IIB 
108TH CONGRESS 
1ST SESSION H. R. 2535
IN THE SENATE OF THE UNITED STATES 
OCTOBER 21, 2003
Received; read twice and referred to the Committee on Environment and 
Public Works 
AN ACT 
To reauthorize and improve the program authorized by the 
Public Works and Economic Development Act of 1965.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
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SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Economic Development Administration Reauthorization 
Act of 2003’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows:
Sec. 1. Short title; table of contents. 
Sec. 2. Amendments to Public Works and Economic Development Act of 1965. 
TITLE I—GENERAL PROVISIONS 
Sec. 101. Findings and declarations. 
Sec. 102. Definitions. 
Sec. 103. Establishment of economic development partnerships. 
Sec. 104. Coordination. 
TITLE II—GRANTS FOR PUBLIC WORKS AND ECONOMIC 
DEVELOPMENT 
Sec. 201. Grants for planning. 
Sec. 202. Cost sharing. 
Sec. 203. Supplementary grants. 
Sec. 204. Regulations on relative needs and allocations. 
Sec. 205. Grants for training, research, and technical assistance. 
Sec. 206. Prevention of unfair competition. 
Sec. 207. Grants for economic adjustment. 
Sec. 208. Use of funds in projects constructed under projected cost. 
Sec. 209. Special impact areas. 
Sec. 210. Performance awards. 
Sec. 211. Planning performance awards. 
Sec. 212. Subgrants. 
Sec. 213. Brownfields redevelopment. 
Sec. 214. Brightfields demonstration program. 
TITLE III—COMPREHENSIVE ECONOMIC DEVELOPMENT 
STRATEGIES 
Sec. 301. Comprehensive economic development strategies. 
TITLE IV—ECONOMIC DEVELOPMENT DISTRICTS 
Sec. 401. Incentives. 
Sec. 402. Provision of comprehensive economic development strategies to re-
gional commissions. 
TITLE V—ADMINISTRATION 
Sec. 501. Economic development information clearinghouse. 
Sec. 502. Businesses desiring Federal contracts. 
Sec. 503. Performance evaluations of grant recipients. 
Sec. 504. Conforming amendments.
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TITLE VI—MISCELLANEOUS 
Sec. 601. Relationship to assistance under other law. 
Sec. 602. Sense of Congress regarding economic development representatives. 
TITLE VII—FUNDING 
Sec. 701. Authorization of appropriations. 
TITLE VIII—APPALACHIAN REGIONAL DEVELOPMENT 
Sec. 801. Additions to appalachian region. 
Sec. 802. Authorization of appropriations.
SEC. 2. AMENDMENTS TO PUBLIC WORKS AND ECONOMIC 
DEVELOPMENT ACT OF 1965. 
Except as otherwise expressly provided, whenever in 
this Act an amendment or repeal is expressed in terms 
of an amendment to, or a repeal of, a section or other 
provision, the reference shall be considered to be made to 
a section or other provision of the Public Works and Eco-
nomic Development Act of 1965 (42 U.S.C. 3121 et seq.). 
TITLE I—GENERAL PROVISIONS 
SEC. 101. FINDINGS AND DECLARATIONS. 
Section 2 (42 U.S.C. 3121) is amended to read as 
follows: 
‘‘SEC. 2. FINDINGS AND DECLARATIONS. 
‘‘(a) FINDINGS.—Congress finds the following: 
‘‘(1) There continue to be areas experiencing 
chronic high unemployment, underemployment, out-
migration, and low per capita incomes, as well as 
areas facing sudden and severe economic dislocations 
due to structural economic changes, changing trade 
patterns, certain Federal actions (including environ-
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mental requirements that result in the removal of 
economic activities from a locality), and natural dis-
asters. 
‘‘(2) Economic growth in our Nation, States, 
cities, and rural areas is produced by expanding eco-
nomic opportunities, expanding free enterprise 
through trade, developing and strengthening public 
infrastructure, and creating a climate for job cre-
ation and business development. 
‘‘(3) The goal of Federal economic development 
programs is to raise the standard of living for all 
citizens and increase the wealth and overall rate of 
growth of the economy by encouraging communities 
to develop a more competitive and diversified eco-
nomic base by—
‘‘(A) creating an environment that pro-
motes economic activity by improving and ex-
panding public infrastructure; 
‘‘(B) promoting job creation through in-
creased innovation, productivity, and entrepre-
neurship; and 
‘‘(C) empowering local and regional com-
munities experiencing chronic high unemploy-
ment and low per capita income to develop pri-
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vate sector business and attract increased pri-
vate sector capital investment.
‘‘(4) While economic development is an inher-
ently local process, the Federal Government should 
work in partnership with public and private local, re-
gional, tribal, and State organizations to maximize 
the impact of existing resources and enable regions, 
communities, and citizens to participate more fully 
in the American dream and national prosperity. 
‘‘(5) In order to avoid duplication of effort and 
achieve meaningful, long-lasting results, Federal, 
State, tribal, and local economic development activi-
ties should have a clear focus, improved coordina-
tion, a comprehensive approach, and simplified and 
consistent requirements. 
‘‘(6) Federal economic development efforts will 
be more effective if they are coordinated with, and 
build upon, the trade, workforce investment, trans-
portation, and technology programs of the United 
States. 
‘‘(b) DECLARATIONS.—In order to promote a strong 
and growing economy throughout the United States, Con-
gress declares the following:
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‘‘(1) Assistance under this Act should be made 
available to both rural- and urban-distressed com-
munities. 
‘‘(2) Local communities should work in partner-
ship with neighboring communities, the States, In-
dian tribes, and the Federal Government to increase 
their capacity to develop and implement comprehen-
sive economic development strategies to alleviate eco-
nomic distress and enhance competitiveness in the 
global economy. 
‘‘(3) Whether suffering from long-term distress 
or a sudden dislocation, distressed communities 
should be encouraged to support entrepreneurship to 
take advantage of the development opportunities af-
forded by technological innovation and expanding 
newly opened global markets.’’. 
SEC. 102. DEFINITIONS. 
(a) ELIGIBLE
RECIPIENT.—Section 3(4)(A) (42 
U.S.C. 3122(4)(A)) is amended—
(1) by striking clause (i) and redesignating 
clauses (ii) through (vii) as clauses (i) through (vi), 
respectively; and 
(2) in clause (iv) (as so redesignated) by insert-
ing ‘‘, including a special purpose unit of a State or
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local government engaged in economic or infrastruc-
ture development activities,’’ after ‘‘State’’. 
(b) REGIONAL COMMISSIONS.—Section 3 (42 U.S.C. 
3122) is amended—
(1) by redesignating paragraphs (8), (9), and 
(10) as paragraphs (9), (10), and (11), respectively; 
and 
(2) by inserting after paragraph (7) the fol-
lowing: 
‘‘(8) REGIONAL COMMISSIONS.—The term ‘Re-
gional Commissions’ means the following entities: 
‘‘(A) The Appalachian Regional Commis-
sion established under chapter 143 of title 40, 
United States Code. 
‘‘(B) The Delta Regional Authority estab-
lished under subtitle F of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 
2009aa et seq.). 
‘‘(C) The Denali Commission established 
under the Denali Commission Act of 1998 (42 
U.S.C. 2131 note; 112 Stat. 2681–637 et seq.). 
‘‘(D) The Northern Great Plains Regional 
Authority established under subtitle F of the 
Consolidated Farm and Rural Development Act 
(7 U.S.C. 2009bb et seq.).’’.
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(c) UNIVERSITY CENTER.—Section 3 (42 U.S.C. 
3122) is amended by adding at the end the following: 
‘‘(12) UNIVERSITY CENTER.—The term ‘univer-
sity center’ means an institution of higher education 
or a consortium of institutions of higher education 
established as a University Center for Economic De-
velopment under section 207(a)(2)(D).’’. 
SEC. 103. ESTABLISHMENT OF ECONOMIC DEVELOPMENT 
PARTNERSHIPS. 
Section 101 (42 U.S.C. 3131) is amended—
(1) in subsection (b) by striking ‘‘and multi-
State regional organizations’’ and inserting ‘‘multi-
State regional organizations, and nonprofit organiza-
tions’’; and 
(2) in subsection (d)(1) by striking ‘‘adjoining’’ 
each place it appears. 
SEC. 104. COORDINATION. 
Section 103 (42 U.S.C. 3132) is amended—
(1) by inserting ‘‘(a) IN GENERAL.—’’ before 
‘‘The Secretary’’; 
(2) in subsection (a) (as so designated) by in-
serting ‘‘Indian tribes,’’ after ‘‘districts,’’; and 
(3) by adding at the end the following: 
‘‘(b) MEETINGS.—To carry out the responsibilities in 
subsection (a), or for any other purpose related to eco-
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nomic development activities, the Secretary may convene 
meetings with Federal agencies, State and local govern-
ments, economic development districts, Indian tribes, and 
other appropriate planning and development organiza-
tions.’’. 
TITLE II—GRANTS FOR PUBLIC 
WORKS AND ECONOMIC DE-
VELOPMENT 
SEC. 201. GRANTS FOR PLANNING. 
Section 203(d) (42 U.S.C. 3143(d)) is amended—
(1) in paragraph (1) by inserting ‘‘, to the max-
imum extent practicable,’’ after ‘‘developed’’ the sec-
ond place it appears; 
(2) by striking paragraph (3) and inserting the 
following: 
‘‘(3) COORDINATION.—Before providing assist-
ance for a State plan under this section, the Sec-
retary shall consider the extent to which the State 
will consider local and economic development district 
plans.’’; and 
(3) in paragraph (4)—
(A) by striking ‘‘and’’ at the end of sub-
paragraph (C); 
(B) by redesignating subparagraph (D) as 
subparagraph (E); and
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(C) by adding after subparagraph (C) the 
following: 
‘‘(D) assist in carrying out a State’s work-
force investment strategy; and’’.
SEC. 202. COST SHARING. 
(a) FEDERAL SHARE.—Section 204(a) (42 U.S.C. 
3144(a)) is amended to read as follows: 
‘‘(a) FEDERAL SHARE.—The Secretary shall issue 
regulations to establish the Federal share of the cost of 
projects carried out under this title based on the relative 
needs of the areas in which the projects will be located. 
Except as provided in subsection (c), the Federal share 
of the cost of any project carried out under this title shall 
not exceed 80 percent.’’. 
(b) NON-FEDERAL
SHARE.—Section 204(b) (42 
U.S.C. 3144(b)) is amended by inserting ‘‘assumptions of 
debt,’’ after ‘‘equipment,’’. 
(c) INCREASE IN FEDERAL SHARE.—Section 204 (42 
U.S.C. 3144) is amended by adding at the end the fol-
lowing: 
‘‘(c) INCREASE IN FEDERAL SHARE.—
‘‘(1) INDIAN TRIBES.—In the case of a grant to 
an Indian tribe for a project under this title, the 
Secretary may increase the Federal share above the
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percentage specified in subsection (a) up to 100 per-
cent of the cost of the project. 
‘‘(2) CERTAIN
STATES, POLITICAL
SUBDIVI-
SIONS, AND
NONPROFIT
ORGANIZATIONS.—In the 
case of a grant to a State, or a political subdivision 
of a State, that the Secretary determines has ex-
hausted its effective taxing and borrowing capacity, 
or in the case of a grant to a nonprofit organization 
that the Secretary determines has exhausted its ef-
fective borrowing capacity, the Secretary may in-
crease the Federal share above the percentage speci-
fied in subsection (a) up to 100 percent of the cost 
of the project.’’. 
(d) PLANNING GRANTS.—Section 204 (42 U.S.C. 
3144) is further amended by adding at the end the fol-
lowing: 
‘‘(d) PLANNING
GRANTS.—Notwithstanding sub-
section (a), the Federal share of the costs of planning ac-
tivities under section 203 shall be at least 65 percent and 
not more than 80 percent.’’. 
SEC. 203. SUPPLEMENTARY GRANTS. 
(a) IN
GENERAL.—Section 205(b) (42 U.S.C. 
3145(b)) is amended to read as follows: 
‘‘(b) SUPPLEMENTARY GRANTS.—Subject to sub-
section (c), in order to assist eligible recipients in taking
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advantage of designated Federal grant programs, on the 
application of an eligible recipient, the Secretary may 
make a supplementary grant for a project for which the 
recipient is eligible but for which the recipient cannot pro-
vide the required non-Federal share because of the recipi-
ent’s economic situation.’’. 
(b) 
REQUIREMENTS
APPLICABLE
TO
SUPPLE-
MENTARY GRANTS.—Section 205(c) (42 U.S.C. 3145(c)) 
is amended—
(1) by striking paragraphs (1) and (2) and in-
serting the following: 
‘‘(1) AMOUNT OF SUPPLEMENTARY GRANTS.—
The share of the project cost supported by a supple-
mentary grant under this section may not exceed the 
applicable Federal share under section 204. 
‘‘(2) FORM OF SUPPLEMENTARY GRANTS.—The 
Secretary shall make supplementary grants by—
‘‘(A) the payment of funds made available 
under this Act to the heads of the Federal 
agencies responsible for carrying out the appli-
cable Federal programs; or 
‘‘(B) the award of funds under this Act, 
which will be combined with funds transferred 
from other Federal agencies in projects admin-
istered by the Secretary.’’; and