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[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1695 Introduced in House (IH)]

109th CONGRESS
  1st Session
                                H. R. 1695

  To establish the Northeast Regional Development Commission, and for 
                            other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             April 19, 2005

   Mr. Michaud (for himself, Mr. Allen, Mr. Bass, Mr. Boehlert, Mr. 
   McHugh, and Mr. Sanders) introduced the following bill; which was 
referred to the Committee on Transportation and Infrastructure, and in 
  addition to the Committee on Financial Services, for a period to be 
subsequently determined by the Speaker, in each case for consideration 
  of such provisions as fall within the jurisdiction of the committee 
                               concerned

_______________________________________________________________________

                                 A BILL

 
  To establish the Northeast Regional Development Commission, 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; FINDINGS.

    (a) Short Title.--This Act may be cited as the ``Northeast Regional 
Development Commission Act of 2005''.
    (b) Findings.--Congress finds the following:
            (1) The northeastern border region of the Nation, while 
        abundant in natural resources and rich in potential, lags 
        behind much of the Nation in its economic growth, and its 
        people have not shared properly in the Nation's prosperity.
            (2) The region's historic reliance on a few basic 
        industries and agriculture has failed to provide an adequate 
        economic base for vigorous, self-sustaining growth.
            (3) Manufacturing sector losses and out migration in the 
        region have contributed greatly to the region's difficulties in 
        entrepreneurial development and sustainability.
            (4) The region has experienced an unprecedented change in 
        land ownership patterns that has increased real estate 
        speculation and short-term timber management, placing natural 
        resources and valuable economic sectors at risk.
            (5) State and local governments and the people of the 
        region have made progress in addressing the region's economic 
        problems and will continue to work purposefully toward their 
        solution.
            (6) Economic development of the region is feasible, 
        desirable, and urgently needed.
            (7) Providing Federal assistance to the region is necessary 
        to address the region's special economic problems and promote 
        its economic development on a coordinated and concerted 
        regional basis.
            (8) In directing Federal assistance to the region, the 
        traditional industries of the region should be preserved, 
        including the manufacturing, tourism, forestry, natural 
        resources, agriculture, alternative transportation, 
        snowmobiling, and recreation industries. In addition, it is 
        desirable to support growing industries such as the creative 
        economy.
            (9) In directing Federal assistance to the region, the 
        historic character, recreational value, ecological integrity, 
        and productive capacity of the historic forestlands are 
        valuable resources that should be preserved to maximize 
        prosperity in the region.

SEC. 2. DEFINITIONS.

    In this Act, the following definitions apply:
            (1) Commission.--The term ``Commission'' means the 
        Northeast Regional Development Commission established by 
        section 3.
            (2) Federal grant program.--The term ``Federal grant 
        program'' means a Federal grant program to provide assistance 
        in carrying out economic and community development activities.
            (3) Non-profit entity.--The term ``non-profit entity'' 
        means any entity with tax-exempt or non-profit status, as 
        defined by the Internal Revenue Service.
            (4) Region.--The term ``region'' means the area covered by 
        the Commission (as described in section 15).

SEC. 3. NORTHEAST REGIONAL DEVELOPMENT COMMISSION.

    (a) Establishment.--
            (1) In general.--There is established the Northeast 
        Regional Development Commission.
            (2) Composition.--The Commission shall be composed of--
                    (A) a Federal member, to be appointed by the 
                President, with the advice and consent of the Senate; 
                and
                    (B) the Governor of each State in the region that 
                elects to participate in the Commission.
            (3) Cochairpersons.--The Commission shall be headed by--
                    (A) the Federal member, who shall serve--
                            (i) as the Federal cochairperson; and
                            (ii) as a liaison between the Federal 
                        Government and the Commission; and
                    (B) a State cochairperson, who--
                            (i) shall be a Governor of a participating 
                        State in the region; and
                            (ii) shall be elected by the State members 
                        for a term of not less than 1 year.
    (b) Alternate Members.--
            (1) State alternates.--
                    (A) Appointment.--The State member of a 
                participating State may have a single alternate, who 
                shall be appointed by the Governor of the State from 
                among the Governor's cabinet or personal staff.
                    (B) Voting.--An alternate shall vote in the event 
                of the absence, death, disability, removal, or 
                resignation of the member for whom the individual is an 
                alternate.
            (2) Alternate federal cochairperson.--The President shall 
        appoint an alternate Federal cochairperson.
            (3) Quorum.--
                    (A) In general.--Subject to the requirements of 
                this paragraph, the Commission shall determine what 
                constitutes a quorum of the Commission.
                    (B) Federal cochairperson.--The Federal 
                cochairperson or the Federal cochairperson's designee 
                must be present for the establishment of a quorum of 
                the Commission.
                    (C) State alternates.--A State alternate shall not 
                be counted toward the establishment of a quorum of the 
                Commission.
            (4) Delegation of power.--No power or responsibility of the 
        Commission specified in paragraphs (3) and (4) of subsection 
        (c), and no voting right of any Commission member, shall be 
        delegated to any person--
                    (A) who is not a Commission member; or
                    (B) who is not entitled to vote in Commission 
                meetings.
    (c) Decisions.--
            (1) Requirements for approval.--Except as provided in 
        subsection (g), decisions by the Commission shall require the 
        affirmative vote of the Federal cochairperson and of a majority 
        of the State members, exclusive of members representing States 
        delinquent under subsection (g)(2)(C).
            (2) Consultation.--In matters coming before the Commission, 
        the Federal cochairperson, to the extent practicable, shall 
        consult with the Federal departments and agencies having an 
        interest in the subject matter.
            (3) Decisions requiring quorum of state members.--The 
        following decisions may not be made without a quorum of State 
        members:
                    (A) A decision involving Commission policy.
                    (B) Approval of State, regional, or subregional 
                development plans or strategy statements.
                    (C) Modification or revision of the Commission's 
                code.
                    (D) Allocation of amounts among the States.
            (4) Project and grant proposals.--The approval of project 
        and grant proposals is a responsibility of the Commission and 
        shall be carried out in accordance with section 9.
    (d) Duties.--The Commission shall--
            (1) develop, on a continuing basis, comprehensive and 
        coordinated plans and programs to establish priorities and 
        approve grants for the economic development of the region, 
        giving due consideration to other Federal, State, and local 
        planning and development activities in the region;
            (2) not later than 365 days after the date of enactment of 
        this Act, establish priorities in a development plan for the 
        region (including 5-year regional outcome targets);
            (3) assess the needs and capital assets of the region based 
        on available research, demonstration projects, assessments, and 
        evaluations of the region prepared by Federal, State, or local 
        agencies, local development districts, and any other relevant 
        source;
            (4)(A) enhance the capacity of, and provide support for, 
        local development districts in the region; or
            (B) if no local development district exists in an area in a 
        participating State in the region, foster the creation of a 
        local development district;
            (5) allow the participation of representatives of local 
        development districts, and other appropriate organizations as 
        approved by the Commission, in all proceedings of the 
        Commission conducted under subsection (e)(1), either in-person 
        or through interactive telecommunications;
            (6) encourage private investment in industrial, commercial, 
        and other economic development projects in the region; and
            (7) not later than 365 days after the date of enactment of 
        this Act, initiate a special resource study for the north woods 
        of Maine, which study--
                    (A) shall be carried out in cooperation with 
                appropriate local, State, and Federal officials; and
                    (B) shall examine land use, ownership, and 
                development trends and propose options for future 
                management, ownership, conservation, and development of 
                land to maximize job creation and ecological value.
    (e) Administration.--In carrying out subsection (d), the Commission 
may--
            (1) hold such hearings, sit and act at such times and 
        places, take such testimony, receive such evidence, and print 
        or otherwise reproduce and distribute a description of the 
        proceedings and reports on actions by the Commission as the 
        Commission considers appropriate;
            (2) authorize, through the Federal or State cochairperson 
        or any other member of the Commission designated by the 
        Commission, the administration of oaths if the Commission 
        determines that testimony should be taken or evidence received 
        under oath;
            (3) request from any Federal, State, or local department or 
        agency such information as may be available to or procurable by 
        the department or agency that may be of use to the Commission 
        in carrying out duties of the Commission;
            (4) adopt, amend, and repeal bylaws and rules governing the 
        conduct of Commission business and the performance of 
        Commission duties;
            (5) request the head of any Federal department or agency to 
        detail to the Commission such personnel as the Commission 
        requires to carry out duties of the Commission, each such 
        detail to be without loss of seniority, pay, or other employee 
        status;
            (6) request the head of any State department or agency or 
        local government to detail to the Commission such personnel as 
        the Commission requires to carry out duties of the Commission, 
        each such detail to be without loss of seniority, pay, or other 
        employee status;
            (7) provide for coverage of Commission employees in a 
        suitable retirement and employee benefit system by--
                    (A) making arrangements or entering into contracts 
                with any participating State government; or
                    (B) otherwise providing retirement and other 
                employee benefit coverage;
            (8) accept, use, and dispose of gifts or donations of 
        services or real, personal, tangible, or intangible property;
            (9) enter into and perform such contracts or other 
        transactions as are necessary to carry out Commission duties;
            (10) establish and maintain a central office located within 
        the Northeast Regional Development Commission region and field 
        offices at such locations as the Commission may select; and
            (11) provide for an appropriate level of representation in 
        Washington, DC.
    (f) Federal Agency Cooperation.--A Federal agency shall--
            (1) cooperate with the Commission; and
            (2) provide, on request of the Federal cochairperson, 
        appropriate assistance in carrying out this Act, in accordance 
        with applicable Federal laws (including regulations).
    (g) Administrative Expenses.--
            (1) In general.--Administrative expenses of the Commission 
        (except for the expenses of the Federal cochairperson, 
        including expenses of the alternate and staff of the Federal 
        cochairperson, which shall be paid solely by the Federal 
        Government) shall be paid--
                    (A) by the Federal Government, in an amount equal 
                to 50 percent of the administrative expenses; and
                    (B) by the States in the region participating in 
                the Commission, in an amount equal to 50 percent of the 
                administrative expenses.
            (2) State share.--
                    (A) In general.--The share of administrative 
                expenses of the Commission to be paid by each State 
                shall be determined by the Commission.
                    (B) No federal participation.--The Federal 
                cochairperson shall not participate or vote in any 
                decision under subparagraph (A).
                    (C) Delinquent states.--If a State is delinquent in 
                payment of the State's share of administrative expenses 
                of the Commission under this subsection--
                            (i) no assistance under this Act shall be 
                        furnished to the State (including assistance to 
                        a political subdivision or a resident of the 
                        State); and
                            (ii) no member of the Commission from the 
                        State shall participate or vote in any action 
                        by the Commission.
    (h) Compensation.--
            (1) Federal cochairperson.--The Federal cochairperson shall 
        be compensated by the Federal Government at level III of the 
        Executive Schedule in subchapter II of chapter 53 of title V, 
        United States Code.
            (2) Alternate federal cochairperson.--The alternate Federal 
        cochairperson--
                    (A) shall be compensated by the Federal Government 
                at level V of the Executive Schedule described in 
                paragraph (1); and
                    (B) when not actively serving as an alternate for 
                the Federal cochairperson, shall perform such functions 
                and duties as are delegated by the Federal 
                cochairperson.
            (3) State members and alternates.--
                    (A) In general.--A State shall compensate each 
                member and alternate representing the State on the 
                Commission at the rate established by law of the State.
                    (B) No additional compensation.--No State member or 
                alternate member shall receive any salary, or any 
                contribution to or supplementation of salary from any 
                source other than the State for services provided by 
                the member or alternate to the Commission.
            (4) Detailed employees.--
                    (A) In general.--No person detailed to serve the 
                Commission under subsection (e)(6) shall receive any 
                salary or any contribution to or supplementation of 
                salary for services provided to the Commission from--
                            (i) any source other than the State, local, 
                        or intergovernmental department or agency from 
                        which the person was detailed; or
                            (ii) the Commission.
                    (B) Violation.--Any person that violates this 
                paragraph shall be fined not more than $5,000, 
                imprisoned not more than 1 year, or both.
                    (C) Applicable law.--The Federal cochairperson, the 
                alternate Federal cochairperson, and any Federal 
                officer or employee detailed to duty on the Commission 
                under subsection (e)(5) shall not be subject to 
                subparagraph (A), but shall remain subject to sections 
                202 through 209 of title 18, United States Code.
            (5) Additional personnel.--
                    (A) Compensation.--
                            (i) In general.--The Commission may appoint 
                        and fix the compensation of an executive 
                        director and such other personnel as are 
                        necessary to enable the Commission to carry out 
                        the duties of the Commission.
                            (ii) Exception.--Compensation under clause 
                        (i) shall not exceed the maximum rate for the 
                        Senior Executive Service under section 5382 of 
                        title 5, United States Code, including any 
                        applicable locality-based comparability payment 
                        that may be authorized under section 
                        5304(h)(2)(C) of that title.
                    (B) Executive director.--The executive director 
                shall be responsible for--
                            (i) the carrying out of the administrative 
                        duties of the Commission;
                            (ii) direction of the Commission staff; and
                            (iii) such other duties as the Commission 
                        may assign.
                    (C) No federal employee status.--No member, 
                alternate, officer, or employee of the Commission 
                (except the Federal cochairperson of the Commission, 
                the alternate and staff for the Federal cochairperson, 
                and any Federal employee detailed to the Commission 
                under subsection (e)(5)) shall be considered to be a 
                Federal employee for any purpose.
    (i) Conflicts of Interest.--
            (1) In general.--Except as provided under paragraph (2), no 
        State member, alternate, officer, or employee of the Commission 
        shall participate personally and substantially as a member, 
        alternate, officer, or employee of the Commission, through 
        decision, approval, disapproval, recommendation, the rendering 
        of advice, investigation, or otherwise, in any proceeding, 
        application, request for a ruling or other determination, 
        contract, claim, controversy, or other matter in which, to 
        knowledge of the member, alternate, officer, or employee any of 
        the following persons has a financial interest:
                    (A) The member, alternate, officer, or employee.
                    (B) The spouse, minor child, partner, or 
                organization (other than a State or political 
                subdivision of the State) of the member, alternate, 
                officer, or employee, in which the member, alternate, 
                officer, or employee is serving as officer, director, 
                trustee, partner, or employee.
                    (C) Any person or organization with whom the 
                member, alternate, officer, or employee is negotiating 
                or has any arrangement concerning prospective 
                employment.
            (2) Disclosure.--Paragraph (1) shall not apply if the State 
        member, alternate, officer, or employee--
                    (A) immediately advises the Commission of the 
                nature and circumstances of the proceeding, 
                application, request for a ruling or other 
                determination, contract, claim, controversy, or other 
                particular matter presenting a potential conflict of 
                interest;
                    (B) makes full disclosure of the financial 
                interest; and
                    (C) before the proceeding concerning the matter 
                presenting the conflict of interest, receives a written 
                determination by the Commission that the interest is 
                not so substantial as to be likely to affect the 
                integrity of the services that the Commission may 
                expect from the State member, alternate, officer, or 
                employee.
            (3) Violation.--Any person that violates this subsection 
        shall be fined not more than $10,000, imprisoned not more than 
        2 years, or both.
    (j) Validity of Contracts, Loans, and Grants.--The Commission may 
declare void any contract, loan, or grant of or by the Commission in 
relation to which the Commission determines that there has been a 
violation of any provision under subsection (h)(4), subsection (i), or 
sections 202 through 209 of title 18, United States Code.

SEC. 4. ECONOMIC AND COMMUNITY DEVELOPMENT GRANTS.

    (a) In General.--The Commission may approve grants to States, local 
development districts (as defined in section 6(a)), and public and 
nonprofit entities for projects, approved in accordance with section 
9--
            (1) to develop the infrastructure of the region for the 
        purpose of facilitating economic development in the region 
        (except that grants for this purpose may only be made to a 
        State or local government);
            (2) to assist the region in obtaining job training, 
        employment-related education, and business development;
            (3) to assist the region in community and economic 
        development;
            (4) to provide assistance to severely distressed and 
        underdeveloped areas;
            (5) to support conservation of important natural, 
        recreational, and historical resources; and
            (6) to otherwise achieve the purposes of this Act.
    (b) Funding.--
            (1) In general.--Funds for grants under subsection (a) may 
        be provided--
                    (A) entirely from appropriations to carry out this 
                section;
                    (B) in combination with funds available under 
                another State or Federal grant program; or
                    (C) from any other source.
            (2) Eligible projects.--The Commission may provide 
        assistance, make grants, enter into contracts, and otherwise 
        provide funds to eligible entities in the region for projects 
        that promote--
                    (A) business development;
                    (B) job training or employment-related education;
                    (C) local planning and leadership development;
                    (D) basic public infrastructure, including high-
                tech infrastructure and productive natural resource 
                conservation;
                    (E) information and technical assistance for the 
                modernization and diversification of the forest 
                products industry to support value-added forest 
                products enterprises;
                    (F) forest-related cultural, nature-based, and 
                heritage tourism; and
                    (G) any other project facilitating economic 
                development in the region.
            (3) Federal share.--Notwithstanding any provision of law 
        limiting the Federal share in any grant program, funds 
        appropriated to carry out this section may be used to increase 
        a Federal share in a grant program, as the Commission 
        determines appropriate.

SEC. 5. SUPPLEMENTS TO FEDERAL GRANT PROGRAMS.

    (a) Federal Grant Program Funding.--In accordance with subsection 
(b), the Federal cochairperson may use amounts made available to carry 
out this Act, without regard to any limitations on areas eligible for 
assistance or authorizations for appropriation under any other Act, to 
fund all or any portion of the basic Federal contribution to a project 
or activity under a Federal grant program in the region in an amount 
that is above the fixed maximum portion of the cost of the project 
otherwise authorized by applicable law, but not to exceed 80 percent of 
the costs of the project.
    (b) Certification.--
            (1) In general.--In the case of any program or project for 
        which all or any portion of the basic Federal contribution to 
        the project under a Federal grant program is proposed to be 
        made under this section, no Federal contribution shall be made 
        until the Federal official administering the Federal law 
        authorizing the contribution certifies that the program or 
        project--
                    (A) meets the applicable requirements of the 
                applicable Federal grant law; and
                    (B) could be approved for Federal contribution 
                under the law if funds were available under the law for 
                the program or project.
            (2) Certification by commission.--
                    (A) In general.--The certifications and 
                determinations required to be made by the Commission 
                for approval of projects under this Act in accordance 
                with section 9--
                            (i) shall be controlling; and
                            (ii) shall be accepted by the Federal 
                        agencies.
                    (B) Acceptance by federal cochairperson.--Any 
                finding, report, certification, or documentation 
                required to be submitted to the head of the department, 
                agency, or instrumentality of the Federal Government 
                responsible for the administration of any Federal grant 
                program shall be accepted by the Federal cochairperson 
                with respect to a supplemental grant for any project 
                under the program.

SEC. 6. LOCAL DEVELOPMENT DISTRICTS; CERTIFICATION AND ADMINISTRATIVE 
              EXPENSES.

    (a) Definition of Local Development District.--In this section, the 
term ``local development district'' means an entity designated by the 
State that--
            (1) is--
                    (A)(i) a planning district in existence on the date 
                of enactment of this Act that is recognized by the 
                Economic Development Administration of the Department 
                of Commerce; or
                    (ii) a development district recognized by the 
                State; or
                    (B) if an entity described in subparagraph (A)(i) 
                or (A)(ii) does not exist, an entity designated by the 
                Commission that satisfies the criteria developed by the 
                Economic Development Administration for a local 
                development district; and
            (2) has not, as certified by the Federal cochairperson--
                    (A) inappropriately used Federal grant funds from 
                any Federal source; or
                    (B) appointed an officer who, during the period in 
                which another entity inappropriately used Federal grant 
                funds from any Federal source, was an officer of the 
                other entity.
    (b) Grants to Local Development Districts.--
            (1) In general.--The Commission may make grants for 
        administrative expenses under this section.
            (2) Conditions for grants.--
                    (A) Maximum amount.--The amount of any grant 
                awarded under paragraph (1) shall not exceed 80 percent 
                of the administrative expenses of the local development 
                district receiving the grant.
                    (B) Local share.--The contributions of a local 
                development district for administrative expenses may be 
                in cash or in kind, fairly evaluated, including space, 
                equipment, and services.
    (c) Duties of Local Development Districts.--A local development 
district shall--
            (1) operate as a lead organization serving multicounty 
        areas in the region at the local level; and
            (2) serve as a liaison between State and local governments, 
        nonprofit organizations (including community-based groups and 
        educational institutions), the business community, and citizens 
        that--
                    (A) are involved in multijurisdictional planning;
                    (B) provide technical assistance to local 
                jurisdictions and potential grantees; and
                    (C) provide leadership and civic development 
                assistance.

SEC. 7. DEVELOPMENT PLANNING PROCESS.

    (a) State Development Plan.--In accordance with policies 
established by the Commission, each State member shall submit a 
development plan for the area of the region represented by the State 
member.
    (b) Content of Plan.--A State development plan submitted under 
subsection (a) shall reflect the goals, objectives, and priorities 
identified in the regional development plan developed under section 
3(d)(2).
    (c) Consultation.--In carrying out the development planning 
process, a State shall--
            (1) consult with--
                    (A) local development districts;
                    (B) local units of government; and
                    (C) institutions of higher learning; and
            (2) take into consideration the goals, objectives, 
        priorities, and recommendations of the entities described in 
        paragraph (1).
    (d) Public Participation.--The Commission and applicable State and 
local development districts shall encourage and assist, to the maximum 
extent practicable, public participation in the development, revision, 
and implementation of all plans and programs under this Act.

SEC. 8. PROGRAM DEVELOPMENT CRITERIA.

    (a) In General.--In considering programs and projects to be 
provided assistance under this Act, and in establishing a priority 
ranking of the requests for assistance provided by the Commission, the 
Commission shall follow procedures that ensure, to the maximum extent 
practicable, consideration of--
            (1) the relationship of the project to overall regional 
        development;
            (2) the economic distress of an area, including the per 
        capita income, outmigration, poverty and unemployment rates, 
        and other socioeconomic indicators for the area;
            (3) the financial resources available to the applicants for 
        assistance seeking to carry out the project, with emphasis on 
        ensuring that projects are adequately financed to maximize the 
        probability of successful economic development;
            (4) the importance of the project in relation to other 
        projects that may be in competition for the same funds;
            (5) the prospects that the project for which assistance is 
        sought will improve, on a continuing rather than a temporary 
        basis, the opportunities for employment, the average level of 
        income, or the economic development of the area served by the 
        project;
            (6) the extent to which the project design provides for 
        detailed outcome measurements by which grant expenditures and 
        the results of the expenditures may be evaluated; and
            (7) the preservation of multiple uses, or conservation, of 
        natural resources.
    (b) No Relocation Assistance.--No financial assistance authorized 
by this Act shall be used to assist an establishment in relocating from 
1 area to another.
    (c) Reduction of Funds.--Funds may be provided for a program or 
project in a State under this Act only if the Commission determines 
that the level of Federal or State financial assistance provided under 
a law other than this Act, for the same type of program or project in 
the same area of the State within the region, will not be reduced as a 
result of funds made available by this Act.

SEC. 9. APPROVAL OF DEVELOPMENT PLANS AND PROJECTS.

    (a) In General.--A State or regional development plan or any 
multistate subregional plan that is proposed for development under this 
Act shall be reviewed by the Commission.
    (b) Evaluation by State Member.--An application for a grant or any 
other assistance for a project under this Act shall be made through and 
evaluated for approval by the State member of the Commission 
representing the applicant.
    (c) Certification.--An application for a grant or other assistance 
for a project shall be approved only on certification by the State 
member and Federal cochairperson that the application for the project--
            (1) describes ways in which the project complies with any 
        applicable State development plan;
            (2) meets applicable criteria under section 8;
            (3) provides adequate assurance that the proposed project 
        will be properly administered, operated, and maintained; and
            (4) otherwise meets the requirements of this Act.
    (d) Votes for Decisions.--Upon certification of an application for 
a grant or other assistance for a specific project under this section, 
an affirmative vote of the Commission under section 3(c) shall be 
required for approval of the application.

SEC. 10. CONSENT OF STATES.

    Nothing in this Act requires any State to engage in or accept any 
program under this Act without the consent of the State.

SEC. 11. RECORDS.

    (a) Records of the Commission.--
            (1) In general.--The Commission shall maintain accurate and 
        complete records of all transactions and activities of the 
        Commission.
            (2) Availability.--All records of the Commission shall be 
        available for audit and examination by the Comptroller General 
        of the United States (including authorized representatives of 
        the Comptroller General).
    (b) Records of Recipients of Federal Assistance.--
            (1) In general.--A recipient of Federal funds under this 
        Act shall, as required by the Commission, maintain accurate and 
        complete records of transactions and activities financed with 
        Federal funds and report on the transactions and activities to 
        the Commission.
            (2) Availability.--All records required under paragraph (1) 
        shall be available for audit by the Comptroller General of the 
        United States, and the Commission (including authorized 
        representatives of the Comptroller General, and the 
        Commission).

SEC. 12. ANNUAL REPORT.

    Not later than 180 days after the end of each fiscal year, the 
Commission shall submit to the President and to Congress a report 
describing the activities carried out under this Act.

SEC. 13. AUTHORIZATION OF APPROPRIATIONS.

    (a) In General.--There is authorized to be appropriated to the 
Commission to carry out this Act $40,000,000 for each of fiscal years 
2006 through 2010, to remain available until expended.
    (b) Administrative Expenses.--Not more than 5 percent of the amount 
appropriated under subsection (a) for a fiscal year shall be used for 
administrative expenses of the Commission.

SEC. 14. TERMINATION OF COMMISSION.

    This Act shall have no force or effect on or after October 1, 2010.

SEC. 15. REGION OF NORTHEAST REGIONAL DEVELOPMENT COMMISSION.

    (a) In General.--The region of the Northeast Regional Development 
Commission shall consist of the following: [To Be Supplied (to include 
all appropriate economically distressed counties and economically 
distressed areas within other counties)].
    (b) Addition of Counties and Areas.--
            (1) Recommendations.--As part of an annual report submitted 
        under section 12, the Commission may recommend additional 
        counties or areas for inclusion in the region.
            (2) Areas of economic distress.--The Commission may 
        recommend that an entire county be included in the region on 
        the basis of distressed areas within the county.
            (3) Assessments of economic conditions.--The Commission may 
        provide technical and financial assistance to a county that is 
        not included in the region for the purpose of conducting an 
        economic assessment of the county. The results of such an 
        assessment may be used by the Commission in making 
        recommendations under paragraph (1).
    (c) Limitation.--A county eligible for assistance from the 
Appalachian Regional Commission under subtitle IV of title 40, United 
States Code, shall not be eligible for assistance from the Northeast 
Regional Development Commission.
                                 <all>
```