ‘‘described in

6 section 401(a)(7),’’; and

7 (B) by striking ‘‘area.’’ and inserting

8 ‘‘area; and’’.

9 (b) CONSIDERATIONS FOR SUPPLEMENTARY

10 GRANTS.—Section 101(c) of such Act is amended—

11 (1) in the second and third sentences, by strik12 ing ‘‘designated as such under section 401(a)(6) of

13 this Act.’’ and inserting ‘‘described in section

14 401(a)(7).’’; and

15 (2) in the last sentence—

16 (A) by striking ‘‘the area, the’’ and insert17 ing ‘‘the area and the’’; and

18 (B) by striking ‘‘, and the amount of such’’

19 and all that follows and inserting a period.

20 SEC. 3. GRANTS FOR PUBLIC WORKS FACILITIES.

21 Section 105 of the Public Works and Economic De22 velopment Act of 1965 (42 U.S.C. 3135) is amended to

23 read as follows:
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1 ‘‘SEC. 105. AUTHORIZATION OF APPROPRIATIONS.

2 ‘‘There are authorized to be appropriated to carry out

3 this title $175,000,000 for each of fiscal years 1995

4 through 1997. Such sums shall remain available until ex5 pended. Not less than 15 percent and not more than 35

6 percent of the amounts appropriated for any of fiscal years

7 1995 through 1997 under this section shall be expended

8 in redevelopment areas described in section 401(a)(7).’’.

9 SEC. 4. REPEAL OF FINANCIAL ASSISTANCE FOR SEWER

10 FACILITIES.

11 (a) IN GENERAL.—Title I of the Public Works and

12 Economic Development Act of 1965 (42 U.S.C. 3131–

13 3137) is amended—

14 (1) by repealing section 106;

15 (2) by redesignating section 107 as section 104;

16 and

17 (3) by moving such section 104 to appear after

18 section 103.

19 (b) CONFORMING AMENDMENT.—Section 211(b)(3)

20 of the Appalachian Regional Development Act of 1965 (40

21 U.S.C. App. 211(b)(3)) is amended in the last sentence

22 by striking ‘‘Notwithstanding’’ and all that follows

23 through ‘‘education-related’’ and inserting ‘‘An education24 related’’.
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1 SEC. 5. RELATIONSHIP OF OVERALL ECONOMIC DEVELOP2 MENT PLAN TO PUBLIC WORKS AND DEVEL3 OPMENT FACILITY LOANS.

4 Section 201(a) of the Public Works and Economic

5 Development Act of 1965 (42 U.S.C. 3141(a)) is amended

6 by striking paragraph (5) and inserting the following new

7 paragraph:

8 ‘‘(5) such area has an approved overall eco9 nomic development plan as provided in section 402

10 and the project for which financial assistance is

11 sought is consistent with such plan.’’.

12 SEC. 6. ELIMINATION OF OVERALL ECONOMIC DEVELOP13 MENT PROGRAM.

14 Section 202(b) of the Public Works and Economic

15 Development Act of 1965 (42 U.S.C. 3142(b)) is amend16 ed—

17 (1) in paragraph (1), by striking ‘‘Such finan18 cial assistance shall not be extended’’ and inserting

19 ‘‘The applicant for such financial assistance shall in20 clude, in the application of the applicant for such as21 sistance, an assurance that the assistance will not be

22 used’’; and

23 (2) in paragraph (10), by striking ‘‘there shall

24 be submitted to and approval of the Secretary an

25 overall program for the economic development of the

26 area and’’ and inserting ‘‘the applicant shall submit
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1 to the Secretary under section 402, and obtain ap2 proval of, an overall economic development plan and

3 there is’’.

4 SEC. 7. REDEVELOPMENT AREA LOAN PROGRAM.

5 (a) IN GENERAL.—Section 204(a) of the Public

6 Works and Economic Development Act of 1965 (42

7 U.S.C. 3144(a)) is amended by striking the last two sen8 tences.

9 (b) CONFORMING AMENDMENTS.—

10 (1) Section 2 of the Act entitled ‘‘An Act to

11 amend the Public Works and Economic Development

12 Act of 1965 to extend the authorizations for title I

13 through IV through fiscal year 1971’’, approved

14 July 6, 1970 (42 U.S.C. 3162 note) is repealed.

15 (2) Section 6 of the Act entitled ‘‘An Act to

16 amend the Public Works and Economic Development

17 Act of 1965 to extend the authorizations for a one18 year period’’, approved June 18, 1973 (42 U.S.C.

19 3162 note) is amended—

20 (A) in subsection (a), by striking ‘‘(a)’’;

21 and

22 (B) by striking subsection (b).
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1 SEC. 8. TECHNICAL ASSISTANCE, RESEARCH, AND INFOR2 MATION.

3 Section 301(a)(1) of the Public Works and Economic

4 Development Act of 1965 (42 U.S.C. 3151(a)(1)) is

5 amended by striking ‘‘areas which he has designated as

6 redevelopment areas under this Act,’’ and inserting ‘‘rede7 velopment areas,’’.

8 SEC. 9. BUSINESS OUTREACH CENTER DEMONSTRATION

9 PROJECT.

10 Section 303 of the Public Works and Economic De11 velopment Act of 1965 (42 U.S.C. 3152) is amended to

12 read as follows:

13 ‘‘SEC. 303. BUSINESS OUTREACH CENTER DEMONSTRATION

14 PROJECT.

15 ‘‘(a) DEFINITION.—As used in this section, the term

16 ‘isolated small business’ means a small business that is

17 unable to effectively access small business services pro18 vided by a Federal, State, or local government due to lin19 guistic, cultural, or geographic barriers, as determined by

20 the Secretary.

21 ‘‘(b) DEMONSTRATION PROJECT.—Using funds made

22 available under this title, the Secretary shall conduct a

23 demonstration project in each of fiscal years 1994 through

24 1996 for the purpose of demonstrating methods of assist25 ing isolated small businesses to access small business serv26 ices provided by Federal, State, and local governments.
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1 ‘‘(c) ESTABLISHMENT OF CENTERS.—In conducting

2 the demonstration project under this section, the Sec3 retary shall establish 3 business outreach centers. At least

4 1 of the centers shall be located in a rural area.

5 ‘‘(d) DUTIES OF CENTERS.—Each business outreach

6 center established under this section shall—

7 ‘‘(1) provide a one-stop clearinghouse to assist

8 isolated small businesses in accessing small business

9 services provided by Federal, State, and local gov10 ernments; and

11 ‘‘(2) improve efficiency in the delivery of such

12 services.

13 ‘‘(e) SERVICES TO BE PROVIDED.—Each business

14 outreach center established under this section shall pro15 vide each of the following services:

16 ‘‘(1) Outreach to isolated small businesses.

17 ‘‘(2) Assessment of the need of isolated small

18 businesses for assistance services.

19 ‘‘(3) Referral of isolated small businesses to

20 small business assistance agencies.

21 ‘‘(4) Preparation of materials required by iso22 lated small businesses for participation in small

23 business assistance programs.

24 ‘‘(5) Case management to ensure follow-up and

25 quality control of business services.
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1 ‘‘(6) Coordination of networking among isolated

2 small businesses.

3 ‘‘(7) Quality control of small business assist4 ance services.’’.

5 SEC. 10. OFFICE OF STRATEGIC ECONOMIC DEVELOPMENT

6 PLANNING AND POLICY.

7 Title III of the Public Works and Economic Develop8 ment Act of 1965 (42 U.S.C. 3151–3153) is amended by

9 adding at the end the following new section:

10 ‘‘SEC. 305. OFFICE OF STRATEGIC ECONOMIC DEVELOP11 MENT PLANNING AND POLICY.

12 ‘‘(a) ESTABLISHMENT.—The Secretary shall estab13 lish in the Economic Development Administration an Of14 fice of Strategic Economic Development Planning and Pol15 icy (referred to in this section as the ‘Office’).

16 ‘‘(b) DIRECTOR.—The Office shall be headed by a Di17 rector, who shall be appointed by the Secretary and who

18 shall report to the Assistant Secretary for Economic De19 velopment.

20 ‘‘(c) DUTIES.—The duties of the Director are as fol21 lows:

22 ‘‘(1) RESEARCH, EVALUATION, AND DEM23 ONSTRATION PROJECTS.—The Director shall support

24 research, evaluation, and demonstration projects to

25 study and assess best practices in economic develop-
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1 ment and to examine trends and changes in eco2 nomic conditions that affect regional development.

3 The Director shall conduct a study of innovative eco4 nomic development financing tools that may be em5 ployed to further economic development of States,

6 regions, and localities.

7 ‘‘(2) POLICY DEVELOPMENT.—The Director

8 shall develop and submit to the Secretary rec9 ommendations on both short- and long-term policies

10 regarding economic development issues and pro11 grams, to help foster the diffusion of innovative, best

12 practices in economic development throughout the

13 Department of Commerce.

14 ‘‘(d) FEDERAL COORDINATING COUNCIL FOR ECO15 NOMIC DEVELOPMENT.—

16 ‘‘(1) IN GENERAL.—There is established a Fed17 eral Coordinating Council for Economic Develop18 ment (referred to in this subsection as the ‘Coun19 cil’).

20 ‘‘(2) COMPOSITION OF THE COUNCIL.—

21 ‘‘(A) IN GENERAL.—The Council shall be

22 composed of representatives from Federal agen23 cies, appointed by the heads of the agencies, in24 volved in matters that affect regional economic

25 development. The Secretary shall determine the
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1 Federal agencies that are involved in matters

2 that affect regional economic development.

3 ‘‘(B) VACANCIES.—Any vacancy in the

4 Council shall not affect the powers of the Coun5 cil, but shall be filled in the same manner as

6 the original appointment.

7 ‘‘(3) DUTIES.—The Council shall assist the

8 Secretary in providing a unifying framework for eco9 nomic development efforts and shall develop a gov10 ernmentwide strategic plan for economic develop11 ment. The Council shall work to improve coordina12 tion of Federal economic development efforts to

13 eliminate duplication and to direct Federal resources

14 to improve economic conditions.

15 ‘‘(4) TRAVEL EXPENSES.—The members of the

16 Council shall not receive compensation for service on

17 the Council but shall be allowed travel expenses, in18 cluding per diem in lieu of subsistence, at rates au19 thorized for employees of agencies under subchapter

20 I of chapter 57 of title 5, United States Code, while

21 away from the homes or regular places of business

22 of the members in the performance of services for

23 the Council.

24 ‘‘(5) FACILITIES, SUPPLIES, AND PERSON25 NEL.—
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1 ‘‘(A) IN GENERAL.—Upon the request of

2 the Council, the Secretary shall provide to the

3 Council any facilities, supplies, and personnel

4 necessary for the Council to carry out the re5 sponsibilities of the Council under this sub6 section.

7 ‘‘(B) DETAILS.—In the case of a detail of

8 a Federal Government employee under para9 graph (1), the employee may be detailed to the

10 Council without reimbursement. The detail shall

11 be without interruption or loss of civil service

12 status or privilege.

13 ‘‘(6) HEARINGS.—The Council may hold such

14 hearings, sit and act at such times and places, take

15 such testimony, and receive such evidence as the

16 Council considers advisable to carry out this sub17 section.

18 ‘‘(7) INFORMATION FROM FEDERAL AGEN19 CIES.—The Council may secure directly from any

20 Federal department or agency such information as

21 the Council considers necessary to carry out this

22 subsection. Upon request of the Council, the head of

23 such department or agency shall furnish such infor24 mation to the Council.
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1 ‘‘(8) POSTAL SERVICES.—The Council may use

2 the United States mails in the same manner and

3 under the same conditions as other departments and

4 agencies of the Federal Government.

5 ‘‘(9) TERMINATION.—The Council shall termi6 nate 1 year after the date of the establishment of

7 the Council.’’.

8 SEC. 11. AUTHORIZATION OF APPROPRIATIONS FOR TECH9 NICAL ASSISTANCE, RESEARCH, AND INFOR10 MATION.

11 Title III of the Public Works and Economic Develop12 ment Act of 1965 (42 U.S.C. 3151–3153) (as amended

13 by section 10) is further amended by adding at the end

14 the following new section:

15 ‘‘SEC. 306. AUTHORIZATION OF APPROPRIATIONS.

16 ‘‘There are authorized to be appropriated to carry out

17 this title $50,000,000 for each of fiscal years 1995

18 through 1997. Such sums shall remain available until ex19 pended.’’.

20 SEC. 12. REDEVELOPMENT AREAS.

21 Section 401 of the Public Works and Economic De22 velopment Act of 1965 (42 U.S.C. 3161) is amended to

23 read as follows:
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1 ‘‘SEC. 401. AREA ELIGIBILITY.

2 ‘‘(a) CERTIFICATION.—An applicant seeking assist3 ance under this Act to undertake a project for an area

4 shall certify, as part of an application for such assistance,

5 that the area on the date of submission of such application

6 meets 1 or more of the following criteria:

7 ‘‘(1) The per capita income of the area is

8 80 percent or less of the per capita income of the

9 United States.

10 ‘‘(2) The average rate of unemployment in the

11 area (seasonally adjusted), as determined by the

12 Secretary of Labor for the most recent 24-month pe13 riod for which statistics are available, minus the na14 tional average rate of unemployment (seasonally ad15 justed), as so determined, is equal to or exceeds 1

16 percent.

17 ‘‘(3) The average rate of unemployment in the

18 area (seasonally adjusted), as determined by the

19 Secretary of Labor for the most recent 12-month pe20 riod for which statistics are available, minus the na21 tional average rate of unemployment (seasonally ad22 justed), as so determined, is equal to or exceeds 2

23 percent.

24 ‘‘(4) The area has experienced or is about to

25 experience a sudden economic dislocation resulting

26 in job loss that is significant both in terms of the
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1 number of jobs eliminated and the effect on the rate

2 of unemployment in the area (if information on such

3 rate is available), as such rate is determined by the

4 Secretary of Labor.

5 ‘‘(5) The population growth rate of the United

6 States, as determined by the Secretary of Commerce

7 for an appropriate period, minus the population

8 growth rate of the area, as so determined, is equal

9 to or exceeds 3 percent.

10 ‘‘(6) The area has experienced a decline in total

11 employment that is equal to or exceeds 2 percent

12 over the most recent 5-year period for which statis13 tics are available, as such employment is determined

14 by the Secretary of Labor, acting through the Com15 missioner of Labor Statistics.

16 ‘‘(7) The area is a community or neighborhood

17 (defined without regard to political or other subdivi18 sions or boundaries) that the Secretary determines

19 has 1 or more of the following conditions:

20 ‘‘(A) A large concentration of low-income

21 persons.

22 ‘‘(B) A rural area having substantial out23 migration or substantial economic deterioration

24 and unemployment.

25 ‘‘(C) Substantial unemployment.
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1 ‘‘(b) DOCUMENTATION.—

2 ‘‘(1) DATA AND STATISTICS.—A certification

3 made under subsection (a) shall be supported by

4 Federal data, if available, and in other cases by data

5 available through the appropriate State government.

6 The applicant shall use the most recent statistics

7 available to support the certification.

8 ‘‘(2) ACCEPTANCE OF DATA.—The Secretary

9 shall accept the data unless the Secretary deter10 mines that the data are inaccurate.

11 ‘‘(c) SPECIAL RULE.—With respect to a redevelop12 ment area described in subsection (a)(7)—

13 ‘‘(1) the project to be carried out in the area

14 shall not be subject to section 101(a)(1)(A);

15 ‘‘(2) the area shall not be subject to section

16 101(a)(1)(C); and

17 ‘‘(3) the area shall not be considered to be a re18 development area for purposes of section

19 403(a)(1)(B).

20 ‘‘(d) PRIOR DESIGNATION.—Any designation of a re21 development area for the purposes of this Act that was

22 made before the date of enactment of the Economic Devel23 opment Reauthorization Act of 1994 shall not be effective

24 after such date.
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1 ‘‘(e) DEFINITION.—As used in this Act, the term ‘re2 development area’ means an area that is the subject of

3 a certification that is—

4 ‘‘(1) described in subsection (a); and

5 ‘‘(2) submitted by an applicant as part of an

6 application for assistance—

7 ‘‘(A) that is described in subsection (a);

8 and

9 ‘‘(B) for which the applicant obtains the

10 approval of the Secretary.’’.

11 SEC. 13. ANNUAL REVIEW.

12 (a) IN GENERAL.—Section 402 of the Public Works

13 and Economic Development Act of 1965 (42 U.S.C. 3162)

14 is amended to read as follows:

15 ‘‘SEC. 402. OVERALL ECONOMIC DEVELOPMENT PLAN AND

16 INVESTMENT STRATEGY.

17 ‘‘(a) OVERALL ECONOMIC DEVELOPMENT PLAN AND

18 INVESTMENT STRATEGY.—The Secretary may provide as19 sistance under this Act to an applicant for a project to

20 be undertaken in an area only if the applicant has pre21 pared and submitted to the Secretary, and obtained ap22 proval of, an overall economic development plan or an in23 vestment strategy. Such an overall economic development

24 plan or investment strategy shall—
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1 ‘‘(1) identify the economic development prob2 lems to be addressed using such assistance;

3 ‘‘(2) identify past, present, and projected fur4 ther economic development investments in such area

5 and public and private participants and sources of

6 funding for such investments; and

7 ‘‘(3) set forth a strategy for addressing the eco8 nomic development problems identified pursuant to

9 paragraph (1) and describe how the strategy will

10 solve such problems.

11 ‘‘(b) APPLICATION REQUIREMENTS.—In submitting

12 an application for assistance under title I or II, an appli13 cant shall describe how the proposed project implements

14 the plan or strategy, provide estimates of costs and time15 tables for completion for the project, and provide a sum16 mary of public and private resources expected to be avail17 able for the project.

18 ‘‘(c) EXISTING PLANS AND INVESTMENT STRATE19 GIES.—To the maximum extent practicable, the Secretary

20 shall approve under subsection (a) overall economic devel21 opment plans, and overall economic development pro22 grams, that were approved by the Secretary under this

23 Act before the date of enactment of the Economic Devel24 opment Reauthorization Act of 1994 and that substan25 tially meet the requirements of this section.
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1 ‘‘(d) DEFINITION.—As used in this Act, the term

2 ‘economic development plan’ includes—

3 ‘‘(1) a plan or program described in subsection

4 (c) and submitted for approval under subsection (a);

5 and

6 ‘‘(2) an investment strategy submitted for ap7 proval under subsection (a) in lieu of such a plan.’’.

8 (b) CONFORMING AMENDMENTS.—

9 (1) TRADE ACT OF 1974.—Section 273(c)(2) of

10 the Trade Act of 1974 (19 U.S.C. 2373(c)(2)) is

11 amended—

12 (A) by striking ‘‘overall economic develop13 ment program’’ and inserting ‘‘overall economic

14 development plan or investment strategy’’; and

15 (B) by striking ‘‘section 202(b)(10)’’ and

16 inserting ‘‘section 402’’.

17 (2) COMMUNITY ECONOMIC DEVELOPMENT ACT

18 OF 1981.—Section 626(b)(1) of the Community Eco19 nomic Development Act of 1981 (42 U.S.C.

20 9815(b)(1)) is amended—

21 (A) by striking ‘‘Publc’’ and inserting

22 ‘‘Public’’;

23 (B) by striking ‘‘overall economic develop24 ment program’’ and inserting ‘‘overall economic

25 development plan or investment strategy’’; and
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1 (C) by striking ‘‘section 202(b)(10)’’ and

2 inserting ‘‘section 402’’.

3 SEC. 14. ECONOMIC DEVELOPMENT DISTRICTS.

4 (a) RELATIONSHIP TO OVERALL ECONOMIC DEVEL5 OPMENT PLANS.—Section 403 of the Public Works and

6 Economic Development Act of 1965 (42 U.S.C. 3171) is

7 amended—

8 (1) in subsections (a)(1)(C), (a)(1)(D),

9 (a)(2)(A), (a)(3)(A), (a)(4)(B), (e), and (i) by strik10 ing ‘‘overall economic development program’’ and in11 serting ‘‘overall economic development plan’’;

12 (2) in subsection (a)(1)(D), by striking ‘‘pro13 gram’’ the second place the term appears and insert14 ing ‘‘plan’’; and

15 (3) in subsections (b) and (b)(2)(B), by striking

16 ‘‘overall economic development programs’’ and in17 serting ‘‘overall economic development plans’’.

18 (b) RELATIONSHIP TO REDEVELOPMENT AREA.—

19 Section 403(a)(4) of such Act is amended by striking

20 ‘‘(designated under section 401)’’.

21 (c) ECONOMIC DEVELOPMENT DISTRICT DE22 FINED.—Section 403(d) of such Act is amended by adding

23 at the end the following new sentence: ‘‘Such term in24 cludes any economic development district designated by

25 the Secretary under this section before the date of enact-
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1 ment of the Economic Development Reauthorization Act

2 of 1994, unless the Secretary terminates the designa3 tion.’’.

4 (d) FUNDING.—Section 403 of such Act is amend5 ed—

6 (1) by striking subsection (g) and inserting the

7 following new subsection:

8 ‘‘(g) Amounts authorized to be appropriated under

9 other sections of this Act shall be available for purposes

10 of carrying out paragraphs (3) and (4) of subsection (a).’’;

11 (2) by striking subsection (h); and

12 (3) by redesignating subsections (i) and (j) as

13 subsections (h) and (i), respectively.

14 SEC. 15. APPLICATIONS FOR ASSISTANCE.

15 (a) EXPEDITED PROCESSING.—Title VI of the Public

16 Works and Economic Development Act of 1965 (42

17 U.S.C. 3201–3204) is amended by adding at the end the

18 following new section:

19 ‘‘SEC. 605. EXPEDITED PROCESSING OF APPLICATIONS.

20 ‘‘(a) GUIDELINES.—Not later than 60 days after the

21 date of enactment of this section, the Assistant Secretary

22 for Economic Development shall—

23 ‘‘(1) develop and publish in the Federal Reg24 ister guidelines that establish procedures to expedite
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1 the processing of applications for assistance under

2 this Act; and

3 ‘‘(2) transmit to the Committee on Public

4 Works and Transportation of the House of Rep5 resentatives and the Committee on Environment and

6 Public Works of the Senate a report containing such

7 guidelines.

8 ‘‘(b) CONTENTS.—Guidelines to be developed and

9 published under subsection (a) shall, at a minimum, pro10 vide for—

11 ‘‘(1) increased reliance on self-certification by

12 applicants for such assistance to establish compli13 ance with other Federal laws;

14 ‘‘(2) greater use of uniform application forms

15 and procedures;

16 ‘‘(3) delegation of decisionmaking authority to

17 regional offices of the Economic Development Ad18 ministration; and

19 ‘‘(4) reduction in the time and number of re20 views conducted by offices of the Department of

21 Commerce other than the Economic Development

22 Administration.’’.

23 (b) UNIFORM APPLICATION FORM.—Title VI of such

24 Act (as amended by subsection (a)) is further amended

25 by adding at the end the following new section:
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1 ‘‘SEC. 606. UNIFORM APPLICATION FORM.

2 ‘‘(a) DEVELOPMENT.—The Secretary shall, in co3 operation with the heads of appropriate Federal depart4 ments and agencies, develop a general, simplified applica5 tion form for grant assistance under this Act that may

6 be used by all Federal departments and agencies that pro7 vide grant assistance.

8 ‘‘(b) REPORT.—Not later than 180 days after the

9 date of enactment of this section, the Secretary shall

10 transmit to Congress a report on use of the form devel11 oped pursuant to subsection (a) by Federal departments

12 and agencies.’’.

13 SEC. 16. PERFORMANCE EVALUATIONS OF GRANT RECIPI14 ENTS.

15 Title VI of the Public Works and Economic Develop16 ment Act of 1965 (42 U.S.C. 3201–3204) (as amended

17 by subsections (a) and (b) of section 15) is further amend18 ed by adding at the end the following new section:

19 ‘‘SEC. 607. PERFORMANCE EVALUATIONS OF GRANT RE20 CIPIENTS.

21 ‘‘(a) IN GENERAL.—At least once every 2 years, the

22 Secretary shall conduct an evaluation of each university

23 center receiving assistance under title III (referred to in

24 this section as a ‘university center’) and economic develop25 ment district receiving grant assistance under this Act to
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1 assess the performance and contribution toward job cre2 ation of the recipient.

3 ‘‘(b) CRITERIA.—

4 ‘‘(1) ESTABLISHMENT.—The Secretary shall es5 tablish criteria for use in conducting evaluations

6 under subsection (a).

7 ‘‘(2) CRITERIA FOR UNIVERSITY CENTERS.—

8 The criteria for evaluation of a university center

9 shall, at a minimum, provide for an assessment of

10 the contribution of the center to providing technical

11 assistance, conducting applied research, and dissemi12 nating results of the activities of the center.

13 ‘‘(3) CRITERIA FOR ECONOMIC DEVELOPMENT

14 DISTRICTS.—The criteria for evaluation of an eco15 nomic development district shall, at a minimum, pro16 vide for an assessment of management standards, fi17 nancial accountability, and program performance.

18 ‘‘(c) PEER REVIEW.—In conducting an evaluation of

19 a university center under subsection (a), the Secretary

20 shall provide for the participation in the evaluation of at

21 least 1 other university center on a cost-reimbursement

22 basis.’’.
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1 SEC. 17. TRANSFER OF FUNDS.

2 Section 708 of the Public Works and Economic De3 velopment Act of 1965 (42 U.S.C. 3218) is amended by

4 adding at the end the following new subsection:

5 ‘‘(d) Notwithstanding any other provision of law, the

6 Secretary may accept such transfers of funds from other

7 departments and agencies of the Federal Government as

8 the Secretary determines to be appropriate and use such

9 funds to carry out objectives of this Act, if the Secretary

10 uses the funds to carry out objectives for which (and in

11 accordance with the terms under which) the funds are spe12 cifically authorized and appropriated. Not more than 5

13 percent of such funds may be transferred to the account

14 relating to salaries and expenses of the Economic Develop15 ment Administration.’’.

16 SEC. 18. EXTENSION OF BENEFITS.

17 Section 715 of the Public Works and Economic De18 velopment Act of 1965 (42 U.S.C. 3225) is amended by

19 striking ‘‘such areas as may be designated as ‘redevelop20 ment areas’ or ‘economic development centers’ under the

21 authority of section 401 or 403 of this Act:’’ and inserting

22 ‘‘redevelopment areas and such areas as may be des23 ignated as ‘economic development centers’ under section

24 403:’’.
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1 SEC. 19. SUPERVISION OF REGIONAL COUNSELS.

2 Title VII of the Public Works and Economic Develop3 ment Act of 1965 (42 U.S.C. 3211–3226) is amended by

4 adding at the end the following new section:

5 ‘‘SEC. 717. SUPERVISION OF REGIONAL COUNSELS.

6 ‘‘The Secretary shall take such actions as may be

7 necessary to ensure that individuals serving as Regional

8 Counsels of the Economic Development Administration re9 port directly to their respective Regional Directors.’’.

10 SEC. 20. PURPOSE.

11 The first sentence of section 901 of the Public Works

12 and Economic Development Act of 1965 (42 U.S.C. 3241)

13 is amended by striking ‘‘It is the purpose of this title’’

14 and inserting ‘‘The purposes of title I and of this title

15 are’’.

16 SEC. 21. BASE CLOSINGS AND REALIGNMENTS.

17 Section 903 of the Public Works and Economic De18 velopment Act of 1965 (42 U.S.C. 3243) is amended by

19 adding at the end the following new subsection:

20 ‘‘(e)(1) In any case in which the Secretary determines

21 that a need exists for assistance under subsection (a) due

22 to the closure or realignment of a military installation, the

23 Secretary may make such assistance available to an eligi24 ble recipient for a project to be carried out on the military

25 installation or for a project to be carried out in a commu26 nity adversely affected by the closure or realignment.
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1 ‘‘(2) Notwithstanding any other provision of law, the

2 Secretary may provide to an eligible recipient any assist3 ance available under this title for a project to be carried

4 out on a military installation that is closed or scheduled

5 for closure or realignment, without requiring that the eli6 gible recipient have title to the property on which the in7 stallation is located, or a leasehold interest in the property,

8 for any specified term.’’.

9 SEC. 22. OUTREACH TO COMMUNITIES ADVERSELY AF10 FECTED BY CLOSURES AND REALIGNMENTS

11 OF MILITARY INSTALLATIONS.

12 Title IX of the Public Works and Economic Develop13 ment Act of 1965 (42 U.S.C. 3241–3245) is amended—

14 (1) by redesignating section 905 as section 908;

15 and

16 (2) by inserting after section 904 the following

17 new section:

18 ‘‘SEC. 905. OUTREACH TO COMMUNITIES ADVERSELY AF19 FECTED BY CLOSURES AND REALIGNMENTS

20 OF MILITARY INSTALLATIONS.

21 ‘‘(a) DESIGNATION OF AGENCY REPRESENTA22 TIVES.—The Assistant Secretary for Economic Develop23 ment shall designate for each State in which communities

24 are adversely affected by closures and realignments of

25 military installations, an individual to serve as a rep-
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1 resentative of the Economic Development Administration.

2 Such individual may be the State Economic Development

3 Agency Representative or another qualified individual.

4 ‘‘(b) RESPONSIBILITIES.—Individuals appointed as

5 agency representatives under subsection (a) shall provide

6 outreach and technical assistance, to communities ad7 versely affected by closures and realignments of military

8 installations, on obtaining assistance from the Economic

9 Development Administration.’’.

10 SEC. 23. TREATMENT OF REVOLVING LOAN FUNDS.

11 Title IX of the Public Works and Economic Develop12 ment Act of 1965 (42 U.S.C. 3241–3245) (as amended

13 by section 22) is further amended by inserting after sec14 tion 905 the following new section:

15 ‘‘SEC. 906. TREATMENT OF REVOLVING LOAN FUNDS.

16 ‘‘(a) IN GENERAL.—An amount made available

17 through a grant made under this title that is used by an

18 eligible recipient to establish a revolving loan fund shall

19 not be treated, except as provided by subsection (b), as

20 an amount derived from Federal funds for the purposes

21 of any Federal law after such amount is loaned from the

22 fund to a borrower and repaid to the fund.

23 ‘‘(b) EXCEPTIONS.—An amount described in sub24 section (a) that is loaned from a revolving loan fund to

25 a borrower and repaid to the fund—
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1 ‘‘(1) may be used only for a project that is con2 sistent with the purposes of this title; and

3 ‘‘(2) shall be subject to the financial manage4 ment, accounting, reporting, and auditing standards

5 that were originally applicable to such amount on

6 the date on which the Secretary made the amount

7 available to the recipient through a grant described

8 in subsection (a).

9 ‘‘(c) REGULATIONS.—Not later than 30 days after

10 the date of enactment of this section, the Secretary shall

11 issue regulations to carry out subsection (a).

12 ‘‘(d) PUBLIC REVIEW AND COMMENT.—Before issu13 ing any final guidelines or administrative manuals govern14 ing the operation of revolving loan funds established using

15 amounts from grants made under this title, the Secretary

16 shall provide reasonable opportunity for public review of

17 and comment on such guidelines and administrative

18 manuals.’’.

19 SEC. 24. SALE OF FINANCIAL INSTRUMENTS IN REVOLVING

20 LOAN FUNDS.

21 Title IX of the Public Works and Economic Develop22 ment Act of 1965 (42 U.S.C. 3241–3245) (as amended

23 by section 23) is further amended by inserting after sec24 tion 906 the following new section:
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1 ‘‘SEC. 907. SALE OF FINANCIAL INSTRUMENTS IN REVOLV2 ING LOAN FUNDS.

3 ‘‘Any loan, loan guarantee, or other financial instru4 ment in the portfolio of a revolving loan fund described

5 in section 906 may be sold, at the discretion of the grant

6 recipient that established the fund, to a third party. The

7 proceeds of the sale—

8 ‘‘(1) shall be deposited in the fund and only

9 used for projects that are consistent with the pur10 poses of this title; and

11 ‘‘(2) shall be subject to the financial manage12 ment, accounting, reporting, and auditing standards

13 that were originally applicable to the financial in14 strument on the date on which the financial instru15 ment was entered into.’’.

16 SEC. 25. SPECIAL ECONOMIC DEVELOPMENT AND ADJUST17 MENT ASSISTANCE.

18 Section 908 of the Public Works and Economic De19 velopment Act of 1965 (42 U.S.C. 3245) (as redesignated

20 by section 22(1)) is amended to read as follows:

21 ‘‘SEC. 908. AUTHORIZATION OF APPROPRIATIONS.

22 ‘‘(a) IN GENERAL.—There are authorized to be ap23 propriated to carry out this title $124,800,000 for fiscal

24 year 1995 and $81,000,000 for each of fiscal years 1996

25 and 1997. Such sums shall remain available until ex26 pended.
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1 ‘‘(b) SET-ASIDE FOR ACTIVITIES RELATED TO CLO2 SURES AND REALIGNMENTS OF MILITARY INSTALLA3 TIONS.—Of the amounts appropriated pursuant to sub4 section (a) for fiscal year 1995, not less than $80,000,000

5 shall be available for purposes of assisting eligible recipi6 ents in carrying out activities related to closures and

7 realignments of military installations.

8 ‘‘(c) ADDITIONAL AMOUNTS.—In addition to the ap9 propriations authorized by subsection (a), there are au10 thorized to be appropriated to carry out this title such

11 sums as may be necessary to provide assistance for activi12 ties related to closures and realignments of military instal13 lations and to provide assistance in the case of a natural

14 disaster for each of fiscal years 1995, 1996, and 1997.

15 Such sums shall remain available until expended.’’.

16 SEC. 26. COMPLIANCE WITH BUY AMERICAN ACT.

17 None of the funds made available under this title, or

18 any amendment made by this title, may be expended to

19 acquire articles, materials, or supplies, or to procure serv20 ices, in violation of the applicable provisions of sections

21 2 through 4 of title III of the Act of March 3, 1933 (com22 monly known as the ‘‘Buy American Act’’) (41 U.S.C.

23 10a–10b–1).

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