To establish a grant program for certain institutions of higher education to plan and implement projects for economic and community development in economically distressed communities, and for other purposes.
Bill: H.R.8688 | Sponsor: Rep. Costa, Jim (D-CA)
Policy area: Commerce

Summary:
This bill requires the Economic Development Administration to award grants to designated institutions of higher education located in distressed communities for use in projects including developing commercial infrastructure, building municipal broadband networks, and training health care professionals.

To establish a grant program for certain institutions of higher 
  education to plan and implement projects for economic and community 
   development in economically distressed communities, 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. DISTRESSED COMMUNITIES GRANT PROGRAM.

    (a) Establishment.--The Secretary shall establish a program to 
award grants to institutions of higher education designated under 
subsection (b) to plan and implement eligible projects for economic and 
community development in economically distressed communities.
    (b) Designation of Institutions of Higher Education.--
            (1) List of institutions of higher education.--The 
        Secretary shall develop a list of every institution of higher 
        education that the Secretary determines is located in a 
        distressed community, in accordance with the criteria described 
        in paragraph (2).
            (2) Distressed community criteria.--The Secretary shall 
        determine that an institution of higher education is located in 
        a distressed community if one of the following circumstances 
        applies to such institution:
                    (A) In the case of an institution of higher 
                education that is located in a metropolitan or a 
                micropolitan statistical area, as defined by the Office 
                of Management and Budget, and in a State in which the 
                median family income is higher than the national median 
                family income, the institution of higher education is 
                located in a zip code in which the median family income 
                is at least 25 percent lower than the median family 
                income for such State.
                    (B) In the case of an institution of higher 
                education that is located in a metropolitan or a 
                micropolitan statistical area, as defined by the Office 
                of Management and Budget, and in a State in which the 
                median family income is lower than the national median 
                family income, the institution of higher education is 
                located in a zip code in which the median family income 
                is at least 25 percent lower than the national median 
                family income.
                    (C) In the case of an institution of higher 
                education that is not located in a metropolitan or 
                micropolitan statistical area and is located in a State 
                in which the median family income is higher than the 
                national median family income, the institution of 
                higher education is located in a county in which the 
                median family income is at least 25 percent lower than 
                the median family income for such State.
                    (D) In the case of an institution of higher 
                education that is not located in a metropolitan or 
                micropolitan statistical area and is located in a State 
                in which the median family income is lower than the 
                national median family income, the institution of 
                higher education is located in a county in which the 
                median family income is at least 25 percent lower than 
                the national median family income.
            (3) Designation.--
                    (A) Notification to institutions of higher 
                education.--Upon development of the list of 
                institutions of higher education located in a 
                distressed community under paragraph (1), the Secretary 
                shall notify each institution of higher education that 
                is included in such list that such institution may be 
                designated under this paragraph to receive a planning 
                grant and an implementation grant under this section.
                    (B) Notification to secretary.--An institution of 
                higher education that receives a notification from the 
                Secretary under subparagraph (A) that intends to 
                receive a planning grant and an implementation grant 
                under this section shall submit to the Secretary a 
                notification of such intent in such form and at such 
                time as the Secretary determines appropriate.
                    (C) Grant eligibility.--The Secretary shall 
                designate each institution of higher education that 
                submits a notification under subparagraph (B) as 
                eligible to receive a planning grant and an 
                implementation grant under this section.
    (c) Planning Grants.--
            (1) In general.--The Secretary shall provide a grant to 
        each institution of higher education designated under 
        subsection (b) for such institution to develop an 
        implementation plan describing--
                    (A) the eligible projects that such institution 
                intends to carry out with an implementation grant under 
                subsection (d); and
                    (B) how such projects will support economic and 
                community revitalization in the community in which such 
                institution is located.
            (2) Implementation plan.--
                    (A) In general.--A recipient of a planning grant 
                under this subsection shall complete the implementation 
                plan required under paragraph (1) not later than 2 
                years after the date on which the Secretary provides a 
                planning grant to such recipient.
                    (B) Approval.--Upon completion of an implementation 
                plan with a planning grant provided under this 
                subsection, the Secretary shall review such plan for 
                approval.
            (3) Grant amounts.--
                    (A) Grant term.--The Secretary may distribute funds 
                for a grant provided under this subsection for a period 
                of not more than 2 years.
                    (B) Total grant amounts.--Each grant awarded under 
                this subsection shall be in an amount that does not 
                exceed $100,000 for each year of the grant term.
                    (C) Additional amounts.--
                            (i) Application for additional grant 
                        funds.--Not later than 1 year after a grant 
                        funds are first awarded under subparagraph (A), 
                        a grant recipient may submit to the Secretary 
                        an application to receive additional funds to 
                        complete the implementation plan required under 
                        paragraph (1).
                            (ii) Deadline to receive additional grant 
                        funds.--Not later than 90 days after a grant 
                        recipient submits an application for additional 
                        grant funds under clause (i), the Secretary 
                        shall determine whether to award additional 
                        grant funds to such recipient and shall 
                        distribute such additional grant funds to such 
                        recipient.
                    (D) Formula.--The Secretary shall establish a 
                formula by which the Secretary shall distribute funds 
                for each grant under this subsection in accordance with 
                this paragraph.
    (d) Implementation Grants.--
            (1) In general.--Upon approval of an implementation plan 
        under subsection (c)(2), the Secretary shall provide a grant to 
        the institution of higher education to carry out eligible 
        projects described in such plan.
            (2) Grant term.--The term of a grant provided under this 
        subsection shall be 5 years.
            (3) Grant amounts.--The Secretary shall establish a formula 
        by which the Secretary shall distribute funds for each grant 
        under this subsection in accordance with the following 
        requirements:
                    (A) The Secretary shall provide each recipient of a 
                grant under this subsection with a grant in an amount 
                that is not less than $25,000,000 and not more than 
                $50,000,000.
                    (B) The Secretary shall distribute funds for each 
                grant under this subsection at least once during each 
                year of the grant term.
            (4) Use of funds.--A recipient of a grant under this 
        subsection may only use such grant to carry out an eligible 
        project in the distressed community in which such recipient is 
        located, as determined by the Secretary under subsection 
        (b)(2).
            (5) Report required.--At least once each year during the 
        term of a grant provided under this subsection, a recipient of 
        such grant shall submit to the Secretary a report describing 
        the activities for which such grant was used during such year.
    (e) Definitions.--In this section:
            (1) Eligible project.--The term ``eligible project'' means 
        a project that will spur economic development in the community 
        in which such project is carried out, including a project to--
                    (A) renovate, construct, or maintain buildings that 
                will benefit and be accessible to the community, 
                including--
                            (i) commercial buildings located on the 
                        campus of the institution of higher education 
                        carrying out the project;
                            (ii) housing for students, faculty, staff, 
                        or members of the community;
                            (iii) cultural institutions such as 
                        museums, theaters, and arts centers; and
                            (iv) facilities such as laboratories or 
                        libraries;
                    (B) establish programs, hosted by the institution 
                of higher education carrying out the project, that 
                provide seed money to early-stage companies for small 
                business development;
                    (C) develop and fund apprenticeships, hosted by the 
                institution of higher education carrying out the 
                project, in local industries to decrease unemployment 
                in the community;
                    (D) build and maintain municipal broadband networks 
                and related infrastructure for the institution of 
                higher education that is carrying out the project and 
                the community;
                    (E) build and maintain health clinics accessible to 
                the public on or near the campus of the institution of 
                higher education that is carrying out the project;
                    (F) establish programs at local health clinics to 
                educate, recruit, and train members of the community to 
                become healthcare professionals;
                    (G) establish partnerships between the institution 
                of higher education carrying out the project and local 
                school districts to provide--
                            (i) graduate student teaching support;
                            (ii) administrative support to such school 
                        districts; and
                            (iii) access to facilities of such 
                        institution of higher education to local 
                        elementary and secondary schools; and
                    (H) fund research on the campus of the institution 
                of higher education carrying out the project that is 
                relevant to the economic needs of the community.
            (2) Institution of higher education.--
                    (A) In general.--The term ``institution of higher 
                education'' means an institution of higher education 
                (as defined in section 101(a) of the Higher Education 
                Act (20 U.S.C. 1001(a))) that has a physical campus and 
                that offers not more than 25 percent of courses through 
                distance education (as defined in section 103(7) of the 
                Higher Education Act of 1965 (20 U.S.C. 1003)), 
                including an institution of higher education 
                established under the Morrill Act of 1890 (7 U.S.C. 321 
                et seq.).
                    (B) Exclusion.--The term ``institution of higher 
                education'' does not include an institution of higher 
                education that--
                            (i) is an institution of higher education 
                        established under the Morrill Act of 1862 (7 
                        U.S.C. 301 et seq.);
                            (ii) has very high research activity 
                        status, as designated by the Carnegie 
                        Classification of Institutions of Higher 
                        Education; or
                            (iii) is a service academy.
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Commerce, acting through the Assistant Secretary of Commerce 
        for Economic Development.
            (4) Service academy.--The term ``service academy'' means 
        the following:
                    (A) The United States Military Academy.
                    (B) The United States Naval Academy.
                    (C) The United States Air Force Academy.
                    (D) The United States Coast Guard Academy.
                    (E) The United States Merchant Marine Academy.
                    (F) Any college or university designated by the 
                Secretary of Defense as a military college.
                    (G) A State or regional maritime academy or college 
                sponsored by a State or group of States and assisted 
                under chapter 515 of title 46, United States Code.
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