II Calendar No. 136 110th CONGRESS 1st Session S. 496 [Report No. 110–63] IN THE SENATE OF THE UNITED STATES February 6, 2007 Mr. Voinovich (for himself, Mrs. Clinton, Mr. Warner, Mr. Byrd, Mr. Lott, Mr. Brown, Mr. Cochran, Mr. Schumer, Mr. Burr, Mr. Cardin, Ms. Mikulski, Mrs. Dole, Mr. Alexander, Mr. Shelby, Mr. Graham, Mr. Rockefeller, Mr. Sessions, Mr. Specter, and Mr. McConnell) introduced the following bill; which was read twice and referred to the Committee on Environment and Public Works May 7, 2007 Reported by Mrs. Boxer, with amendments Omit the part struck through and insert the part printed in italic A BILL To reauthorize and improve the program authorized by the Appalachian Regional Development Act of 1965.

1.

Short title

This Act may be cited as the Appalachian Regional Development Act Amendments of 2007.

2.

Limitation on available amounts; maximum commission contribution

(a)

Grants and other assistance

Section 14321(a) of title 40, United States Code, is amended— (1)in paragraph (1)(A), by striking clause (i) and inserting the following: (i)the amount of the grant shall not exceed— (I)50 percent of administrative expenses; (II)at the discretion of the Commission, if the grant is to a local development district that has a charter or authority that includes the economic development of a county or a part of a county for which a distressed county designation is in effect under section 14526, 75 percent of administrative expenses; or (III)at the discretion of the Commission, if the grant is to a local development district that has a charter or authority that includes the economic development of a county or a part of a county for which an at-risk county designation is in effect under section 14526, 70 percent of administrative expenses; ; and (2)in paragraph (2), by striking subparagraph (A) and inserting the following: (A)

In general

Except as provided in subparagraph (B), of the cost of any project eligible for financial assistance under this section, not more than— (i)50 percent may be provided from amounts made available to carry out this subtitle; (ii)in the case of a project to be carried out in a county for which a distressed county designation is in effect under section 14526, 80 percent may be provided from amounts made available to carry out this subtitle; or (iii)in the case of a project to be carried out in a county for which an at-risk county designation is in effect under section 14526, 70 percent may be provided from amounts made available to carry out this subtitle. . (b)

Demonstration health projects

Section 14502 of title 40, United States Code, is amended— (1)in subsection (d), by striking paragraph (2) and inserting the following: (2)

Limitation on available amounts

Grants under this section for the operation (including initial operating amounts and operating deficits, which include the cost of attracting, training, and retaining qualified personnel) of a demonstration health project, whether or not constructed with amounts authorized to be appropriated by this section, may be provided for up to— (A)50 percent of the cost of that operation; (B)in the case of a project to be carried out in a county for which a distressed county designation is in effect under section 14526, 80 percent of the cost of that operation; or (C)in the case of a project to be carried out in a county for which an at-risk county designation is in effect under section 14526, 70 percent of the cost of that operation. ; and (2)in subsection (f), by adding at the end the following: (3)

At-risk counties

The maximum Commission contribution for a project to be carried out in a county for which an at-risk county designation is in effect under section 14526 may be increased to the lesser of— (A)70 percent; or (B)the maximum Federal contribution percentage authorized by this section. . (c)

Assistance for proposed low- and middle-income housing projects

Section 14503 of title 40, United States Code, is amended— (1)in subsection (d), by striking paragraph (1) and inserting the following: (1)

Limitation on available amounts

A loan under subsection (b) for the cost of planning and obtaining financing (including the cost of preliminary surveys and analyses of market needs, preliminary site engineering and architectural fees, site options, application and mortgage commitment fees, legal fees, and construction loan fees and discounts) of a project described in that subsection may be made for up to— (A)50 percent of that cost; (B)in the case of a project to be carried out in a county for which a distressed county designation is in effect under section 14526, 80 percent of that cost; or (C)in the case of a project to be carried out in a county for which an at-risk county designation is in effect under section 14526, 70 percent of that cost. ; and (2)in subsection (e), by striking paragraph (1) and inserting the following: (1)

In general

A grant under this section for expenses incidental to planning and obtaining financing for a project under this section that the Secretary considers to be unrecoverable from the proceeds of a permanent loan made to finance the project shall— (A)not be made to an organization established for profit; and (B)except as provided in paragraph (2), not exceed— (i)50 percent of those expenses; (ii)in the case of a project to be carried out in a county for which a distressed county designation is in effect under section 14526, 80 percent of those expenses; or (iii)in the case of a project to be carried out in a county for which an at-risk county designation is in effect under section 14526, 70 percent of those expenses. . (d)

Telecommunications and technology initiative

Section 14504 of title 40, United States Code, is amended by striking subsection (b) and inserting the following: (b)

Limitation on available amounts

Of the cost of any project eligible for a grant under this section, not more than— (1)50 percent may be provided from amounts made available to carry out this section; (2)in the case of a project to be carried out in a county for which a distressed county designation is in effect under section 14526, 80 percent may be provided from amounts made available to carry out this section; or (3)in the case of a project to be carried out in a county for which an at-risk county designation is in effect under section 14526, 70 percent may be provided from amounts made available to carry out this section. . (e)

Entrepreneurship initiative

Section 14505 of title 40, United States Code, is amended by striking subsection (c) and inserting the following: (c)

Limitation on available amounts

Of the cost of any project eligible for a grant under this section, not more than— (1)50 percent may be provided from amounts made available to carry out this section; (2)in the case of a project to be carried out in a county for which a distressed county designation is in effect under section 14526, 80 percent may be provided from amounts made available to carry out this section; or (3)in the case of a project to be carried out in a county for which an at-risk county designation is in effect under section 14526, 70 percent may be provided from amounts made available to carry out this section. . (f)

Regional skills partnerships

Section 14506 of title 40, United States Code, is amended by striking subsection (d) and inserting the following: (d)

Limitation on available amounts

Of the cost of any project eligible for a grant under this section, not more than— (1)50 percent may be provided from amounts made available to carry out this section; (2)in the case of a project to be carried out in a county for which a distressed county designation is in effect under section 14526, 80 percent may be provided from amounts made available to carry out this section; or (3)in the case of a project to be carried out in a county for which an at-risk county designation is in effect under section 14526, 70 percent may be provided from amounts made available to carry out this section. . (g)

Supplements to Federal grant programs

Section 14507(g) of title 40, United States Code, is amended— (1)in paragraph (1), by striking paragraph (2) and inserting paragraphs (2) and (3); and (2)by adding at the end the following: (3)

At-risk counties

The maximum Commission contribution for a project to be carried out in a county for which an at-risk county designation is in effect under section 14526 may be increased to 70 percent. .

3.

Economic and energy development initiative

(a)

In general

Subchapter I of chapter 145 of subtitle IV of title 40, United States Code, is amended by adding at the end the following:

14508.

Economic and energy development initiative

(a)

Projects To be assisted

The Appalachian Regional Commission may provide technical assistance, provide grants, enter into contracts, or otherwise provide amounts to individuals or entities in the Appalachian region for use in carrying out projects and activities— (1)to promote energy efficiency in the Appalachian region to enhance the economic competitiveness of the Appalachian region; and (2)to increase the use of renewable energy resources, particularly biomass, in the Appalachian region to produce alternative transportation fuels, electricity, and heat.; and (3)to support the development of conventional energy resources, particularly advanced clean coal, in the Appalachian region to produce alternative transportation fuels, electricity, and heat. (b)

Limitation on Available Amounts

Of the cost of any project eligible to be funded by a grant under this section, not more than— (1)50 percent may be provided from amounts made available to carry out this section; (2)in the case of a project to be carried out in a county for which a distressed county designation is in effect under section 14526, 80 percent may be provided from amounts made available to carry out this section; and (3)in the case of a project to be carried out in a county for which an at-risk county designation is in effect under section 14526, 70 percent may be provided from amounts made available to carry out this section. (c)

Sources of Assistance

Subject to subsection (b), grants provided under this section may be provided— (1)entirely from amounts made available to carry out this section; or (2)from amounts made available to carry out this section, in combination with amounts made available under other Federal programs or from any other source. (d)

Federal Share

Notwithstanding any other provision of law limiting a Federal share of the cost of a project 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.

. (b)

Conforming amendment

The analysis for chapter 145 of title 40, United States Code, is amended by inserting after the item relating to section 14507 the following: 14508. Economic and energy development initiative. .

4.

Distressed, at-risk, and economically strong counties

(a)

Designation of at-risk counties

Section 14526 of title 40, United States Code, is amended— (1)in the section heading, by inserting , at-risk, after Distressed; and (2)in subsection (a)(1)— (A)by redesignating subparagraph (B) as subparagraph (C); (B)in subparagraph (A), by striking and at the end; and (C)by inserting after subparagraph (A) the following: (B)designate as at-risk counties those counties in the Appalachian region that are most at risk of becoming economically distressed; and . (b)

Conforming amendment

The analysis for chapter 145 of title 40, United States Code, is amended by striking the item relating to section 14526 and inserting the following: 14526. Distressed, at-risk, and economically strong counties. .

5.

Authorization of appropriations

(a)

In general

Section 14703 of title 40, United States Code, is amended to read as follows:

14703.

Authorization of appropriations

(a)

In general

In addition to the amounts made available under section 14501, there are authorized to be appropriated to the Appalachian Regional Commission to carry out this subtitle— (1)$95,200,000 for fiscal year 2007; (2)$98,600,000 for fiscal year 2008; (3)$102,000,000 for fiscal year 2009; (4)$105,700,000 for fiscal year 2010; and (5)$109,400,000 for fiscal year 2011. (b)

Telecommunications and technology initiative

Of the amounts made available under subsection (a), the following amounts may be used to carry out section 14504: (1)$10,000,000 for fiscal year 2007. (2)$8,000,000 for fiscal year 2008. (3)$5,000,000 for each of fiscal years 2009 through 2011. (c)

Economic and energy initiative

Of the amounts made available under subsection (a), the following amounts may be used to carry out section 14508: (1)$12,000,000 for fiscal year 2007. (2)$12,400,000 for fiscal year 2008. (3)$12,900,000 for fiscal year 2009. (4)$13,300,000 for fiscal year 2010. (5)$13,800,000 for fiscal year 2011. (d)

Availability

Amounts made available under subsection (a) shall remain available until expended. (e)

Allocation of funds

Funds approved by the Appalachian Regional Commission for a project in an Appalachian State pursuant to a congressional directive shall be derived from the total amount allocated to the State by the Appalachian Regional Commission from amounts made available to carry out this subtitle.

.

6.

Termination

Section 14704 of title 40, United States Code, is amended by striking 20062007 and inserting 2011.

7.

Effective date

The amendments made by this Act take effect on October 1, 2006.

May 7, 2007 Reported with amendments