II

103D CONGRESS

2D SESSION S. 2379

To prohibit the use of certain assistance provided under the Housing and

Community Development Act of 1974 for employment relocation activities.

IN THE SENATE OF THE UNITED STATES

AUGUST 11, 1994

Mr. FEINGOLD (for himself and Mr. KOHL) introduced the following bill;

which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs

A BILL

To prohibit the use of certain assistance provided under

the Housing and Community Development Act of 1974

for employment relocation activities.

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

3 SEC. 1. SHORT TITLE.—This Act may be cited as the

4 ‘‘Prohibition of Incentives for Relocation Act of 1994’’.

5 SEC. 2. PROHIBITION OF USE OF CDBG ASSISTANCE

6 FOR EMPLOYMENT RELOCATION ACTIVITIES. (a) AU7 THORIZATIONS.—Section 103 of the Housing and Com8 munity Development Act of 1974 (42 U.S.C. 5303) is

9 amended—
2

•S 2379 IS

1 (1) by inserting ‘‘(a)’’ before ‘‘The Secretary’’;

2 and

3 (2) by adding at the end the following new sub4 section:

5 ‘‘(b) PROHIBITION OF USE OF ASSISTANCE FOR EM6 PLOYMENT RELOCATION ACTIVITIES.—Notwithstanding

7 any other provision of law, no amount from a grant made

8 under section 106 in fiscal year 1994 or any succeeding

9 fiscal year may be used for any activity (including any in10 frastructure improvement) that is intended, or is likely,

11 to facilitate the relocation or expansion of any industrial

12 or commercial plant, facility, or operation, from one area

13 to another area, if the relocation or expansion will result

14 in a loss of employment in the area from which the reloca15 tion or expansion occurs.’’.

16 SEC. 3. SPECIAL PURPOSE GRANTS.—Section 107 of

17 the Housing and Community Development Act of 1974

18 (42 U.S.C. 5307) is amended by adding at the end the

19 following new subsection:

20 ‘‘(g) PROHIBITION OF USE OF ASSISTANCE FOR EM21 PLOYMENT RELOCATION ACTIVITIES.—Notwithstanding

22 any other provision of law, no amount from a grant made

23 under this section in fiscal year 1994 or in any succeeding

24 fiscal year may be used for any activity (including any in25 frastructure improvement) that is intended, or is likely,
3

•S 2379 IS

1 to facilitate the relocation or expansion of any industrial

2 or commercial plant, facility, or operation, from one area

3 to another area, if the relocation or expansion will result

4 in a loss of employment in the area from which the reloca5 tion or expansion occurs.’’.

6 SEC. 4. GUARANTEE OF LOANS FOR ACQUISITION OF

7 PROPERTY.—Section 108 of the Housing and Community

8 Development Act of 1974 (42 U.S.C. 5308) is amended

9 by adding at the end the following new subsection:

10 ‘‘(r) PROHIBITION OF USE OF ASSISTANCE FOR EM11 PLOYMENT RELOCATION ACTIVITIES.—Notwithstanding

12 any other provision of law, no amount from a loan guaran13 teed under this section in fiscal year 1994 or in any suc14 ceeding fiscal year may be used for any activity (including

15 any infrastructure improvement) that is intended, or is

16 likely, to facilitate the relocation or expansion of any in17 dustrial or commercial plant, facility, or operation, from

18 one area to another area, if the relocation or expansion

19 will result in a loss of employment in the area from which

20 the relocation or expansion occurs.’’.

21 SEC. 5. ECONOMIC DEVELOPMENT GRANTS.—Sec22 tion 108(q) of the Housing and Community Development

23 Act of 1974 (42 U.S.C. 5308(q)) is amended by adding

24 at the end the following new paragraph:
4

•S 2379 IS

1 ‘‘(5) PROHIBITION OF USE OF ASSISTANCE FOR

2 EMPLOYMENT RELOCATION ACTIVITIES.—Notwith3 standing any other provision of law, no amount from

4 a grant made under this subsection in fiscal year

5 1994 or in any succeeding fiscal year may be used

6 for any activity (including any infrastructure im7 provement) that is intended, or is likely, to facilitate

8 the relocation or expansion of any industrial or com9 mercial plant, facility, or operation, from one area to

10 another area, if the relocation or expansion will re11 sult in a loss of employment in the area from which

12 the relocation or expansion occurs.’’.

13 SEC. 6. COMMUNITY INVESTMENT CORPORATION

14 DEMONSTRATION.—Section 853 of the Housing and Com15 munity Development Act of 1992 (42 U.S.C. 5305 note)

16 is amended by adding at the end the following new para17 graph:

18 ‘‘(17) PROHIBITION OF USE OF ASSISTANCE

19 FOR EMPLOYMENT RELOCATION ACTIVITIES.—Not20 withstanding any other provision of law, no amount

21 from assistance provided under this subsection in

22 fiscal year 1994 or in any succeeding fiscal year may

23 be used for any activity (including any infrastruc24 ture improvement) that is intended, or is likely, to

25 facilitate the relocation or expansion of any indus-
5

•S 2379 IS

1 trial or commercial plant, facility, or operation, from

2 one area to another area, if the relocation or expan3 sion will result in a loss of employment in the area

4 from which the relocation or expansion occurs.’’.

Æ