IB 
Union Calendar No. 12 
110TH CONGRESS 
1ST SESSION 
H. R. 799 
[Report No. 110–33] 
To reauthorize and improve the program authorized by the Appalachian 
Regional Development Act of 1965. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 5, 2007 
Mr. OBERSTAR (for himself, Mr. MICA, Ms. NORTON, Mr. GRAVES, Mr. RA-
HALL, Mr. LATOURETTE, Mr. HOLDEN, Mr. SHUSTER, Mr. MICHAUD, 
Mr. KUHL of New York, Mr. HIGGINS, Mr. SPACE, Mr. ALTMIRE, Mr. 
WALZ of Minnesota, Mr. SHULER, Mr. ARCURI, Mr. CARNEY, Mr. 
COHEN, Mr. DOYLE, Mr. BOUCHER, Mr. MOLLOHAN, Mr. WILSON of 
Ohio, Mr. KANJORSKI, Mr. LINCOLN DAVIS of Tennessee, Mr. MAR-
SHALL, and Mr. SCOTT of Georgia) introduced the following bill; which 
was referred to the Committee on Transportation and Infrastructure 
MARCH 6, 2007 
Reported with an amendment, committed to the Committee of the Whole 
House on the State of the Union, and ordered to be printed 
[Strike out all after the enacting clause and insert the part printed in italic] 
[For text of introduced bill, see copy of bill as introduced on February 5, 2007] 
A BILL 
To reauthorize and improve the program authorized by the 
Appalachian Regional 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. 
This Act may be cited as the ‘‘Appalachian Regional 
Development Act Amendments of 2007’’. 
SEC. 2. LIMITATION ON AVAILABLE AMOUNTS; MAXIMUM 
COMMISSION CONTRIBUTION. 
(a) GRANTS
AND
OTHER
ASSISTANCE.—Section 
14321(a) of title 40, United States Code, is amended— 
(1) by striking paragraph (1)(A)(i) and insert-
ing the following: 
‘‘(i) the amount of the grant shall not 
exceed— 
‘‘(I) 50 percent of administrative 
expenses; 
‘‘(II) at the discretion of the Com-
mission, if the grant is to a local devel-
opment district that has a charter or 
authority that includes the economic 
development of a county or a part of a 
county for which a distressed county 
designation is in effect under section 
14526, 75 percent of administrative ex-
penses; or 
‘‘(III) at the discretion of the 
Commission, if the grant is to a local 
development district that has a charter 
or authority that includes the economic 
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development of a county or a part of a 
county for which an at-risk county des-
ignation is in effect under section 
14526, 70 percent of administrative ex-
penses;’’; and 
(2) by striking paragraph (2)(A) and inserting 
the following: 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraph (B), of the cost of any activity eli-
gible for financial assistance under this section, 
not more than— 
‘‘(i) 50 percent may be provided from 
amounts appropriated to carry out this sub-
title; 
‘‘(ii) in the case of a project to be car-
ried out in a county for which a distressed 
county designation is in effect under section 
14526, 80 percent may be provided from 
amounts appropriated to carry out this sub-
title; or 
‘‘(iii) in the case of a project to be car-
ried out in a county for which an at-risk 
county designation is in effect under section 
14526, 70 percent may be provided from 
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amounts appropriated to carry out this sub-
title.’’. 
(b) DEMONSTRATION HEALTH PROJECTS.—Section 
14502 of title 40, United States Code, is amended— 
(1) by striking subsection (d)(2) and inserting 
the following: 
‘‘(2) LIMITATION
ON
AVAILABLE
AMOUNTS.— 
Grants under this section for the operation (including 
initial operating amounts and operating deficits, 
which include the cost of attracting, training, and re-
taining qualified personnel) of a demonstration health 
project, whether or not constructed with amounts au-
thorized by this section, may be made for up to— 
‘‘(A) 50 percent of the cost of that oper-
ation; 
‘‘(B) in the case of a project to be carried 
out in a county for which a distressed county 
designation is in effect under section 14526, 80 
percent of the cost of that operation; or 
‘‘(C) in the case of a project to be carried 
out for a county for which an at-risk county des-
ignation is in effect under section 14526, 70 per-
cent of the cost of that operation.’’; and 
(2) in subsection (f)— 
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(A) in paragraph (1) by striking ‘‘para-
graph (2)’’ and inserting ‘‘paragraphs (2) and 
(3)’’; and 
(B) by adding at the end the following: 
‘‘(3) AT-RISK COUNTIES.—The maximum Com-
mission contribution for a project to be carried out in 
a county for which an at-risk county designation is 
in effect under section 14526 may be increased to the 
lesser of— 
‘‘(A) 70 percent; or 
‘‘(B) the maximum Federal contribution 
percentage authorized by this section.’’. 
(c) ASSISTANCE FOR PROPOSED LOW- AND MIDDLE- 
INCOME HOUSING PROJECTS.—Section 14503 of title 40, 
United States Code, is amended— 
(1) by striking subsection (d)(1) and inserting 
the following: 
‘‘(1) LIMITATION
ON
AVAILABLE
AMOUNTS.—A 
loan under subsection (b) for the cost of planning and 
obtaining financing (including the cost of prelimi-
nary surveys and analyses of market needs, prelimi-
nary site engineering and architectural fees, site op-
tions, application and mortgage commitment fees, 
legal fees, and construction loan fees and discounts) 
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of a project described in that subsection may be made 
for up to— 
‘‘(A) 50 percent of that cost; 
‘‘(B) in the case of a project to be carried 
out in a county for which a distressed county 
designation is in effect under section 14526, 80 
percent of that cost; or 
‘‘(C) in the case of a project to be carried 
out for a county for which an at-risk county des-
ignation is in effect under section 14526, 70 per-
cent of that cost.’’; and 
(2) by striking subsection (e)(1) and inserting 
the following: 
‘‘(1) IN GENERAL.—A grant under this section 
for expenses incidental to planning and obtaining fi-
nancing for a project under this section that the Sec-
retary considers to be unrecoverable from the proceeds 
of a permanent loan made to finance the project 
shall— 
‘‘(A) not be made to an organization estab-
lished for profit; and 
‘‘(B) except as provided in paragraph (2), 
not exceed— 
‘‘(i) 50 percent of those expenses; 
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‘‘(ii) in the case of a project to be car-
ried out in a county for which a distressed 
county designation is in effect under section 
14526, 80 percent of those expenses; or 
‘‘(iii) in the case of a project to be car-
ried out in a county for which an at-risk 
county designation is in effect under section 
14526, 70 percent of those expenses.’’. 
(d) TELECOMMUNICATIONS AND TECHNOLOGY INITIA-
TIVE.—Section 14504 of title 40, United States Code, is 
amended by striking subsection (b) and inserting the fol-
lowing: 
‘‘(b) LIMITATION ON AVAILABLE AMOUNTS.—Of the 
cost of any activity eligible for a grant under this section, 
not more than— 
‘‘(1) 50 percent may be provided from amounts 
appropriated to carry out this section; 
‘‘(2) in the case of a project to be carried out in 
a county for which a distressed county designation is 
in effect under section 14526, 80 percent may be pro-
vided from amounts appropriated to carry out this 
section; or 
‘‘(3) in the case of a project to be carried out in 
a county for which an at-risk county designation is 
in effect under section 14526, 70 percent may be pro-
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vided from amounts appropriated to carry out this 
section.’’. 
(e) ENTREPRENEURSHIP INITIATIVE.—Section 14505 
of title 40, United States Code, is amended by striking sub-
section (c) and inserting the following: 
‘‘(c) LIMITATION ON AVAILABLE AMOUNTS.—Of the 
cost of any activity eligible for a grant under this section, 
not more than— 
‘‘(1) 50 percent may be provided from amounts 
appropriated to carry out this section; 
‘‘(2) in the case of a project to be carried out in 
a county for which a distressed county designation is 
in effect under section 14526, 80 percent may be pro-
vided from amounts appropriated to carry out this 
section; or 
‘‘(3) in the case of a project to be carried out in 
a county for which an at-risk county designation is 
in effect under section 14526, 70 percent may be pro-
vided from amounts appropriated to carry out this 
section.’’. 
(f) REGIONAL SKILLS PARTNERSHIPS.—Section 14506 
of title 40, United States Code, is amended by striking sub-
section (d) and inserting the following: 
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‘‘(d) LIMITATION ON AVAILABLE AMOUNTS.—Of the 
cost of any activity eligible for a grant under this section, 
not more than— 
‘‘(1) 50 percent may be provided from amounts 
appropriated to carry out this section; 
‘‘(2) in the case of a project to be carried out in 
a county for which a distressed county designation is 
in effect under section 14526, 80 percent may be pro-
vided from amounts appropriated to carry out this 
section; or 
‘‘(3) in the case of a project to be carried out in 
a county for which an at-risk county designation is 
in effect under section 14526, 70 percent may be pro-
vided from amounts appropriated to carry out this 
section.’’. 
(g) SUPPLEMENTS TO FEDERAL GRANT PROGRAMS.— 
Section 14507(g) of title 40, United States Code, is amend-
ed— 
(1) in paragraph (1) by striking ‘‘paragraph 
(2)’’ and inserting ‘‘paragraphs (2) and (3)’’; and 
(2) by adding at the end the following: 
‘‘(3) AT-RISK COUNTIES.—The maximum Com-
mission contribution for a project to be carried out in 
a county for which an at-risk county designation is 
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in effect under section 14526 may be increased to 70 
percent.’’. 
SEC. 3. ECONOMIC AND ENERGY DEVELOPMENT INITIA-
TIVE. 
(a) IN GENERAL.—Subchapter I of chapter 145 of sub-
title IV of title 40, United States Code, is amended by add-
ing at the end the following: 
‘‘§ 14508. Economic and energy development initiative 
‘‘(a) PROJECTS TO BE ASSISTED.—The Appalachian 
Regional Commission may provide technical assistance, 
make grants, enter into contracts, or otherwise provide 
amounts to persons or entities in the Appalachian region 
for projects— 
‘‘(1) to promote energy efficiency in the region to 
enhance its economic competitiveness; 
‘‘(2) to increase the use of renewable energy re-
sources in the region to produce alternative transpor-
tation fuels, electricity, and heat; and 
‘‘(3) to support the development of conventional 
energy resources in the region to produce alternative 
transportation fuels, electricity, and heat. 
‘‘(b) LIMITATION ON AVAILABLE AMOUNTS.—Of the 
cost of any project eligible for a grant under this section, 
not more than— 
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‘‘(1) 50 percent may be provided from amounts 
appropriated to carry out this section; 
‘‘(2) in the case of a project to be carried out in 
a county for which a distressed county designation is 
in effect under section 14526, 80 percent may be pro-
vided from amounts appropriated to carry out this 
section; or 
‘‘(3) in the case of a project to be carried out in 
a county for which an at-risk county designation is 
in effect under section 14526, 70 percent may be pro-
vided from amounts appropriated to carry out this 
section. 
‘‘(c) SOURCES OF ASSISTANCE.—Assistance under this 
section may be provided from amounts made available to 
carry out this section in combination with amounts made 
available under other Federal programs or from any other 
source. 
‘‘(d) FEDERAL SHARE.—Notwithstanding any provi-
sion of law limiting the Federal share under any other Fed-
eral program, amounts made available to carry out this sec-
tion may be used to increase that Federal share, as the Com-
mission decides is appropriate.’’. 
(b) CONFORMING
AMENDMENT.—The analysis for 
chapter 145 of title 40, United States Code, is amended by 
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inserting after the item relating to section 14507 the fol-
lowing: 
‘‘14508. Economic and energy development initiative.’’. 
SEC. 
4. 
DISTRESSED, 
AT-RISK, 
AND 
ECONOMICALLY 
STRONG COUNTIES. 
(a) DESIGNATION
OF AT-RISK COUNTIES.—Section 
14526 of title 40, United States Code, is amended— 
(1) in the section heading by inserting ‘‘, at- 
risk,’’ after ‘‘Distressed’’; and 
(2) in subsection (a)(1)— 
(A) by redesignating subparagraph (B) as 
subparagraph (C); 
(B) in subparagraph (A) by striking ‘‘and’’ 
at the end; and 
(C) by inserting after subparagraph (A) the 
following: 
‘‘(B) designate as ‘at-risk counties’ those 
counties in the Appalachian region that are most 
at risk of becoming economically distressed; 
and’’. 
(b) CONFORMING
AMENDMENT.—The analysis for 
chapter 145 of such title is amended by striking the item 
relating to section 14526 and inserting the following: 
‘‘14526. Distressed, at-risk, and economically strong counties.’’. 
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SEC. 5. AUTHORIZATION OF APPROPRIATIONS. 
(a) IN GENERAL.—Section 14703(a) of title 40, United 
States Code, is amended to read as follows: 
‘‘(a) IN GENERAL.—In addition to amounts made 
available under section 14501, there is authorized to be ap-
propriated to the Appalachian Regional Commission to 
carry out this subtitle (other than section 14508)— 
‘‘(1) $65,000,000 for fiscal year 2007; 
‘‘(2) $80,000,000 for fiscal year 2008; 
‘‘(3) $85,000,000 for fiscal year 2009; 
‘‘(4) $90,000,000 for fiscal year 2010; and 
‘‘(5) $95,000,000 for fiscal year 2011.’’. 
(b) AUTHORIZATION
OF APPROPRIATIONS.—Section 
14703(b) of such title is amended to read as follows: 
‘‘(b) ECONOMIC AND ENERGY DEVELOPMENT INITIA-
TIVE.—In addition to amounts made available under sec-
tion 14501, there is authorized to be appropriated to the 
Commission to carry out section 14508 $12,000,000 for each 
of fiscal years 2008 through 2011.’’. 
(c) AVAILABILITY.—Section 14703(c) of such title is 
amended by striking ‘‘subsection (a)’’ and by inserting 
‘‘subsections (a) and (b)’’. 
(d) ALLOCATION OF FUNDS.—Section 14703 of such 
title is amended by adding at the end the following: 
‘‘(d) ALLOCATION OF FUNDS.—Funds approved by the 
Commission for a project in a State in the Appalachian 
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region pursuant to congressional direction shall be derived 
from such State’s portion of the Commission’s allocation of 
appropriated amounts among the States.’’. 
SEC. 6. TERMINATION. 
Section 14704 of title 40, United States Code, is 
amended by striking ‘‘2006’’ and inserting ‘‘2011’’. 
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Union Calendar No. 12 
110TH CONGRESS 
1ST SESSION 
H. R. 799 
[Report No. 110–33] 
A BILL 
To reauthorize and improve the program authorized 
by the Appalachian Regional Development Act of 
1965. 
MARCH 6, 2007 
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union, 
and ordered to be printed 
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