[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 1206 Reported in Senate (RS)]






                                                       Calendar No. 303
107th CONGRESS
  1st Session
                                S. 1206

                          [Report No. 107-132]

 To reauthorize the Appalachian Regional Development Act of 1965, and 
                          for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             July 19, 2001

 Mr. Voinovich (for himself, Mr. Inhofe, Mr. Frist, Mr. McConnell, Mr. 
    Warner, Mr. Bunning, Mr. Cochran, Mr. Miller, and Mr. Cleland) 
introduced the following bill; which was read twice and referred to the 
               Committee on Environment and Public Works

            December 20 (legislative day, December 18), 2001

              Reported by Mr. Jeffords, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
 To reauthorize the Appalachian Regional Development Act of 1965, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Appalachian Regional 
Development Act Amendments of 2001''.</DELETED>

<DELETED>SEC. 2. PURPOSES.</DELETED>

<DELETED>    The purposes of this Act are--</DELETED>
        <DELETED>    (1) to reauthorize the Appalachian Regional 
        Development Act of 1965 (40 U.S.C. App.); and</DELETED>
        <DELETED>    (2) to ensure that the people and businesses of 
        the Appalachian region have the knowledge, skills, and access 
        to telecommunication and technology services necessary to 
        compete in the knowledge-based economy of the United 
        States.</DELETED>

<DELETED>SEC. 3. FUNCTIONS OF THE COMMISSION.</DELETED>

<DELETED>    Section 102(a) of the Appalachian Regional Development Act 
of 1965 (40 U.S.C. App.) is amended--</DELETED>
        <DELETED>    (1) in paragraph (5), by inserting ``, and 
        support,'' after ``formation of'';</DELETED>
        <DELETED>    (2) in paragraph (7), by striking ``and'' at the 
        end;</DELETED>
        <DELETED>    (3) in paragraph (8), by striking the period at 
        the end and inserting ``; and''; and</DELETED>
        <DELETED>    (4) by adding at the end the following:</DELETED>
        <DELETED>    ``(9) seek to coordinate the economic development 
        activities of, and the use of economic development resources 
        by, Federal agencies in the region.''.</DELETED>

<DELETED>SEC. 4. INTERAGENCY COORDINATING COUNCIL ON 
              APPALACHIA.</DELETED>

<DELETED>    Section 104 of the Appalachian Regional Development Act of 
1965 (40 U.S.C. App.) is amended--</DELETED>
        <DELETED>    (1) by striking ``The President'' and inserting 
        ``(a) In General.--The President''; and</DELETED>
        <DELETED>    (2) by adding at the end the following:</DELETED>
<DELETED>    ``(b) Interagency Coordinating Council on Appalachia.--
</DELETED>
        <DELETED>    ``(1) Establishment.--In carrying out subsection 
        (a), the President shall establish an interagency council to be 
        known as the `Interagency Coordinating Council on 
        Appalachia'.</DELETED>
        <DELETED>    ``(2) Membership.--The Council shall be composed 
        of--</DELETED>
                <DELETED>    ``(A) the Federal Cochairman, who shall 
                serve as Chairperson of the Council; and</DELETED>
                <DELETED>    ``(B) representatives of Federal agencies 
                that carry out economic development programs in the 
                region.''.</DELETED>

<DELETED>SEC. 5. TELECOMMUNICATIONS AND TECHNOLOGY 
              INITIATIVE.</DELETED>

<DELETED>    Title II of the Appalachian Regional Development Act of 
1965 (40 U.S.C. App.) is amended by inserting after section 202 the 
following:</DELETED>

<DELETED>``SEC. 203. TELECOMMUNICATIONS AND TECHNOLOGY 
              INITIATIVE.</DELETED>

<DELETED>    ``(a) In General.--The Commission may provide technical 
assistance, make grants, enter into contracts, or otherwise provide 
funds to persons or entities in the region for projects--</DELETED>
        <DELETED>    ``(1) to increase affordable access to advanced 
        telecommunications, entrepreneurship, and management 
        technologies or applications in the region;</DELETED>
        <DELETED>    ``(2) to provide education and training in the use 
        of telecommunications and technology;</DELETED>
        <DELETED>    ``(3) to develop programs to increase the 
        readiness of industry groups and businesses in the region to 
        engage in electronic commerce; or</DELETED>
        <DELETED>    ``(4) to support entrepreneurial opportunities for 
        businesses in the information technology sector.</DELETED>
<DELETED>    ``(b) Source of Funding.--</DELETED>
        <DELETED>    ``(1) In general.--Assistance under this section 
        may be provided--</DELETED>
                <DELETED>    ``(A) exclusively from amounts made 
                available to carry out this section; or</DELETED>
                <DELETED>    ``(B) from amounts made available to carry 
                out this section in combination with amounts made 
                available under any other Federal program or from any 
                other source.</DELETED>
        <DELETED>    ``(2) Federal share requirements specified in 
        other laws.--Notwithstanding any provision of law limiting the 
        Federal share under any other Federal program, amounts made 
        available to carry out this section may be used to increase 
        that Federal share, as the Commission determines to be 
        appropriate.</DELETED>
<DELETED>    ``(c) Cost Sharing for Grants.--Not more than 50 percent 
(or 80 percent in the case of a project to be carried out in a county 
for which a distressed county designation is in effect under section 
226) of the costs of any activity eligible for a grant under this 
section may be provided from funds appropriated to carry out this 
section.''.</DELETED>

<DELETED>SEC. 6. PROGRAM DEVELOPMENT CRITERIA.</DELETED>

<DELETED>    (a) Elimination of Growth Center Criteria.--Section 
224(a)(1) of the Appalachian Regional Development Act of 1965 (40 
U.S.C. App.) is amended by striking ``in an area determined by the 
State have a significant potential for growth or''.</DELETED>
<DELETED>    (b) Assistance to Distressed Counties and Areas.--Section 
224 of the Appalachian Regional Development Act of 1965 (40 U.S.C. 
App.) is amended by adding at the end the following:</DELETED>
<DELETED>    ``(d) Assistance to Distressed Counties and Areas.--For 
each fiscal year, not less than 50 percent of the amount of grant 
expenditures approved by the Commission shall support activities or 
projects that benefit severely and persistently distressed counties and 
areas.''.</DELETED>

<DELETED>SEC. 7. GRANTS FOR ADMINISTRATIVE EXPENSES OF LOCAL 
              DEVELOPMENT DISTRICTS.</DELETED>

<DELETED>    Section 302(a)(1)(A)(i) of the Appalachian Regional 
Development Act of 1965 (40 U.S.C. App.) is amended by inserting ``(or, 
at the discretion of the Commission, 75 percent of such expenses in the 
case of a local development district that has a charter or authority 
that includes the economic development of a county or part of a county 
for which a distressed county designation is in effect under section 
226)'' after ``such expenses''.</DELETED>

<DELETED>SEC. 8. AUTHORIZATION OF APPROPRIATIONS.</DELETED>

<DELETED>    Section 401 of the Appalachian Regional Development Act of 
1965 (40 U.S.C. App.) is amended to read as follows:</DELETED>

<DELETED>``SEC. 401. AUTHORIZATION OF APPROPRIATIONS.</DELETED>

<DELETED>    ``(a) In General.--In addition to amounts authorized by 
section 201 and other amounts made available for the Appalachian 
development highway system program, there are authorized to be 
appropriated to the Commission to carry out this Act--</DELETED>
        <DELETED>    ``(1) $83,000,000 for fiscal year 2002;</DELETED>
        <DELETED>    ``(2) $86,000,000 for fiscal year 2003;</DELETED>
        <DELETED>    ``(3) $89,000,000 for fiscal year 2004;</DELETED>
        <DELETED>    ``(4) $92,000,000 for fiscal year 2005; 
        and</DELETED>
        <DELETED>    ``(5) $95,000,000 for fiscal year 2006.</DELETED>
<DELETED>    ``(b) Telecommunications and Technology Initiative.--Of 
the amounts made available under subsection (a), $10,000,000 for each 
fiscal year shall be made available to carry out section 203.</DELETED>
<DELETED>    ``(c) Availability.--Sums made available under subsection 
(a) shall remain available until expended.''.</DELETED>

<DELETED>SEC. 9. TERMINATION.</DELETED>

<DELETED>    Section 405 of the Appalachian Regional Development Act of 
1965 (40 U.S.C. App.) is amended by striking ``2001'' and inserting 
``2006''.</DELETED>

<DELETED>SEC. 10. TECHNICAL AND CONFORMING AMENDMENTS.</DELETED>

<DELETED>    (a) Section 101(b) of the Appalachian Regional Development 
Act of 1965 (40 U.S.C. App.) is amended in the third sentence by 
striking ``implementing investment program'' and inserting ``strategy 
statement''.</DELETED>
<DELETED>    (b) Section 106(7) of the Appalachian Regional Development 
Act of 1965 (40 U.S.C. App.) is amended by striking ``expiring no later 
than September 30, 2001''.</DELETED>
<DELETED>    (c) Sections 202, 214, and 302(a)(1)(C) of the Appalachian 
Regional Development Act of 1965 (40 U.S.C. App.) are amended by 
striking ``grant-in-aid programs'' each place it appears and inserting 
``grant programs''.</DELETED>
<DELETED>    (d) Section 202(a) of the Appalachian Regional Development 
Act of 1965 (40 U.S.C. App.) is amended in the second sentence by 
striking ``title VI of the Public Health Service Act (42 U.S.C. 291-
291o), the Mental Retardation Facilities and Community Mental Health 
Centers Construction Act of 1963 (77 Stat. 282),'' and inserting 
``title VI of the Public Health Service Act (42 U.S.C. 291 et seq.), 
the Developmental Disabilities Assistance and Bill of Rights Act of 
2000 (42 U.S.C. 15001 et seq.),''.</DELETED>
<DELETED>    (e) Section 207(a) of the Appalachian Regional Development 
Act of 1965 (40 U.S.C. App.) is amended by striking ``section 221 of 
the National Housing Act, section 8 of the United States Housing Act of 
1937, section 515 of the Housing Act of 1949,'' and inserting ``section 
221 of the National Housing Act (12 U.S.C. 1715l), section 8 of the 
United States Housing Act of 1937 (42 U.S.C. 1437f), section 515 of the 
Housing Act of 1949 (42 U.S.C. 1485),''.</DELETED>
<DELETED>    (f) Section 214 of the Appalachian Regional Development 
Act of 1965 (40 U.S.C. App.) is amended--</DELETED>
        <DELETED>    (1) in the section heading, by striking ``grant-
        in-aid'' and inserting ``grant'';</DELETED>
        <DELETED>    (2) in subsection (a)--</DELETED>
                <DELETED>    (A) by striking ``grant-in-aid Act'' each 
                place it appears and inserting ``Act'';</DELETED>
                <DELETED>    (B) in the first sentence, by striking 
                ``grant-in-aid Acts'' and inserting ``Acts'';</DELETED>
                <DELETED>    (C) by striking ``grant-in-aid program'' 
                each place it appears and inserting ``grant program''; 
                and</DELETED>
                <DELETED>    (D) by striking the third 
                sentence;</DELETED>
        <DELETED>    (3) by striking subsection (c) and inserting the 
        following:</DELETED>
<DELETED>    ``(c) Definition of Federal Grant Program.--</DELETED>
        <DELETED>    ``(1) In general.--In this section, the term 
        `Federal grant program' means any Federal grant program 
        authorized by this Act or any other Act that provides 
        assistance for--</DELETED>
                <DELETED>    ``(A) the acquisition or development of 
                land;</DELETED>
                <DELETED>    ``(B) the construction or equipment of 
                facilities; or</DELETED>
                <DELETED>    ``(C) any other community or economic 
                development or economic adjustment activity.</DELETED>
        <DELETED>    ``(2) Inclusions.--In this section, the term 
        `Federal grant program' includes a Federal grant program such 
        as a Federal grant program authorized by--</DELETED>
                <DELETED>    ``(A) the Consolidated Farm and Rural 
                Development Act (7 U.S.C. 1921 et seq.);</DELETED>
                <DELETED>    ``(B) the Land and Water Conservation Fund 
                Act of 1965 (16 U.S.C. 460l-4 et seq.);</DELETED>
                <DELETED>    ``(C) the Watershed Protection and Flood 
                Prevention Act (16 U.S.C. 1001 et seq.);</DELETED>
                <DELETED>    ``(D) the Carl D. Perkins Vocational and 
                Technical Education Act of 1998 (20 U.S.C. 2301 et 
                seq.);</DELETED>
                <DELETED>    ``(E) the Federal Water Pollution Control 
                Act (33 U.S.C. 1251 et seq.);</DELETED>
                <DELETED>    ``(F) title VI of the Public Health 
                Service Act (42 U.S.C. 291 et seq.);</DELETED>
                <DELETED>    ``(G) sections 201 and 209 of the Public 
                Works and Economic Development Act of 1965 (42 U.S.C. 
                3141, 3149);</DELETED>
                <DELETED>    ``(H) title I of the Housing and Community 
                Development Act of 1974 (42 U.S.C. 5301 et seq.); 
                or</DELETED>
                <DELETED>    ``(I) part IV of title III of the 
                Communications Act of 1934 (47 U.S.C. 390 et 
                seq.).</DELETED>
        <DELETED>    ``(3) Exclusions.--In this section, the term 
        `Federal grant program' does not include--</DELETED>
                <DELETED>    ``(A) the program for construction of the 
                Appalachian development highway system authorized by 
                section 201;</DELETED>
                <DELETED>    ``(B) any program relating to highway or 
                road construction authorized by title 23, United States 
                Code; or</DELETED>
                <DELETED>    ``(C) any other program under this Act or 
                any other Act to the extent that a form of financial 
                assistance other than a grant is authorized.''; 
                and</DELETED>
        <DELETED>    (4) by striking subsection (d).</DELETED>
<DELETED>    (g) Section 224(a)(2) of the Appalachian Regional 
Development Act of 1965 (40 U.S.C. App.) is amended by striking 
``relative per capita income'' and inserting ``per capita market 
income''.</DELETED>
<DELETED>    (h) Section 225 of the Appalachian Regional Development 
Act of 1965 (40 U.S.C. App.)--</DELETED>
        <DELETED>    (1) in subsection (a)(3), by striking 
        ``development program'' and inserting ``development 
        strategies''; and</DELETED>
        <DELETED>    (2) in subsection (c)(2), by striking 
        ``development programs'' and inserting ``development 
        strategies''.</DELETED>
<DELETED>    (i) Section 303 of the Appalachian Regional Development 
Act of 1965 (40 U.S.C. App.) is amended--</DELETED>
        <DELETED>    (1) in the section heading, by striking 
        ``investment programs'' and inserting ``strategy 
        statements'';</DELETED>
        <DELETED>    (2) in the first sentence, by striking 
        ``implementing investments programs'' and inserting ``strategy 
        statements''; and</DELETED>
        <DELETED>    (3) by striking ``implementing investment 
        program'' each place it appears and inserting ``strategy 
        statement''.</DELETED>
<DELETED>    (j) Section 403 of the Appalachian Regional Development 
Act of 1965 (40 U.S.C. App.) is amended--</DELETED>
        <DELETED>    (1) in the next-to-last undesignated paragraph, by 
        striking ``Committee on Public Works and Transportation'' and 
        inserting ``Committee on Transportation and Infrastructure''; 
        and</DELETED>
        <DELETED>    (2) by striking the last undesignated 
        paragraph.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Appalachian Regional Development Act 
Amendments of 2001''.

SEC. 2. PURPOSES.

    (a) This Act.--The purposes of this Act are--
            (1) to reauthorize the Appalachian Regional Development Act 
        of 1965 (40 U.S.C. App.); and
            (2) to ensure that the people and businesses of the 
        Appalachian region have the knowledge, skills, and access to 
        telecommunication and technology services necessary to compete 
        in the knowledge-based economy of the United States.
    (b) Appalachian Regional Development Act of 1965.--Section 2 of the 
Appalachian Regional Development Act of 1965 (40 U.S.C. App.) is 
amended--
            (1) in subsection (b), by inserting after the third 
        sentence the following: ``Consistent with the goal described in 
        the preceding sentence, the Appalachian region should be able 
        to take advantage of eco-industrial development, which promotes 
        both employment and economic growth and the preservation of 
        natural resources.''; and
            (2) in subsection (c)(2)(B)(ii), by inserting ``, including 
        eco-industrial development technologies'' before the semicolon.

SEC. 3. FUNCTIONS OF THE COMMISSION.

    Section 102(a) of the Appalachian Regional Development Act of 1965 
(40 U.S.C. App.) is amended--
            (1) in paragraph (5), by inserting ``, and support,'' after 
        ``formation of'';
            (2) in paragraph (7), by striking ``and'' at the end;
            (3) in paragraph (8), by striking the period at the end and 
        inserting a semicolon; and
            (4) by adding at the end the following:
            ``(9) encourage the use of eco-industrial development 
        technologies and approaches; and
            ``(10) seek to coordinate the economic development 
        activities of, and the use of economic development resources 
        by, Federal agencies in the region.''.

SEC. 4. INTERAGENCY COORDINATING COUNCIL ON APPALACHIA.

    Section 104 of the Appalachian Regional Development Act of 1965 (40 
U.S.C. App.) is amended--
            (1) by striking ``The President'' and inserting ``(a) In 
        General.--The President''; and
            (2) by adding at the end the following:
    ``(b) Interagency Coordinating Council on Appalachia.--
            ``(1) Establishment.--In carrying out subsection (a), the 
        President shall establish an interagency council to be known as 
        the `Interagency Coordinating Council on Appalachia'.
            ``(2) Membership.--The Council shall be composed of--
                    ``(A) the Federal Cochairman, who shall serve as 
                Chairperson of the Council; and
                    ``(B) representatives of Federal agencies that 
                carry out economic development programs in the 
                region.''.

SEC. 5. TELECOMMUNICATIONS AND TECHNOLOGY INITIATIVE.

    Title II of the Appalachian Regional Development Act of 1965 (40 
U.S.C. App.) is amended by inserting after section 202 the following:

``SEC. 203. TELECOMMUNICATIONS AND TECHNOLOGY INITIATIVE.

    ``(a) In General.--The Commission may provide technical assistance, 
make grants, enter into contracts, or otherwise provide funds to 
persons or entities in the region for projects--
            ``(1) to increase affordable access to advanced 
        telecommunications, entrepreneurship, and management 
        technologies or applications in the region;
            ``(2) to provide education and training in the use of 
        telecommunications and technology;
            ``(3) to develop programs to increase the readiness of 
        industry groups and businesses in the region to engage in 
        electronic commerce; or
            ``(4) to support entrepreneurial opportunities for 
        businesses in the information technology sector.
    ``(b) Source of Funding.--
            ``(1) In general.--Assistance under this section may be 
        provided--
                    ``(A) exclusively from amounts made available to 
                carry out this section; or
                    ``(B) from amounts made available to carry out this 
                section in combination with amounts made available 
                under any other Federal program or from any other 
                source.
            ``(2) Federal share requirements specified in other laws.--
        Notwithstanding any provision of law limiting the Federal share 
        under any other Federal program, amounts made available to 
        carry out this section may be used to increase that Federal 
        share, as the Commission determines to be appropriate.
    ``(c) Cost Sharing for Grants.--Not more than 50 percent (or 80 
percent in the case of a project to be carried out in a county for 
which a distressed county designation is in effect under section 226) 
of the costs of any activity eligible for a grant under this section 
may be provided from funds appropriated to carry out this section.
    ``(d) Broadband Study.--
            ``(1) In general.--The Commission shall make a grant, enter 
        into an agreement, or otherwise provide funds for the conduct 
        of a study on--
                    ``(A) the availability of broadband 
                telecommunications services and access to the Internet 
                through such services in rural and other remote areas;
                    ``(B) the impacts of the availability of those 
                services on those areas; and
                    ``(C) the means that are available for enhancing or 
                facilitating the availability of those services in 
                those areas.
            ``(2) Completion of study.--The study under paragraph (1) 
        shall be completed not later than 18 months after the date of 
        enactment of the Appalachian Regional Development Act 
        Amendments of 2001.''.

SEC. 6. ENTREPRENEURSHIP INITIATIVE.

    Title II of the Appalachian Regional Development Act of 1965 (40 
U.S.C. App.) is amended by inserting after section 203 (as added by 
section 5) the following:

``SEC. 204. ENTREPRENEURSHIP INITIATIVE.

    ``(a) Definition of Business Incubator Service.--In this section, 
the term `business incubator service' means a professional or technical 
service necessary for the initiation and initial sustainment of the 
operations of a newly established business, including a service such 
as--
            ``(1) a legal service, including aid in preparing a 
        corporate charter, partnership agreement, or basic contract;
            ``(2) a service in support of the protection of 
        intellectual property through a patent, a trademark, or any 
        other means;
            ``(3) a service in support of the acquisition and use of 
        advanced technology, including the use of Internet services and 
        Web-based services; and
            ``(4) consultation on strategic planning, marketing, or 
        advertising.
    ``(b) Projects To Be Assisted.--The Commission may provide 
technical assistance, make grants, enter into contracts, or otherwise 
provide funds to persons or entities in the region for projects--
            ``(1) to support the advancement of, and provide, high-
        quality entrepreneurial training and education for youths, 
        students, and businesspersons;
            ``(2) to improve access to debt and equity capital, 
        including the establishment of development venture capital 
        funds;
            ``(3) to aid communities in identifying, developing, and 
        implementing development strategies for various sectors of the 
        economy; and
            ``(4)(A) to develop a working network of business 
        incubators; and
            ``(B) to support entities that provide business incubator 
        services.
    ``(c) Source of Funding.--
            ``(1) In general.--Assistance under this section may be 
        provided--
                    ``(A) exclusively from amounts made available to 
                carry out this section; or
                    ``(B) from amounts made available to carry out this 
                section in combination with amounts made available 
                under any other Federal program or from any other 
                source.
            ``(2) Federal share requirements specified in other laws.--
        Notwithstanding any provision of law limiting the Federal share 
        under any other Federal program, amounts made available to 
        carry out this section may be used to increase that Federal 
        share, as the Commission determines to be appropriate.
    ``(d) Cost Sharing for Grants.--Not more than 50 percent (or 80 
percent in the case of a project to be carried out in a county for 
which a distressed county designation is in effect under section 226) 
of the costs of any activity eligible for a grant under this section 
may be provided from funds appropriated to carry out this section.''.

SEC. 7. REGIONAL SKILLS PARTNERSHIPS.

    Title II of the Appalachian Regional Development Act of 1965 (40 
U.S.C. App.) is amended by inserting after section 204 (as added by 
section 6) the following:

``SEC. 205. REGIONAL SKILLS PARTNERSHIPS.

    ``(a) Definition of Eligible Entity.--In this section, the term 
`eligible entity' means a consortium that--
            ``(1) is established to serve 1 or more industries in a 
        specified geographic area; and
            ``(2) consists of representatives of--
                    ``(A) businesses (or a nonprofit organization that 
                represents businesses);
                    ``(B) labor organizations;
                    ``(C) State and local governments; or
                    ``(D) educational institutions.
    ``(b) Projects To Be Assisted.--The Commission may provide 
technical assistance, make grants, enter into contracts, or otherwise 
provide funds to eligible entities in the region for projects to 
improve the job skills of workers in a specified industry, including 
projects for--
            ``(1) the assessment of training and job skill needs for 
        the industry;
            ``(2) the development of curricula and training methods, 
        including, in appropriate cases, electronic learning or 
        technology-based training;
            ``(3) the purchase, lease, or receipt of donations of 
        training equipment;
            ``(4)(A) the identification of training providers; and
            ``(B) the development of partnerships between the industry 
        and educational institutions, including community colleges;
            ``(5) the development of apprenticeship programs;
            ``(6) the development of training programs for workers, 
        including dislocated workers; and
            ``(7) the development of training plans for businesses.
    ``(c) Administrative Costs.--An eligible entity may use not more 
than 10 percent of the funds made available to the eligible entity 
under subsection (b) to pay administrative costs associated with the 
projects described in subsection (b).
    ``(d) Source of Funding.--
            ``(1) In general.--Assistance under this section may be 
        provided--
                    ``(A) exclusively from amounts made available to 
                carry out this section; or
                    ``(B) from amounts made available to carry out this 
                section in combination with amounts made available 
                under any other Federal program or from any other 
                source.
            ``(2) Federal share requirements specified in other laws.--
        Notwithstanding any provision of law limiting the Federal share 
        under any other Federal program, amounts made available to 
        carry out this section may be used to increase that Federal 
        share, as the Commission determines to be appropriate.
    ``(e) Cost Sharing for Grants.--Not more than 50 percent (or 80 
percent in the case of a project to be carried out in a county for 
which a distressed county designation is in effect under section 226) 
of the costs of any activity eligible for a grant under this section 
may be provided from funds appropriated to carry out this section.''.

SEC. 8. PROGRAM DEVELOPMENT CRITERIA.

    (a) Elimination of Growth Center Criteria.--Section 224(a)(1) of 
the Appalachian Regional Development Act of 1965 (40 U.S.C. App.) is 
amended by striking ``in an area determined by the State have a 
significant potential for growth or''.
    (b) Assistance to Distressed Counties and Areas.--Section 224 of 
the Appalachian Regional Development Act of 1965 (40 U.S.C. App.) is 
amended by adding at the end the following:
    ``(d) Assistance to Distressed Counties and Areas.--For each fiscal 
year, not less than 50 percent of the amount of grant expenditures 
approved by the Commission shall support activities or projects that 
benefit severely and persistently distressed counties and areas.''.

SEC. 9. GRANTS FOR ADMINISTRATIVE EXPENSES OF LOCAL DEVELOPMENT 
              DISTRICTS.

    Section 302(a)(1)(A)(i) of the Appalachian Regional Development Act 
of 1965 (40 U.S.C. App.) is amended by inserting ``(or, at the 
discretion of the Commission, 75 percent of such expenses in the case 
of a local development district that has a charter or authority that 
includes the economic development of a county or part of a county for 
which a distressed county designation is in effect under section 226)'' 
after ``such expenses''.

SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

    Section 401 of the Appalachian Regional Development Act of 1965 (40 
U.S.C. App.) is amended to read as follows:

``SEC. 401. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) In General.--In addition to amounts authorized by section 201 
and other amounts made available for the Appalachian development 
highway system program, there are authorized to be appropriated to the 
Commission to carry out this Act--
            ``(1) $88,000,000 for each of fiscal years 2002 through 
        2004;
            ``(2) $90,000,000 for fiscal year 2005; and
            ``(3) $92,000,000 for fiscal year 2006.
    ``(b) Telecommunications and Technology Initiative.--Of the amounts 
made available under subsection (a), the following amounts may be made 
available to carry out section 203:
            ``(1) $10,000,000 for fiscal year 2002.
            ``(2) $8,000,000 for fiscal year 2003.
            ``(3) $5,000,000 for each of fiscal years 2004 through 
        2006.
    ``(c) Availability.--Sums made available under subsection (a) shall 
remain available until expended.''.

SEC. 11. STUDIES.

    (a) Study of Regional Characteristics of Upper New York State.--
Section 403 of the Appalachian Regional Development Act of 1965 (40 
U.S.C. App.) is amended in the second sentence of the last undesignated 
paragraph by striking ``June 30, 1970'' and inserting ``September 30, 
2002''.
    (b) Study of Impacts of Terrorist Attacks on Economy of New York.--
            (1) In general.--The Appalachian Regional Commission shall 
        provide for a study to be conducted by an academic institution 
        located within the Appalachian region of New York State--
                    (A) to examine the immediate and potential short-
                term and long-term economic impacts of the events of 
                September 11, 2001, on New York City and on other areas 
                of New York State; and
                    (B) to identify mechanisms and resources that could 
                be used to prevent, reduce, and ameliorate those 
                impacts.
            (2) Completion of study.--The study under paragraph (1) 
        shall be completed not later than 1 year after the date of 
        enactment of this Act.
            (3) Authorization of appropriations.--There is authorized 
        to be appropriated to the Appalachian Regional Commission to 
        carry out this subsection $300,000 for fiscal year 2002, to 
        remain available until expended.

SEC. 12. TERMINATION.

    Section 405 of the Appalachian Regional Development Act of 1965 (40 
U.S.C. App.) is amended by striking ``2001'' and inserting ``2006''.

SEC. 13. TECHNICAL AND CONFORMING AMENDMENTS.

    (a) Section 101(b) of the Appalachian Regional Development Act of 
1965 (40 U.S.C. App.) is amended in the third sentence by striking 
``implementing investment program'' and inserting ``strategy 
statement''.
    (b) Section 106(7) of the Appalachian Regional Development Act of 
1965 (40 U.S.C. App.) is amended by striking ``expiring no later than 
September 30, 2001''.
    (c) Sections 202, 214, and 302(a)(1)(C) of the Appalachian Regional 
Development Act of 1965 (40 U.S.C. App.) are amended by striking 
``grant-in-aid programs'' each place it appears and inserting ``grant 
programs''.
    (d) Section 202(a) of the Appalachian Regional Development Act of 
1965 (40 U.S.C. App.) is amended in the second sentence by striking 
``title VI of the Public Health Service Act (42 U.S.C. 291-291o), the 
Mental Retardation Facilities and Community Mental Health Centers 
Construction Act of 1963 (77 Stat. 282),'' and inserting ``title VI of 
the Public Health Service Act (42 U.S.C. 291 et seq.), the 
Developmental Disabilities Assistance and Bill of Rights Act of 2000 
(42 U.S.C. 15001 et seq.),''.
    (e) Section 207(a) of the Appalachian Regional Development Act of 
1965 (40 U.S.C. App.) is amended by striking ``section 221 of the 
National Housing Act, section 8 of the United States Housing Act of 
1937, section 515 of the Housing Act of 1949,'' and inserting ``section 
221 of the National Housing Act (12 U.S.C. 1715l), section 8 of the 
United States Housing Act of 1937 (42 U.S.C. 1437f), section 515 of the 
Housing Act of 1949 (42 U.S.C. 1485),''.
    (f) Section 214 of the Appalachian Regional Development Act of 1965 
(40 U.S.C. App.) is amended--
            (1) in the section heading, by striking ``grant-in-aid'' 
        and inserting ``grant'';
            (2) in subsection (a)--
                    (A) by striking ``grant-in-aid Act'' each place it 
                appears and inserting ``Act'';
                    (B) in the first sentence, by striking ``grant-in-
                aid Acts'' and inserting ``Acts'';
                    (C) by striking ``grant-in-aid program'' each place 
                it appears and inserting ``grant program''; and
                    (D) by striking the third sentence;
            (3) by striking subsection (c) and inserting the following:
    ``(c) Definition of Federal Grant Program.--
            ``(1) In general.--In this section, the term `Federal grant 
        program' means any Federal grant program authorized by this Act 
        or any other Act that provides assistance for--
                    ``(A) the acquisition or development of land;
                    ``(B) the construction or equipment of facilities; 
                or
                    ``(C) any other community or economic development 
                or economic adjustment activity.
            ``(2) Inclusions.--In this section, the term `Federal grant 
        program' includes a Federal grant program such as a Federal 
        grant program authorized by--
                    ``(A) the Consolidated Farm and Rural Development 
                Act (7 U.S.C. 1921 et seq.);
                    ``(B) the Land and Water Conservation Fund Act of 
                1965 (16 U.S.C. 460l-4 et seq.);
                    ``(C) the Watershed Protection and Flood Prevention 
                Act (16 U.S.C. 1001 et seq.);
                    ``(D) the Carl D. Perkins Vocational and Technical 
                Education Act of 1998 (20 U.S.C. 2301 et seq.);
                    ``(E) the Federal Water Pollution Control Act (33 
                U.S.C. 1251 et seq.);
                    ``(F) title VI of the Public Health Service Act (42 
                U.S.C. 291 et seq.);
                    ``(G) sections 201 and 209 of the Public Works and 
                Economic Development Act of 1965 (42 U.S.C. 3141, 
                3149);
                    ``(H) title I of the Housing and Community 
                Development Act of 1974 (42 U.S.C. 5301 et seq.); or
                    ``(I) part IV of title III of the Communications 
                Act of 1934 (47 U.S.C. 390 et seq.).
            ``(3) Exclusions.--In this section, the term `Federal grant 
        program' does not include--
                    ``(A) the program for construction of the 
                Appalachian development highway system authorized by 
                section 201;
                    ``(B) any program relating to highway or road 
                construction authorized by title 23, United States 
                Code; or
                    ``(C) any other program under this Act or any other 
                Act to the extent that a form of financial assistance 
                other than a grant is authorized.''; and
            (4) by striking subsection (d).
    (g) Section 224(a)(2) of the Appalachian Regional Development Act 
of 1965 (40 U.S.C. App.) is amended by striking ``relative per capita 
income'' and inserting ``per capita market income''.
    (h) Section 225 of the Appalachian Regional Development Act of 1965 
(40 U.S.C. App.)--
            (1) in subsection (a)(3), by striking ``development 
        program'' and inserting ``development strategies''; and
            (2) in subsection (c)(2), by striking ``development 
        programs'' and inserting ``development strategies''.
    (i) Section 303 of the Appalachian Regional Development Act of 1965 
(40 U.S.C. App.) is amended--
            (1) in the section heading, by striking ``investment 
        programs'' and inserting ``strategy statements'';
            (2) in the first sentence, by striking ``implementing 
        investments programs'' and inserting ``strategy statements''; 
        and
            (3) by striking ``implementing investment program'' each 
        place it appears and inserting ``strategy statement''.
    (j) Section 403 of the Appalachian Regional Development Act of 1965 
(40 U.S.C. App.) is amended in the next-to-last undesignated paragraph 
by striking ``Committee on Public Works and Transportation'' and 
inserting ``Committee on Transportation and Infrastructure''.




                                                       Calendar No. 303

107th CONGRESS

  1st Session

                                S. 1206

                          [Report No. 107-132]

_______________________________________________________________________

                                 A BILL

 To reauthorize the Appalachian Regional Development Act of 1965, and 
                          for other purposes.

_______________________________________________________________________

            December 20 (legislative day, December 18), 2001

                       Reported with an amendment