I 111th CONGRESS 1st Session H. R. 826 IN THE HOUSE OF REPRESENTATIVES February 3, 2009 Mr. McHugh introduced the following bill; which was referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned A BILL To establish a grant program to support cluster-based economic development efforts.

1.

Short title

This Act may be cited as the Cluster-Based Economy Enhancement Act of 2009.

2.

Grants for cluster-based economic development

(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:

219.

Grants for cluster-based economic development

(a)

Definitions

In this section, the following definitions apply: (1)

Cluster

The term cluster means a geographic concentration of business entities that— (A)are in competing, complementary, or interdependent firms and industries; (B)do business with one another; and (C)have common needs for talent, technology, and infrastructure. (2)

Eligible applicant

The term eligible applicant means— (A)a State or local government; (B)an institution of higher education; or (C)a nonprofit economic development organization. (3)

Region

The term region means an area that on the date of submission of an application for a grant under this section, meets 1 or more of the criteria described in section 301(a), and— (A)is determined by the Secretary to qualify for a grant under this section; or (B)has been designated by the Consolidated Farm and Rural Development Act and the Food, Conservation, and Energy Act of 2008, as an area in which a regional development commission has been established, including: (i)

The Delta Region

The term Delta Region means the region defined in section 382A(2) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2009aa(2)). (ii)

The Northern Great Plains Region

The term Northern Great Plains Region means the region defined in section 383A(4) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2009bb(4)). (iii)

The Southeast Crescent Region

The term Southeast Crescent Region means the region defined in section 15731 of title 40, United States Code (as amended by the Food, Conservation, and Energy Act of 2008 (Public Law 110–234)). (iv)

The Southwest Border Region

The term Southwest Border Region means the region defined in section 15732 of title 40, United States Code (as amended by the Food, Conservation, and Energy Act of 2008 (Public Law 110–234)). (v)

The Northern Border Region

The term Northern Border Region means the region defined in section 15733 of title 40, United States Code (as amended by the Food, Conservation, and Energy Act of 2008 (Public Law 110–234)). (b)

Grants

On the application of an eligible applicant, the Secretary may make a grant— (1)to assess the potential for the development of clusters and the enhancement of existing clusters; (2)to establish cluster development programs in a region; and (3)to promote cluster development programs in a region and support the staff who operate such programs. (c)

Cost sharing

(1)

In general

The Federal share of the cost of a project carried out using funds made available under this section shall be 50 percent. (2)

In-kind contributions

Not more than 50 percent of the non-Federal share of the cost of a project carried out using funds made available under this section may be provided through in-kind contributions. (3)

Inapplicability of certain section

Section 204 shall not apply to this section. (d)

Authorization of appropriations

There is authorized to be appropriated to carry out this section $50,000,000, 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 218 the following: Sec. 219. Grants for cluster-based economic development. .