Economic Development Administration Reauthorization Act of 2004
PL 108-373 (S.1134), enacted 10/27/2004

118 STAT. 1756
PUBLIC LAW 108–373—OCT. 27, 2004
Public Law 108–373
108th Congress
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 Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the ‘‘Economic
Development Administration Reauthorization Act of 2004’’.
(b) TABLE OF CONTENTS.—The table of contents for this Act
is as follows:
Sec. 1. Short title; table of contents.
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. Direct expenditure or redistribution by recipient.
Sec. 213. Brightfields demonstration program.
TITLE III—COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES
Sec. 301. Eligibility of areas.
Sec. 302. Comprehensive Economic Development strategies.
TITLE IV—ECONOMIC DEVELOPMENT DISTRICTS
Sec. 401. Incentives.
Sec. 402. Provision of comprehensive Economic Development strategies to Regional
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.
TITLE VI—MISCELLANEOUS
Sec. 601. Annual report to Congress.
Sec. 602. Relationship to assistance under other law.
42 USC 3121
note.
Economic
Development
Administration
Reauthorization
Act of 2004.
Rural and urban
areas.
Oct. 27, 2004
[S. 1134]
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118 STAT. 1757
PUBLIC LAW 108–373—OCT. 27, 2004
Sec. 603. Brownfields redevelopment report.
Sec. 604. Savings clause.
Sec. 605. Sense of Congress regarding Economic Development Representatives.
TITLE VII—FUNDING
Sec. 701. Authorization of appropriations.
Sec. 702. Funding for grants for planning and grants for administrative expenses.
TITLE I—GENERAL PROVISIONS
SEC. 101. FINDINGS AND DECLARATIONS.
Section 2 of the Public Works and Economic Development Act
of 1965 (42 U.S.C. 3121) is amended to read as follows:
‘‘SEC. 2. FINDINGS AND DECLARATIONS.
‘‘(a) FINDINGS.—Congress finds that—
‘‘(1) there continue to be areas of the United States experi-
encing chronic high unemployment, underemployment, out-
migration, and low per capita incomes, as well as areas facing
sudden and severe economic dislocations because of structural
economic changes, changing trade patterns, certain Federal
actions (including environmental requirements that result in
the removal of economic activities from a locality), and natural
disasters;
‘‘(2) economic growth in the States, cities, and rural areas
of the United States is produced by expanding economic
opportunities, expanding free enterprise through trade, devel-
oping and strengthening public infrastructure, and creating
a climate for job creation 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 encour-
aging communities to develop a more competitive and diversi-
fied economic base by—
‘‘(A) creating an environment that promotes economic
activity by improving and expanding public infrastructure;
‘‘(B) promoting job creation through increased innova-
tion, productivity, and entrepreneurship; and
‘‘(C) empowering local and regional communities
experiencing chronic high unemployment and low per
capita income to develop private sector business and attract
increased private sector capital investment;
‘‘(4) while economic development is an inherently local
process, the Federal Government should work in partnership
with public and private State, regional, tribal, and local
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 activities should have a clear focus,
improved coordination, a comprehensive approach, and sim-
plified and consistent requirements; and
‘‘(6) Federal economic development efforts will be more
effective if the efforts are coordinated with, and build upon,
the trade, workforce investment, transportation, and technology
programs of the United States.
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118 STAT. 1758
PUBLIC LAW 108–373—OCT. 27, 2004
‘‘(b) DECLARATIONS.—In order to promote a strong and growing
economy throughout the United States, Congress declares that—
‘‘(1) assistance under this Act should be made available
to both rural- and urban-distressed communities;
‘‘(2) local communities should work in partnership with
neighboring communities, the States, Indian tribes, and the
Federal Government to increase the capacity of the local
communities to develop and implement comprehensive economic
development strategies to alleviate economic 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 
afforded 
by 
technological 
innovation 
and
expanding newly opened global markets; and
‘‘(4) assistance under this Act should be made available
to promote the productive reuse of abandoned industrial facili-
ties and the redevelopment of brownfields.’’.
SEC. 102. DEFINITIONS.
(a) ELIGIBLE RECIPIENT.—Section 3(4)(A) of the Public Works
and Economic Development Act of 1965 (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 redesignated by paragraph (1)) by
inserting ‘‘, including a special purpose unit of a State or
local government engaged in economic or infrastructure
development activities,’’ after ‘‘State’’.
(b) REGIONAL COMMISSIONS; UNIVERSITY CENTER.—Section 3
of the Public Works and Economic Development Act of 1965 (42
U.S.C. 3122) is amended—
(1) by redesignating paragraphs (8), (9), and (10) as para-
graphs (9), (10), and (11), respectively;
(2) by inserting after paragraph (7) the following:
‘‘(8) REGIONAL COMMISSIONS.—The term ‘Regional Commis-
sions’ means—
‘‘(A) the Appalachian Regional Commission established
under chapter 143 of title 40, United States Code;
‘‘(B) the Delta Regional Authority established 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. 3121 note; 112
Stat. 2681–637 et seq.); and
‘‘(D) the Northern Great Plains Regional Authority
established under subtitle G of the Consolidated Farm
and Rural Development Act (7 U.S.C. 2009bb et seq.).’’;
and
(3) by adding at the end the following:
‘‘(12) UNIVERSITY
CENTER.—The term ‘university center’
means an institution of higher education or a consortium of
institutions of higher education established as a University
Center for Economic Development under section 207(a)(2)(D).’’.
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118 STAT. 1759
PUBLIC LAW 108–373—OCT. 27, 2004
SEC. 103. ESTABLISHMENT OF ECONOMIC DEVELOPMENT PARTNER-
SHIPS.
Section 101 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3131) is amended—
(1) in subsection (b), by striking ‘‘and multi-State regional
organizations’’ and inserting ‘‘multi-State regional organiza-
tions, and nonprofit organizations’’; and
(2) in subsection (d)(1), by striking ‘‘adjoining’’ each place
it appears.
SEC. 104. COORDINATION.
Section 103 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3132) is amended—
(1) by inserting ‘‘(a) IN GENERAL.—’’ before ‘‘The Secretary’’;
(2) in subsection (a) (as designated by paragraph (1)), by
inserting ‘‘Indian tribes,’’ after ‘‘districts,’’; and
(3) by adding at the end the following:
‘‘(b) MEETINGS.—To carry out subsection (a), or for any other
purpose relating to economic development activities, the Secretary
may convene meetings with Federal agencies, State and local
governments, economic development districts, Indian tribes, and
other appropriate planning and development organizations.’’.
TITLE II—GRANTS FOR PUBLIC WORKS
AND ECONOMIC DEVELOPMENT
SEC. 201. GRANTS FOR PLANNING.
Section 203(d) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3143(d)) is amended—
(1) in paragraph (1), by inserting ‘‘, to the maximum extent
practicable,’’ after ‘‘developed’’ the second place it appears;
(2) by striking paragraph (3) and inserting the following:
‘‘(3) COORDINATION.—Before providing assistance for a
State plan under this section, the Secretary 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 subparagraph (C);
(B) by redesignating subparagraph (D) as subpara-
graph (F); and
(C) by adding after subparagraph (C) the following:
‘‘(D) assist in carrying out the workforce investment
strategy of a State;
‘‘(E) promote the use of technology in economic develop-
ment, including access to high-speed telecommunications;
and’’.
SEC. 202. COST SHARING.
(a) FEDERAL SHARE.—Section 204 of the Public Works and
Economic Development Act of 1965 (42 U.S.C. 3144) is amended
by striking subsection (a) and inserting the following:
‘‘(a) FEDERAL SHARE.—Except as provided in subsection (c),
the Federal share of the cost of any project carried out under
this title shall not exceed—
‘‘(1) 50 percent; plus
‘‘(2) an additional percent that—
42 USC 3133.
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118 STAT. 1760
PUBLIC LAW 108–373—OCT. 27, 2004
‘‘(A) shall not exceed 30 percent; and
‘‘(B) is based on the relative needs of the area in
which the project will be located, as determined in accord-
ance with regulations promulgated by the Secretary.’’.
(b) NON-FEDERAL SHARE.—Section 204(b) of the Public Works
and Economic Development Act of 1965 (42 U.S.C. 3144(b)) is
amended by inserting ‘‘assumptions of debt,’’ after ‘‘equipment,’’.
(c) INCREASE IN FEDERAL SHARE.—Section 204 of the Public
Works and Economic Development Act of 1965 (42 U.S.C. 3144)
is amended by adding at the end the following:
‘‘(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 percentage specified in subsection
(a) up to 100 percent of the cost of the project.
‘‘(2) CERTAIN STATES, POLITICAL SUBDIVISIONS, AND NON-
PROFIT
ORGANIZATIONS.—In the case of a grant to a State,
or a political subdivision of a State, that the Secretary deter-
mines has exhausted the effective taxing and borrowing
capacity of the State or political subdivision, or in the case
of a grant to a nonprofit organization that the Secretary deter-
mines has exhausted the effective borrowing capacity of the
nonprofit organization, the Secretary may increase the Federal
share above the percentage specified in subsection (a) up to
100 percent of the cost of the project.
‘‘(3) TRAINING, RESEARCH, AND TECHNICAL ASSISTANCE.—
In the case of a grant provided under section 207, the Secretary
may increase the Federal share above the percentage specified
in subsection (a) up to 100 percent of the cost of the project
if the Secretary determines that the project funded by the
grant merits, and is not feasible without, such an increase.’’.
SEC. 203. SUPPLEMENTARY GRANTS.
(a) IN GENERAL.—Section 205 of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3145) is amended by striking
subsection (b) and inserting the following:
‘‘(b) SUPPLEMENTARY GRANTS.—Subject to subsection (c), in
order to assist eligible recipients in taking 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
provide the required non-Federal share because of the economic
situation of the recipient.’’.
(b) REQUIREMENTS APPLICABLE TO SUPPLEMENTARY GRANTS.—
Section 205(c) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3145(c)) is amended—
(1) by striking paragraphs (1) and (2) and inserting the
following:
‘‘(1) AMOUNT OF SUPPLEMENTARY GRANTS.—The share of
the project cost supported by a supplementary 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 applicable Federal programs; or
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118 STAT. 1761
PUBLIC LAW 108–373—OCT. 27, 2004
‘‘(B) the award of funds under this Act, which will
be combined with funds transferred from other Federal
agencies in projects administered by the Secretary.’’; and
(2) by striking paragraph (4).
SEC. 204. REGULATIONS ON RELATIVE NEEDS AND ALLOCATIONS.
Section 206 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3146) is amended—
(1) in paragraph (1)(C), by striking ‘‘and’’ at the end;
(2) in paragraph (2), by striking the period at the end
and inserting a semicolon; and
(3) by adding at the end the following:
‘‘(3)(A) rural and urban economically distressed areas are
not harmed by the establishment or implementation by the
Secretary of a private sector leveraging goal for a project under
this title;
‘‘(B) any private sector leveraging goal established by the
Secretary does not prohibit or discourage grant applicants
under this title from public works in, or economic development
of, rural or urban economically distressed areas; and
‘‘(C) the relevant Committees of Congress are notified prior
to making any changes to any private sector leveraging goal;
and
‘‘(4) grants made under this title promote job creation and
will have a high probability of meeting or exceeding applicable
performance requirements established in connection with the
grants.’’.
SEC. 205. GRANTS FOR TRAINING, RESEARCH, AND TECHNICAL ASSIST-
ANCE.
(a) IN GENERAL.—Section 207(a)(2) of the Public Works and
Economic Development Act of 1965 (42 U.S.C. 3147(a)(2)) is
amended—
(1) by striking ‘‘and’’ at the end of subparagraph (F);
(2) by redesignating subparagraph (G) as subparagraph
(I); and
(3) by inserting after subparagraph (F) the following:
‘‘(G) studies that evaluate the effectiveness of coordi-
nating projects funded under this Act with projects funded
under other Acts;
‘‘(H) assessment, marketing, and establishment of busi-
ness clusters; and’’.
(b) COOPERATION REQUIREMENT.—Section 207(a) of the Public
Works and Economic Development Act of 1965 (42 U.S.C. 3147(a))
is amended by striking paragraph (3) and inserting the following:
‘‘(3) COOPERATION REQUIREMENT.—In the case of a project
assisted under this section that is national or regional in scope,
the Secretary may waive the provision in section 3(4)(A)(vi)
requiring a nonprofit organization or association to act in
cooperation with officials of a political subdivision of a State.’’.
SEC. 206. PREVENTION OF UNFAIR COMPETITION.
(a) IN GENERAL.—Section 208 of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3148) is repealed.
(b) CONFORMING AMENDMENT.—The table of contents in section
1(b) of the Public Works and Economic Development Act of 1965
(42 U.S.C. 3121 note) is amended by striking the item relating
to section 208.
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118 STAT. 1762
PUBLIC LAW 108–373—OCT. 27, 2004
SEC. 207. GRANTS FOR ECONOMIC ADJUSTMENT.
(a) ASSISTANCE
TO MANUFACTURING COMMUNITIES.—Section
209(c) of the Public Works and Economic Development Act of 1965
(42 U.S.C. 3149(c)) is amended—
(1) in paragraph (3), by striking ‘‘or’’;
(2) in paragraph (4), by striking the period at the end
and inserting ‘‘; or’’; and
(3) by adding at the end the following:
‘‘(5) the loss of manufacturing jobs, for reinvesting in and
diversifying the economies of the communities.’’.
(b) DIRECT EXPENDITURE
OR REDISTRIBUTION
BY RECIPIENT;
SPECIAL
PROVISIONS
RELATING
TO
REVOLVING
LOAN
FUND
GRANTS.—Section 209 of the Public Works and Economic Develop-
ment Act of 1965 (42 U.S.C. 3149) is amended by striking subsection
(d) and inserting the following:
‘‘(d) SPECIAL PROVISIONS RELATING TO REVOLVING LOAN FUND
GRANTS.—
‘‘(1) IN GENERAL.—The Secretary shall promulgate regula-
tions to maintain the proper operation and financial integrity
of revolving loan funds established by recipients with assistance
under this section.
‘‘(2) EFFICIENT ADMINISTRATION.—The Secretary may—
‘‘(A) at the request of a grantee, amend and consolidate
grant agreements governing revolving loan funds to provide
flexibility with respect to lending areas and borrower cri-
teria;
‘‘(B) assign or transfer assets of a revolving loan fund
to third party for the purpose of liquidation, and the third
party may retain assets of the fund to defray costs related
to liquidation; and
‘‘(C) take such actions as are appropriate to enable
revolving loan fund operators to sell or securitize loans
(except that the actions may not include issuance of a
Federal guaranty by the Secretary).
‘‘(3) TREATMENT OF ACTIONS.—An action taken by the Sec-
retary under this subsection with respect to a revolving loan
fund shall not constitute a new obligation if all grant funds
associated with the original grant award have been disbursed
to the recipient.
‘‘(4) PRESERVATION OF SECURITIES LAWS.—
‘‘(A) NOT TREATED AS EXEMPTED SECURITIES.—No secu-
rities issued pursuant to paragraph (2)(C) shall be treated
as exempted securities for purposes of the Securities Act
of 1933 (15 U.S.C. 77a et seq.) or the Securities Exchange
Act of 1934 (15 U.S.C. 78a et seq.), unless exempted by
rule or regulation of the Securities and Exchange Commis-
sion.
‘‘(B) PRESERVATION.—Except as provided in subpara-
graph (A), no provision of this subsection or any regulation
promulgated by the Secretary under this subsection super-
sedes or otherwise affects the application of the securities
laws (as the term is defined in section 3(a) of the Securities
Exchange Act of 1934 (15 U.S.C. 78c(a))) or the rules,
regulations, or orders of the Securities and Exchange
Commission or a self-regulatory organization under that
Commission.’’.
Regulations.
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118 STAT. 1763
PUBLIC LAW 108–373—OCT. 27, 2004
SEC. 208. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PRO-
JECTED COST.
Section 211 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3151) is amended to read as follows:
‘‘SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER PRO-
JECTED COST.
‘‘(a) IN GENERAL.—In the case of a grant to a recipient for
a construction project under section 201 or 209, if the Secretary
determines, before closeout of the project, that the cost of the
project, based on the designs and specifications that were the basis
of the grant, has decreased because of decreases in costs, the Sec-
retary may approve, without further appropriation, the use of the
excess funds (or a portion of the excess funds) by the recipient—
‘‘(1) to increase the Federal share of the cost of a project
under this title to the maximum percentage allowable under
section 204; or
‘‘(2) to improve the project.
‘‘(b) OTHER USES OF EXCESS FUNDS.—Any amount of excess
funds remaining after application of subsection (a) may be used
by the Secretary for providing assistance under this Act.
‘‘(c) TRANSFERRED FUNDS.—In the case of excess funds described
in subsection (a) in projects using funds transferred from other
Federal agencies pursuant to section 604, the Secretary shall—
‘‘(1) use the funds in accordance with subsection (a), with
the approval of the originating agency; or
‘‘(2) return the funds to the originating agency.
‘‘(d) REVIEW BY COMPTROLLER GENERAL.—
‘‘(1) REVIEW.—The Comptroller General of the United
States shall regularly review the implementation of this section.
‘‘(2) REPORT.—Not later than 1 year after the date of enact-
ment of this subsection, the Comptroller General shall submit
to the Committee on Environment and Public Works of the
Senate and the Committee on Transportation and Infrastruc-
ture of the House of Representatives a report on the findings
of the Comptroller General on implementation of this sub-
section.’’.
SEC. 209. SPECIAL IMPACT AREAS.
(a) IN GENERAL.—Title II of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3141 et seq.) is amended
by adding at the end the following:
‘‘SEC. 214. SPECIAL IMPACT AREAS.
‘‘(a) IN GENERAL.—On the application of an eligible recipient
that is determined by the Secretary to be unable to comply with
the requirements of section 302, the Secretary may waive, in whole
or in part, the requirements of section 302 and designate the
area represented by the recipient as a special impact area.
‘‘(b) CONDITIONS.—The Secretary may make a designation
under subsection (a) only after determining that—
‘‘(1) the project will fulfill a pressing need of the area;
and
‘‘(2) the project will—
‘‘(A) be useful in alleviating or preventing conditions
of excessive unemployment or underemployment; or
42 USC 3154.
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118 STAT. 1764
PUBLIC LAW 108–373—OCT. 27, 2004
‘‘(B) assist in providing useful employment opportuni-
ties for the unemployed or underemployed residents in
the area.
‘‘(c) NOTIFICATION.—At the time of the designation under sub-
section (a), the Secretary shall submit to the Committee on Environ-
ment and Public Works of the Senate and the Committee on
Transportation and Infrastructure of the House of Representatives
a written notice of the designation, including a justification for
the designation.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 note) is amended by inserting after
the item relating to section 213 the following:
‘‘Sec. 214. Special impact areas.’’.
SEC. 210. PERFORMANCE AWARDS.
(a) IN GENERAL.—Title II of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3141 et seq.) (as amended
by section 209) is amended by adding at the end the following:
‘‘SEC. 215. PERFORMANCE AWARDS.
‘‘(a) IN GENERAL.—The Secretary may make a performance
award in connection with a grant made, on or after the date of
enactment of this section, to an eligible recipient for a project
under section 201 or 209.
‘‘(b) PERFORMANCE MEASURES.—
‘‘(1) REGULATIONS.—The Secretary shall promulgate regula-
tions to establish performance measures for making perform-
ance awards under subsection (a).
‘‘(2) CONSIDERATIONS.—In promulgating regulations under
paragraph (1), the Secretary shall consider the inclusion of
performance measures that assess—
‘‘(A) whether the recipient meets or exceeds scheduling
goals;
‘‘(B) whether the recipient meets or exceeds job creation
goals;
‘‘(C) amounts of private sector capital investments
leveraged; and
‘‘(D) such other factors as the Secretary determines
to be appropriate.
‘‘(c) AMOUNT OF AWARDS.—
‘‘(1) IN GENERAL.—The Secretary shall base the amount
of a performance award made under subsection (a) in connection
with a grant on the extent to which a recipient meets or
exceeds performance measures established in connection with
the grant.
‘‘(2) MAXIMUM
AMOUNT.—The amount of a performance
award may not exceed 10 percent of the amount of the grant.
‘‘(d) USE
OF AWARDS.—A recipient of a performance award
under subsection (a) may use the award for any eligible purpose
under this Act, in accordance with section 602 and such regulations
as the Secretary may promulgate.
‘‘(e) FEDERAL SHARE.—Notwithstanding section 204, the funds
of a performance award may be used to pay up to 100 percent
of the cost of an eligible project or activity.
42 USC 3154a.
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118 STAT. 1765
PUBLIC LAW 108–373—OCT. 27, 2004
‘‘(f) TREATMENT IN MEETING NON-FEDERAL SHARE REQUIRE-
MENTS.—For the purposes of meeting the non-Federal share require-
ments under this, or any other, Act the funds of a performance
award shall be treated as funds from a non-Federal source.
‘‘(g) TERMS AND CONDITIONS.—In making performance awards
under subsection (a), the Secretary shall establish such terms and
conditions as the Secretary considers to be appropriate.
‘‘(h) FUNDING.—The Secretary shall use any amounts made
available for economic development assistance programs to carry
out this section.
‘‘(i) REPORTING REQUIREMENT.—The Secretary shall include
information regarding performance awards made under this section
in the annual report required under section 603.
‘‘(j) REVIEW BY COMPTROLLER GENERAL.—
‘‘(1) REVIEW.—The Comptroller General shall regularly
review the implementation of this section.
‘‘(2) REPORT.—Not later than 1 year after the date of enact-
ment of this section, the Comptroller General shall submit
to the Committee on Environment and Public Works of the
Senate and the Committee on Transportation and Infrastruc-
ture of the House of Representatives a report on the findings
of the Comptroller on implementation of this subsection.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 note) is amended by inserting after
the item relating to section 214 the following:
‘‘Sec. 215. Performance awards.’’.
SEC. 211. PLANNING PERFORMANCE AWARDS.
(a) IN GENERAL.—Title II of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3141 et seq.) (as amended
by section 210) is amended by adding at the end the following:
‘‘SEC. 216. PLANNING PERFORMANCE AWARDS.
‘‘(a) IN
GENERAL.—The Secretary may make a planning
performance award in connection with a grant made, on or after
the date of enactment of this section, to an eligible recipient for
a project under this title located in an economic development dis-
trict.
‘‘(b) ELIGIBILITY.—The Secretary may make a planning perform-
ance award to an eligible recipient under subsection (a) in connec-
tion with a grant for a project if the Secretary determines before
closeout of the project that—
‘‘(1) the recipient actively participated in the economic
development activities of the economic development district
in which the project is located;
‘‘(2) the project is consistent with the comprehensive eco-
nomic development strategy of the district;
‘‘(3) the recipient worked with Federal, State, and local
economic development entities throughout the development of
the project; and
‘‘(4) the project was completed in accordance with the com-
prehensive economic development strategy of the district.
‘‘(c) MAXIMUM AMOUNT.—The amount of a planning perform-
ance award made under subsection (a) in connection with a grant
may not exceed 5 percent of the amount of the grant.
42 USC 3154b.
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‘‘(d) USE OF AWARDS.—A recipient of a planning performance
award under subsection (a) shall use the award to increase the
Federal share of the cost of a project under this title.
‘‘(e) FEDERAL SHARE.—Notwithstanding section 204, the funds
of a planning performance award may be used to pay up to 100
percent of the cost of a project under this title.
‘‘(f) FUNDING.—The Secretary shall use any amounts made
available for economic development assistance programs to carry
out this section.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 note) is amended by inserting after
the item relating to section 215 the following:
‘‘Sec. 216. Planning performance awards.’’.
SEC. 212. DIRECT EXPENDITURE OR REDISTRIBUTION BY RECIPIENT.
(a) IN GENERAL.—Title II of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3141 et seq.) (as amended
by section 211) is amended by adding at the end the following:
‘‘SEC. 217. DIRECT EXPENDITURE OR REDISTRIBUTION BY RECIPIENT.
‘‘(a) IN GENERAL.—Subject to subsection (b), a recipient of a
grant under section 201, 203, or 207 may directly expend the
grant funds or may redistribute the funds in the form of a subgrant
to other eligible recipients to fund required components of the
scope of work approved for the project.
‘‘(b) LIMITATION.—A recipient may not redistribute grant funds
received under section 201 or 203 to a for-profit entity.
‘‘(c) ECONOMIC
ADJUSTMENT.—Subject to subsection (d), a
recipient of a grant under section 209 may directly expend the
grant funds or may redistribute the funds to public and private
entities in the form of a grant, loan, loan guarantee, payment
to reduce interest on a loan guarantee, or other appropriate assist-
ance.
‘‘(d) LIMITATION.—Under subsection (c), a recipient may not
provide any grant to a private for-profit entity.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 note) is amended by inserting after
the item relating to section 216 the following:
‘‘Sec. 217. Direct expenditure or redistribution by recipient.’’.
SEC. 213. BRIGHTFIELDS DEMONSTRATION PROGRAM.
(a) IN GENERAL.—Title II of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3141 et seq.) (as amended
by section 212) is amended by adding at the end the following:
‘‘SEC. 218. BRIGHTFIELDS DEMONSTRATION PROGRAM.
‘‘(a) DEFINITION
OF BRIGHTFIELD SITE.—In this section, the
term ‘brightfield site’ means a brownfield site that is redeveloped
through the incorporation of 1 or more solar energy technologies.
‘‘(b) DEMONSTRATION PROGRAM.—On the application of an
eligible recipient, the Secretary may make a grant for a project
for the development of a brightfield site if the Secretary determines
that the project will—
‘‘(1) use 1 or more solar energy technologies to develop
abandoned or contaminated sites for commercial use; and
42 USC 3154d.
42 USC 3154c.
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118 STAT. 1767
PUBLIC LAW 108–373—OCT. 27, 2004
‘‘(2) improve the commercial and economic opportunities
in the area in which the project is located.
‘‘(c) SAVINGS CLAUSE.—To the extent that any portion of a
grant awarded under subsection (b) involves remediation, the
remediation shall be subject to section 612.
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized
to be appropriated to carry out this section $5,000,000 for each
of fiscal years 2004 through 2008, to remain available until
expended.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 note) is amended by inserting after
the item relating to section 217 (as added by section 212(b)) the
following:
‘‘Sec. 218. Brightfields demonstration program.’’.
TITLE III—COMPREHENSIVE ECONOMIC
DEVELOPMENT STRATEGIES
SEC. 301. ELIGIBILITY OF AREAS.
Section 301(c)(1) of the Public Works and Economic Develop-
ment Act of 1965 (42 U.S.C. 3161(c)(1)) is amended by inserting
after ‘‘most recent Federal data available’’ the following: ‘‘(including
data available from the Bureau of Economic Analysis, the Bureau
of Labor Statistics, the Census Bureau, the Bureau of Indian
Affairs, or any other Federal source determined by the Secretary
to be appropriate)’’.
SEC. 302. COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES.
(a) IN GENERAL.—Section 302(a)(3)(A) of the Public Works and
Economic Development Act of 1965 (42 U.S.C. 3162(a)(3)(A)) is
amended by inserting ‘‘maximizes effective development and use
of the workforce consistent with any applicable State or local
workforce investment strategy, promotes the use of technology in
economic development (including access to high-speed telecommuni-
cations),’’ after ‘‘access,’’.
(b) APPROVAL OF OTHER PLAN.—Section 302(c) of the Public
Works and Economic Development Act of 1965 (42 U.S.C. 3162(c))
is amended—
(1) by striking ‘‘The Secretary’’ and inserting the following:
‘‘(1) IN GENERAL.—The Secretary’’; and
(2) by adding at the end the following:
‘‘(2) 
EXISTING
STRATEGY.—To 
the 
maximum 
extent
practicable, a plan submitted under this paragraph shall be
consistent and coordinated with any existing comprehensive
economic development strategy for the area.’’.
TITLE IV—ECONOMIC DEVELOPMENT
DISTRICTS
SEC. 401. INCENTIVES.
(a) IN GENERAL.—Section 403 of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3173) is repealed.
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118 STAT. 1768
PUBLIC LAW 108–373—OCT. 27, 2004
(b) CONFORMING AMENDMENT.—The table of contents in section
1(b) of the Public Works and Economic Development Act of 1965
(42 U.S.C. 3121 note) is amended by striking the item relating
to section 403.
SEC. 402. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT
STRATEGIES TO REGIONAL COMMISSIONS.
(a) IN GENERAL.—Section 404 of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3174) is amended to read
as follows:
‘‘SEC. 404. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT
STRATEGIES TO REGIONAL COMMISSIONS.
‘‘If any part of an economic development district is in a region
covered by 1 or more of the Regional Commissions, the economic
development district shall ensure that a copy of the comprehensive
economic development strategy of the district is provided to the
affected Regional Commission.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 note) is amended by striking the
item relating to section 404 and inserting the following:
‘‘Sec. 404. Provision of comprehensive economic development strategies to Re-
gional Commissions.’’.
TITLE V—ADMINISTRATION
SEC. 501. ECONOMIC DEVELOPMENT INFORMATION CLEARINGHOUSE.
Section 502 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3192) is amended—
(1) by striking paragraph (1) and inserting the following:
‘‘(1) maintain a central information clearinghouse on the
Internet with—
‘‘(A) information on economic development, economic
adjustment, disaster recovery, defense conversion, and
trade adjustment programs and activities of the Federal
Government;
‘‘(B) links to State economic development organizations;
and
‘‘(C) links to other appropriate economic development
resources;’’;
(2) by striking paragraph (2) and inserting the following:
‘‘(2) assist potential and actual applicants for economic
development, economic adjustment, disaster recovery, defense
conversion, and trade adjustment assistance under Federal and
State laws in locating and applying for the assistance;’’;
(3) by striking the period at the end of paragraph (3)
and inserting ‘‘; and’’; and
(4) by adding at the end the following:
‘‘(4) obtain appropriate information from other Federal
agencies needed to carry out the duties under this Act.’’.
SEC. 502. BUSINESSES DESIRING FEDERAL CONTRACTS.
(a) IN GENERAL.—Section 505 of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3195) is repealed.
(b) CONFORMING AMENDMENT.—The table of contents in section
1(b) of the Public Works and Economic Development Act of 1965
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118 STAT. 1769
PUBLIC LAW 108–373—OCT. 27, 2004
(42 U.S.C. 3121 note) is amended by striking the item relating
to section 505.
SEC. 503. PERFORMANCE EVALUATIONS OF GRANT RECIPIENTS.
(a) IN GENERAL.—Section 506(c) of the Public Works and Eco-
nomic Development Act of 1965 (42 U.S.C. 3196(c)) is amended
by striking ‘‘after the effective date of the Economic Development
Administration Reform Act of 1998’’.
(b) EVALUATION CRITERIA.—Section 506(d)(2) of the Public
Works and Economic Development Act of 1965 (42 U.S.C. 3196(d)(2))
is amended by inserting ‘‘program performance,’’ after ‘‘applied
research,’’.
SEC. 504. CONFORMING AMENDMENTS.
Section 602 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3212) is amended—
(1) in the first sentence, by striking ‘‘in accordance with’’
and all that follows before the period at the end and inserting
‘‘in accordance with subchapter IV of chapter 31 of title 40,
United States Code’’; and
(2) in the third sentence, by striking ‘‘section 2 of the
Act of June 13, 1934, as amended (40 U.S.C. 276c)’’ and
inserting ‘‘section 3145 of title 40, United States Code’’.
TITLE VI—MISCELLANEOUS
SEC. 601. ANNUAL REPORT TO CONGRESS.
Section 603 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3213) is amended—
(1) by striking ‘‘Not later’’ and inserting the following:
‘‘(a) IN GENERAL.—Not later’’; and
(2) by adding at the end the following:
‘‘(b) INCLUSIONS.—Each report required under subsection (a)
shall—
‘‘(1) include a list of all grant recipients by State, including
the projected private sector dollar to Federal dollar investment
ratio for each grant recipient;
‘‘(2) include a discussion of any private sector leveraging
goal with respect to grants awarded to—
‘‘(A) rural and urban economically distressed areas;
and
‘‘(B) highly distressed areas; and
‘‘(3) after the completion of a project, include the realized
private sector dollar to Federal dollar investment ratio for
the project.’’.
SEC. 602. RELATIONSHIP TO ASSISTANCE UNDER OTHER LAW.
Section 609 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3219) is amended—
(1) by striking subsection (a); and
(2) 
by 
striking 
‘‘(b) 
ASSISTANCE
UNDER
OTHER
ACTS.—’’.
SEC. 603. BROWNFIELDS REDEVELOPMENT REPORT.
(a) IN GENERAL.—Title VI of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3171 et seq.) is amended
by adding at the end the following:
Records.
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118 STAT. 1770
PUBLIC LAW 108–373—OCT. 27, 2004
‘‘SEC. 611. BROWNFIELDS REDEVELOPMENT REPORT.
‘‘(a) DEFINITION
OF BROWNFIELD SITE.—In this section, the
term ‘brownfield site’ has the meaning given the term in section
101(39) of the Comprehensive Environmental Response, Compensa-
tion, and Liability Act of 1980 (42 U.S.C. 9601(39)).
‘‘(b) REPORT.—
‘‘(1) IN GENERAL.—Not later than 1 year after the date
of enactment of this section, the Comptroller General shall
prepare a report that evaluates the grants made by the Eco-
nomic Development Administration for the economic develop-
ment of brownfield sites.
‘‘(2) CONTENTS.—The report shall—
‘‘(A) identify each project conducted during the previous
10-year period in which grant funds have been used for
brownfield sites redevelopment activities; and
‘‘(B) include for each project a description of—
‘‘(i) the type of economic development activities
conducted;
‘‘(ii) if remediation activities were conducted—
‘‘(I) the type of remediation activities; and
‘‘(II) the amount of grant money used for those
activities in dollars and as a percentage of the
total grant award;
‘‘(iii) the economic development and environmental
standards applied, if applicable;
‘‘(iv) the economic development impact of the
project;
‘‘(v) the role of Federal, State, or local environ-
mental agencies, if any; and
‘‘(vi) public participation in the project.
‘‘(3) SUBMISSION
OF
REPORT.—The Comptroller General
shall submit to the Committee on Environment and Public
Works of the Senate and the Committee on Transportation
and Infrastructure of the House of Representatives a copy
of the report.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 note) is amended by inserting after
the item relating to section 610 the following:
‘‘Sec. 611. Brownfields redevelopment report.’’.
SEC. 604. SAVINGS CLAUSE.
(a) IN GENERAL.—Title VI of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3171 et seq.) (as amended
by section 603(a)) is amended by adding at the end the following:
‘‘SEC. 612. SAVINGS CLAUSE.
‘‘To the extent that any portion of grants made under this
Act are used for an economic development project that involves
remediation, the remediation shall be conducted in compliance with
all applicable Federal, State, and local laws and standards.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 note) is amended by inserting after
the item relating to section 611 (as added by section 603(b)) the
following:
‘‘Sec. 612. Savings clause.’’.
42 USC 3222.
42 USC 3221.
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118 STAT. 1771
PUBLIC LAW 108–373—OCT. 27, 2004
SEC. 605. SENSE OF CONGRESS REGARDING ECONOMIC DEVELOPMENT
REPRESENTATIVES.
(a) FINDINGS.—Congress finds that—
(1) planning and coordination among Federal agencies,
State and local governments, Indian tribes, and economic
development districts is vital to the success of an economic
development program;
(2) economic development representatives of the Economic
Development Administration provide distressed communities
with the technical assistance necessary to foster this planning
and coordination; and
(3) in the 5 years preceding the date of enactment of
this Act, the number of economic development representatives
has declined by almost 25 percent.
(b) SENSE
OF CONGRESS.—It is the sense of Congress that
the Secretary should maintain a sufficient number of economic
development representatives to ensure that the Economic Develop-
ment Administration is able to provide effective assistance to dis-
tressed communities and foster economic growth and development
among the States.
TITLE VII—FUNDING
SEC. 701. AUTHORIZATION OF APPROPRIATIONS.
Section 701 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3231) is amended to read as follows:
‘‘SEC. 701. GENERAL AUTHORIZATION OF APPROPRIATIONS.
‘‘(a) ECONOMIC DEVELOPMENT ASSISTANCE PROGRAMS.—There
are authorized to be appropriated for economic development assist-
ance programs to carry out this Act, to remain available until
expended—
‘‘(1) $400,000,000 for fiscal year 2004;
‘‘(2) $425,000,000 for fiscal year 2005;
‘‘(3) $450,000,000 for fiscal year 2006;
‘‘(4) $475,000,000 for fiscal year 2007; and
‘‘(5) $500,000,000 for fiscal year 2008.’’
‘‘(b) SALARIES
AND EXPENSES.—There are authorized to be
appropriated for salaries and expenses of administering this Act,
to remain available until expended—
‘‘(1) $33,377,000 for fiscal year 2004; and
‘‘(2) such sums as are necessary for each fiscal year there-
after.’’.
SEC. 702. FUNDING FOR GRANTS FOR PLANNING AND GRANTS FOR
ADMINISTRATIVE EXPENSES.
(a) IN GENERAL.—Title VII of the Public Works and Economic
Development Act of 1965 (42 U.S.C. 3231 et seq.) is amended
by adding at the end the following:
‘‘SEC. 704. FUNDING FOR GRANTS FOR PLANNING AND GRANTS FOR
ADMINISTRATIVE EXPENSES.
‘‘Of the amounts made available under section 701 for each
fiscal year, not less than $27,000,000 shall be made available for
grants provided under section 203.’’.
(b) CONFORMING AMENDMENT.—The table of contents contained
in section 1(b) of the Public Works and Economic Development
42 USC 3234.
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PUBLIC LAW 108–373—OCT. 27, 2004
LEGISLATIVE HISTORY—S. 1134 (H.R. 2535):
HOUSE REPORTS: No. 108–242, Pt. 1, accompanying H.R. 2535 (Comm. on Trans-
portation and Infrastructure).
SENATE REPORTS: No. 108–382 (Comm. on Environment and Public Works).
CONGRESSIONAL RECORD, Vol. 150 (2004):
Oct. 6, considered and passed Senate.
Oct. 7, considered and passed House.
Act of 1965 (42 U.S.C. 3121 note) is amended by inserting after
the item relating to section 703 the following:
‘‘Sec. 704. Funding for grants for planning and grants for administrative ex-
penses.’’.
Approved October 27, 2004.
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