I 
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 re-
ferred to the Committee on Transportation and Infrastructure, and in ad-
dition to the Committee on Financial Services, for a period to be subse-
quently 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 Representa-
tives 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 Na-
tion, while abundant in natural resources and rich in 
potential, lags behind much of the Nation in its eco-
nomic growth, and its people have not shared prop-
erly 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 migra-
tion in the region have contributed greatly to the re-
gion’s difficulties in entrepreneurial development and 
sustainability. 
(4) The region has experienced an unprece-
dented change in land ownership patterns that has 
increased real estate speculation and short-term tim-
ber management, placing natural resources and val-
uable 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 fea-
sible, 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 re-
gion, the traditional industries of the region should 
be preserved, including the manufacturing, tourism, 
forestry, natural resources, agriculture, alternative 
transportation, snowmobiling, and recreation indus-
tries. In addition, it is desirable to support growing 
industries such as the creative economy. 
(9) In directing Federal assistance to the re-
gion, the historic character, recreational value, eco-
logical integrity, and productive capacity of the his-
toric 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 Com-
mission established by section 3. 
(2) FEDERAL
GRANT
PROGRAM.—The term 
‘‘Federal grant program’’ means a Federal grant 
program to provide assistance in carrying out eco-
nomic and community development activities.
(3) NON-PROFIT ENTITY.—The term ‘‘non-prof-
it 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 sec-
tion 15). 
SEC. 3. NORTHEAST REGIONAL DEVELOPMENT COMMIS-
SION. 
(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 re-
gion that elects to participate in the Commis-
sion. 
(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 partici-
pating State in the region; and 
(ii) shall be elected by the State mem-
bers 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 alter-
nate, 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, re-
moval, or resignation of the member for whom 
the individual is an alternate. 
(2) ALTERNATE FEDERAL COCHAIRPERSON.—
The President shall appoint an alternate Federal co-
chairperson. 
(3) QUORUM.—
(A) IN GENERAL.—Subject to the require-
ments of this paragraph, the Commission shall
determine what constitutes a quorum of the 
Commission. 
(B) 
FEDERAL
COCHAIRPERSON.—The 
Federal cochairperson or the Federal cochair-
person’s designee must be present for the estab-
lishment of a quorum of the Commission. 
(C) STATE ALTERNATES.—A State alter-
nate shall not be counted toward the establish-
ment of a quorum of the Commission. 
(4) DELEGATION OF POWER.—No power or re-
sponsibility of the Commission specified in para-
graphs (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 Commis-
sion meetings. 
(c) DECISIONS.—
(1) REQUIREMENTS
FOR
APPROVAL.—Except 
as provided in subsection (g), decisions by the Com-
mission shall require the affirmative vote of the Fed-
eral 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 de-
partments 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 pol-
icy. 
(B) Approval of State, regional, or sub-
regional development plans or strategy state-
ments. 
(C) Modification or revision of the Com-
mission’s code. 
(D) Allocation of amounts among the 
States. 
(4) PROJECT AND GRANT PROPOSALS.—The ap-
proval of project and grant proposals is a responsi-
bility of the Commission and shall be carried out in 
accordance with section 9. 
(d) DUTIES.—The Commission shall—
(1) develop, on a continuing basis, comprehen-
sive and coordinated plans and programs to establish 
priorities and approve grants for the economic devel-
opment of the region, giving due consideration to 
other Federal, State, and local planning and devel-
opment activities in the region; 
(2) not later than 365 days after the date of 
enactment of this Act, establish priorities in a devel-
opment plan for the region (including 5-year re-
gional 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 or-
ganizations as approved by the Commission, in all 
proceedings of the Commission conducted under sub-
section (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 fu-
ture 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 dis-
tribute a description of the proceedings and reports 
on actions by the Commission as the Commission 
considers appropriate; 
(2) authorize, through the Federal or State co-
chairperson 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 car-
rying 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 per-
sonnel as the Commission requires to carry out du-
ties of the Commission, each such detail to be with-
out 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 Com-
mission such personnel as the Commission requires 
to carry out duties of the Commission, each such de-
tail to be without loss of seniority, pay, or other em-
ployee status; 
(7) provide for coverage of Commission employ-
ees in a suitable retirement and employee benefit 
system by—
(A) making arrangements or entering into 
contracts with any participating State govern-
ment; or 
(B) otherwise providing retirement and 
other employee benefit coverage; 
(8) accept, use, and dispose of gifts or dona-
tions of services or real, personal, tangible, or intan-
gible 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 lo-
cated 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 rep-
resentation in Washington, DC. 
(f) FEDERAL AGENCY COOPERATION.—A Federal 
agency shall—
(1) cooperate with the Commission; and 
(2) provide, on request of the Federal cochair-
person, appropriate assistance in carrying out this 
Act, in accordance with applicable Federal laws (in-
cluding regulations). 
(g) ADMINISTRATIVE EXPENSES.—
(1) IN GENERAL.—Administrative expenses of 
the Commission (except for the expenses of the Fed-
eral cochairperson, including expenses of the alter-
nate 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 administra-
tive expenses; and 
(B) by the States in the region partici-
pating in the Commission, in an amount equal 
to 50 percent of the administrative expenses. 
(2) STATE SHARE.—
(A) IN GENERAL.—The share of adminis-
trative expenses of the Commission to be paid 
by each State shall be determined by the Com-
mission. 
(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—