Congressional Record, Volume 149 Issue 148 (Tuesday, October 21, 2003)

[Congressional Record Volume 149, Number 148 (Tuesday, October 21, 2003)]
[House]
[Pages H9759-H9770]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

ECONOMIC DEVELOPMENT ADMINISTRATION REAUTHORIZATION ACT OF 2003

Mr. LaTOURETTE. Mr. Speaker, pursuant to the order of the House of
Monday, October 20, 2003, I call up the bill (H.R. 2535) to reauthorize
and improve the program authorized by the Public Works and Economic
Development Act of 1965, and ask for its immediate consideration.
The Clerk read the title of the bill.
The SPEAKER pro tempore. Pursuant to the order of the House of
Monday, October 20, 2003, the bill is considered read for amendment.
The text of H.R. 2535 is as follows:

H.R. 2535

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

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Economic Development
Administration Reauthorization Act of 2003''.

SEC. 2. AMENDMENTS TO PUBLIC WORKS AND ECONOMIC DEVELOPMENT
ACT OF 1965.

Except as otherwise expressly provided, whenever in this
Act an amendment or repeal is expressed in terms of an
amendment to, or a repeal of, a section or other provision,
the reference shall be considered to be made to a section or
other provision of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3121 et seq.).

TITLE I--GENERAL PROVISIONS

SEC. 101. FINDINGS AND DECLARATIONS.

Section 2 (42 U.S.C. 3121) is amended to read as follows:

``SEC. 2. FINDINGS AND DECLARATIONS.

``(a) Findings.--Congress finds the following:
``(1) There continue to be areas experiencing chronic high
unemployment, underemployment, outmigration, and low per
capita incomes, as well as areas facing sudden and severe
economic dislocations due to 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 our Nation, States, cities, and
rural areas is produced by expanding economic opportunities,
expanding free enterprise through trade, developing 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
encouraging communities to develop a more competitive and
diversified economic base by--
``(A) creating an environment that promotes economic
activity by improving and expanding public infrastructure;
``(B) promoting job creation through increased innovation,
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 local, regional, tribal, and State
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
simplified and consistent requirements.
``(6) Federal economic development efforts will be more
effective if they are coordinated with, and build upon, the
trade, workforce investment, transportation, and technology
programs of the United States.
``(b) Declarations.--In order to promote a strong and
growing economy throughout the United States, Congress
declares the following:
``(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 their capacity 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.''.

SEC. 102. DEFINITIONS.

(a) Eligible Recipient.--Section 3(4)(A) (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 so redesignated) 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.--Section 3 (42 U.S.C. 3122) is
amended--
(1) by redesignating paragraphs (8), (9), and (10) as
paragraphs (9), (10), and (11), respectively; and
(2) by inserting after paragraph (7) the following:
``(8) Regional commissions.--The term `Regional
Commissions' means the following entities:
``(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. 2131 note; 112 Stat. 2681-
637 et seq.).
``(D) The Northern Great Plains Regional Authority
established under subtitle F of the Consolidated Farm and
Rural Development Act (7 U.S.C. 2009bb et seq.).''.
(c) University Center.--Section 3 (42 U.S.C. 3122) is
amended 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).''.

SEC. 103. ESTABLISHMENT OF ECONOMIC DEVELOPMENT PARTNERSHIPS.

Section 101 (42 U.S.C. 3131) is amended--
(1) in subsection (b) by striking ``and multi-State
regional organizations'' and inserting ``multi-State regional
organizations, and nonprofit organizations''; and
(2) in subsection (d)(1) by striking ``adjoining'' each
place it appears.

SEC. 104. COORDINATION.

Section 103 (42 U.S.C. 3132) is amended--
(1) by inserting ``(a) In General.--'' before ``The
Secretary'';
(2) in subsection (a) (as so designated) by inserting
``Indian tribes,'' after ``districts,''; and

[[Page H9760]]

(3) by adding at the end the following:
``(b) Meetings.--To carry out the responsibilities in
subsection (a), or for any other purpose related 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) (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 subparagraph (E);
and
(C) by inserting after subparagraph (C) the following:
``(D) assist in carrying out a State's workforce investment
strategy; and''.

SEC. 202. COST SHARING.

(a) Federal Share.--Section 204(a) (42 U.S.C. 3144(a)) is
amended to read as follows:
``(a) Federal Share.--The Secretary shall issue regulations
to establish the Federal share of the cost of projects
carried out under this title based on the relative needs of
the areas in which the projects will be located. Except as
provided in subsection (c), the Federal share of the cost of
any project carried out under this title shall not exceed 80
percent.''.
(b) Non-Federal Share.--Section 204(b) (42 U.S.C. 3144(b))
is amended by inserting ``assumptions of debt,'' after
``equipment,''.
(c) Increase in Federal Share.--Section 204 (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 nonprofit
organizations.--In the case of a grant to a State, or a
political subdivision of a State, that the Secretary
determines has exhausted its effective taxing and borrowing
capacity, or in the case of a grant to a nonprofit
organization that the Secretary determines has exhausted its
effective borrowing capacity, the Secretary may increase the
Federal share above the percentage specified in subsection
(a) up to 100 percent of the cost of the project.''.

SEC. 203. SUPPLEMENTARY GRANTS.

(a) In General.--Section 205(b) (42 U.S.C. 3145(b)) is
amended to read as follows:
``(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 recipient's economic
situation.''.
(b) Requirements Applicable to Supplementary Grants.--
Section 205(c) (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
``(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 (42 U.S.C. 3146) is amended--
(1) by striking ``and'' at the end of paragraph (1)(B);
(2) by striking the period at the end of paragraph (2) and
inserting ``; and''; and
(3) by adding at the end the following:
``(3) 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
ASSISTANCE.

(a) In General.--Section 207(a)(2) (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 (H);
and
(3) by inserting after subparagraph (F) the following:
``(G) studies that evaluate the effectiveness of
coordinating projects funded under this Act with projects
funded under other Acts; and''.
(b) Cooperation Requirement.--Section 207(a) (42 U.S.C.
3147(a)) is amended by adding at the end the following:
``(4) 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.

Section 208 (42 U.S.C. 3148), and the item relating to
section 208 in the table of contents contained in section
1(b), are repealed.

SEC. 207. GRANTS FOR ECONOMIC ADJUSTMENT.

SEC. 208. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER
PROJECTED COST.

Section 211 (42 U.S.C. 3151) is amended to read as follows:

``SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER
PROJECTED 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 Secretary may
approve, without further appropriations action, the use of
the excess funds (or a portion of the excess funds) by the
recipient to increase the Federal share of the cost of a
project under this subtitle to the maximum percentage
allowable under section 204 or 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 utilizing funds
transferred from other Federal agencies pursuant to section
604, the Secretary shall--
``(1) utilize the funds in accordance with subsection (a),
with the approval of the originating agency; or
``(2) return the funds to the originating agency.''.

SEC. 209. SPECIAL IMPACT AREAS.

(a) In General.--Title II (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, the Secretary may determine that the recipient is
unable to comply with the requirements of section 302 and
designate the area represented by the recipient as a special
impact area.
``(b) Waivers.--Subject to the requirements of this
section, the Secretary may waive, in whole or in part, as
appropriate, the requirements of section 302 with respect to
a special impact area designated under subsection (a) if the
Secretary determines that the waiver will carry out the
purposes of the Act.
``(c) Notification Requirement.--At least 30 days before
issuing a waiver under this section, the Secretary shall
transmit to the Committee on Transportation and
Infrastructure of the House of Representatives and the
Committee on Environment and Public Works of the Senate a
written notice of the waiver, including a justification for
the waiver.''.
(b) Conforming Amendment.--The table of sections contained
in section 1(b) is amended by inserting after the item
relating to section 213 the following:

``Sec. 214. Special impact areas.''.

SEC. 210. PERFORMANCE INCENTIVE GRANTS.

(a) In General.--Title II (42 U.S.C. 3141 et seq.) is
further amended by adding at the end the following:

[[Page H9761]]

``SEC. 215. PERFORMANCE INCENTIVE GRANTS.

``(a) In General.--The Secretary may make a performance
incentive grant in connection with a project grant made, on
or after the date of enactment of this section, to an
eligible recipient under section 201 or 209.
``(b) Performance Measures.--
``(1) Regulations.--The Secretary shall issue regulations
to establish performance measures for making performance
incentive grants under subsection (a).
``(2) Considerations.--In issuing regulations under
paragraph (1), the Secretary shall consider including
performance measures that assess the following factors:
``(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.
``(D) Such other factors as the Secretary determines
appropriate.
``(c) Amount of Grants.--
``(1) In general.--The Secretary shall base the amount of a
performance incentive grant under subsection (a) on the
extent to which a recipient meets or exceeds performance
measures established in connection with the applicable
project grant.
``(2) Maximum amount.--The amount of a performance
incentive grant may not exceed 10 percent of the amount of
the applicable project grant.
``(3) Federal share.--Notwithstanding section 204, the
amounts of a performance incentive grant may be used for up
to 100 percent of the cost of an eligible project or
activity. For the purposes of meeting the non-Federal share
requirements of this Act, or any other Act, the amounts of a
performance grant shall be treated as funds from a non-
Federal source.
``(d) Use of Performance Incentive Grants.--A recipient of
a performance incentive grant under subsection (a) may use
the grant for any eligible purpose under this Act, in
accordance with section 602 and such regulations as the
Secretary may prescribe.
``(e) Terms and Conditions.-- In making performance
incentive grants under subsection (a), the Secretary shall
establish such terms and conditions as the Secretary
considers appropriate.
``(f) Funding.--The Secretary shall carry out this section
using any amounts made available for economic development
assistance programs.
``(g) Reporting Requirement.--The Secretary shall include
information regarding the award of performance incentive
grants under this section in the annual report required under
section 603.
``(h) Review by Comptroller General.--
``(1) Review.--The Comptroller General shall review the
implementation of this section in each fiscal year.
``(2) Annual report.--Not later than one year after the
date of enactment of this section, and annually thereafter,
the Comptroller General shall transmit to the Committee on
Transportation and Infrastructure of the House of
Representatives and the Committee on Environment and Public
Works of the Senate a report on the Comptroller's findings
under this subsection.''.
(b) Conforming Amendment.--The table of sections contained
in section 1(b) is amended by inserting after the item
relating to section 214 the following:

``Sec. 215. performance incentive grants.''.

SEC. 211. SUBGRANTS.

(a) In General.--Title II (42 U.S.C. 3141 et seq.) is
further amended by adding at the end the following:

``SEC. 216. SUBGRANTS.

``(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.''.
(b) Conforming Amendment.--The table of sections contained
in section 1(b) is amended by inserting after the item
relating to section 215 the following:

``Sec. 216. Subgrants.''.

SEC. 212. BROWNFIELDS REDEVELOPMENT.

(a) In General.--Title II (42 U.S.C. 3141 et seq.) is
further amended by adding at the end the following:

``SEC. 217. BROWNFIELDS REDEVELOPMENT.

``(a) In General.--On the application of a qualified
eligible recipient, the Secretary may make grants under
sections 201, 203, 207, and 209 for projects to expand,
redevelop, or reuse brownfield sites.
``(b) Limitations.--Projects carried out under this section
shall be subject to the limitations of section 104(k)(4)(B)
of the Comprehensive Environmental Response, Compensation,
and Liability Act of 1980 (42 U.S.C. 9604(k)(4)(B)).
``(c) Definitions.--In this section, the following
definitions apply:
``(1) Brownfield site.--The term `brownfield site' has the
meaning given such term in section 101(39) of the
Comprehensive Environmental Response, Compensation, and
Liability Act of 1980 (42 U.S.C. 9601(39)).
``(2) Qualified eligible recipient.--The term `qualified
eligible recipient' means an eligible recipient that meets
the definition of `eligible entity' in section 104(k)(1) of
the Comprehensive Environmental Response, Compensation, and
Liability Act of 1980 (42 U.S.C. 9604(k)(1)).''.
(b) Conforming Amendment.--The table of sections contained
in section 1(b) is amended by inserting after the item
relating to section 216 the following:

``Sec. 217. Brownfields redevelopment.''.

SEC. 213. BRIGHTFIELDS DEMONSTRATION PROGRAM.

(a) In General.--Title II (42 U.S.C. 3141 et seq.) is
further amended by adding at the end the following:

``SEC. 218. BRIGHTFIELDS DEMONSTRATION PROGRAM.

``(a) In General.--On the application of a qualified
eligible recipient, the Secretary may make a grant for a
project for the development of brightfield sites if the
Secretary determines that the project will--
``(1) utilize solar energy technologies to develop
abandoned or contaminated sites for commercial use; and
``(2) improve the commercial and economic opportunities in
the area where the project is located.
``(b) Limitations.--Projects carried out under this section
shall be subject to the limitations of section 104(k)(4)(B)
of the Comprehensive Environmental Response, Compensation,
and Liability Act of 1980 (42 U.S.C. 9604(k)(4)(B)).
``(c) Definitions.--In this section, the following
definitions apply:
``(1) Brightfield site.--The term `brightfield site' means
a brownfield site (as defined in section 217) that is
redeveloped through the incorporation of solar energy
technologies.
``(2) Qualified eligible recipient.--The term `qualified
eligible recipient' has the meaning given such term in
section 217.
``(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. Such sums shall
remain available until expended.''.
(b) Conforming Amendment.--The table of sections contained
in section 1(b) is amended by inserting after the item
relating to section 217 the following:

``Sec. 218. Brightfields demonstration program.''.

TITLE III--COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

SEC. 301. COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES.

(a) In General.--Section 302(a)(3)(A) (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,''
after ``access,''.
(b) Approval of Other Plan.--Section 302(c) (42 U.S.C.
3162(c)) is amended by adding at the end the following: ``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. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT
STRATEGIES TO REGIONAL COMMISSIONS.

(a) In General.--Section 404 (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 one or more of the Regional Commissions (as
defined in section 3), 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 sections contained
in section 1(b) is amended by striking the item relating to
section 404 and inserting the following:

``Sec. 404. Provision of comprehensive economic development strategies
to Regional Commissions.''.

TITLE V--ADMINISTRATION

SEC. 501. ECONOMIC DEVELOPMENT INFORMATION CLEARINGHOUSE.

Section 502 (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 ``and'' at the end of paragraph (2);
(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.

Section 505 (42 U.S.C. 3195), and the item relating to
section 505 in the table of contents contained in section
1(b), are repealed.

SEC. 503. PERFORMANCE EVALUATIONS OF GRANT RECIPIENTS.

Section 506(c) (42 U.S.C. 3196(c)) is amended by striking
``after the effective date of the Economic Development
Administration Reform Act of 1998''.

SEC. 504. CONFORMING AMENDMENTS.

(a) Standards.--Section 602 (42 U.S.C. 3212) is amended--

[[Page H9762]]

(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''.
(b) Evaluation Criteria.--Section 506(d)(2) (42 U.S.C.
3196(d)(2)) is amended by inserting ``program performance,''
after ``applied research,''.

TITLE VI--MISCELLANEOUS

SEC. 601. RELATIONSHIP TO ASSISTANCE UNDER OTHER LAW.

Section 609 (42 U.S.C. 3219) is amended--
(1) by striking subsection (a); and
(2) by striking ``(b) Assistance Under Other Acts.--''.

TITLE VII--FUNDING

SEC. 701. AUTHORIZATION OF APPROPRIATIONS.

Section 701 (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
assistance programs to carry out this Act--
``(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.

Such sums shall remain available until expended.
``(b) Salaries and Expenses.--There are authorized to be
appropriated for salaries and expenses of administering this
Act $33,377,000 for fiscal year 2004 and such sums as may be
necessary for each fiscal year thereafter. Such sums shall
remain available until expended.''.

The SPEAKER pro tempore. The committee amendment in the nature of a
substitute printed in the bill, modified by the amendment designated by
the previous order of the House, is adopted.
The text of the committee amendment in the nature of a substitute, as
modified, is as follows:

H.R. 2535

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 2003''.
(b) Table of Contents.--

Sec. 1. Short title; table of contents.
Sec. 2. Amendments to Public Works and Economic Development Act of
1965.

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. Subgrants.
Sec. 213. Brownfields redevelopment.
Sec. 214. Brightfields demonstration program.

TITLE III--COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

Sec. 301. 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. Relationship to assistance under other law.
Sec. 602. Sense of Congress regarding economic development
representatives.

TITLE VII--FUNDING

Sec. 701. Authorization of appropriations.

SEC. 2. AMENDMENTS TO PUBLIC WORKS AND ECONOMIC DEVELOPMENT
ACT OF 1965.

TITLE I--GENERAL PROVISIONS

SEC. 101. FINDINGS AND DECLARATIONS.

Section 2 (42 U.S.C. 3121) is amended to read as follows:

``SEC. 2. FINDINGS AND DECLARATIONS.

SEC. 102. DEFINITIONS.

(a) Eligible Recipient.--Section 3(4)(A) (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 so redesignated) 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.--Section 3 (42 U.S.C. 3122) is
amended--
(1) by redesignating paragraphs (8), (9), and (10) as
paragraphs (9), (10), and (11), respectively; and
(2) by inserting after paragraph (7) the following:
``(8) Regional commissions.--The term `Regional
Commissions' means the following entities:
``(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. 2131 note; 112 Stat. 2681-
637 et seq.).
``(D) The Northern Great Plains Regional Authority
established under subtitle F of the Consolidated Farm and
Rural Development Act (7 U.S.C. 2009bb et seq.).''.
(c) University Center.--Section 3 (42 U.S.C. 3122) is
amended 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).''.

SEC. 103. ESTABLISHMENT OF ECONOMIC DEVELOPMENT PARTNERSHIPS.

SEC. 104. COORDINATION.

Section 103 (42 U.S.C. 3132) is amended--

[[Page H9763]]

(1) by inserting ``(a) In General.--'' before ``The
Secretary'';
(2) in subsection (a) (as so designated) by inserting
``Indian tribes,'' after ``districts,''; and
(3) by adding at the end the following:
``(b) Meetings.--To carry out the responsibilities in
subsection (a), or for any other purpose related 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) (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 subparagraph (E);
and
(C) by adding after subparagraph (C) the following:
``(D) assist in carrying out a State's workforce investment
strategy; and''.

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.

Section 208 (42 U.S.C. 3148), and the item relating to
section 208 in the table of contents contained in section
1(b), are repealed.

SEC. 207. GRANTS FOR ECONOMIC ADJUSTMENT.

(a) Direct Expenditure or Redistribution by Recipient.--
Section 209(d) (42 U.S.C. 3149(d)) is amended by striking
``an eligible recipient'' each place it appears and inserting
``a recipient''.
(b) Special Provisions Relating to Revolving Loan Fund
Grants.--Section 209 (42 U.S.C. 3149) is amended by adding at
the end the following:
``(e) Special Provisions Relating to Revolving Loan Fund
Grants.--
``(1) In general.--The Secretary shall issue regulations 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
criteria;
``(B) assign or transfer assets of a revolving loan fund to
a third party for the purpose of liquidation, and a 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
Secretary 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 securities
issued pursuant to paragraph (2)(C) shall be treated as
exempted securities for purposes of the Securities Act of
1933 or the Securities Exchange Act of 1934, unless exempted
by rule or regulation of the Securities and Exchange
Commission.
``(B) Preservation.--Except as provided in subparagraph
(A), no provision of this subsection or any regulation issued
by the Secretary under this subsection shall supersede or
otherwise affect the application of the securities laws (as
such term is defined in section 2(a)(47) of the Securities
Exchange Act of 1934) or the rules, regulations, or orders of
the Securities and Exchange Commission or a self-regulatory
organization thereunder.''.

SEC. 208. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER
PROJECTED COST.

Section 211 (42 U.S.C. 3151) is amended to read as follows:

``SEC. 211. USE OF FUNDS IN PROJECTS CONSTRUCTED UNDER
PROJECTED 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 Secretary may
approve, without further appropriations action, the use of
the excess funds (or a portion of the excess funds) by the
recipient to increase the Federal share of the cost of a
project under this title to the maximum percentage allowable
under section 204 or 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 utilizing funds
transferred from other Federal agencies pursuant to section
604, the Secretary shall--
``(1) utilize the funds in accordance with subsection (a),
with the approval of the originating agency; or
``(2) return the funds to the originating agency.''.

SEC. 209. SPECIAL IMPACT AREAS.

(a) In General.--Title II (42 U.S.C. 3141 et seq.) is
amended by adding at the end the following:

``SEC. 214. SPECIAL IMPACT AREAS.

[[Page H9764]]

the Secretary shall transmit to the Committee on
Transportation and Infrastructure of the House of
Representatives and the Committee on Environment and Public
Works of the Senate a written notice of the waiver, including
a justification for the waiver.''.
(b) Conforming Amendment.--The table of contents contained
in section 1(b) 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 (42 U.S.C. 3141 et seq.) is
further 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 issue regulations
to establish performance measures for making performance
awards under subsection (a).
``(2) Considerations.--In issuing regulations under
paragraph (1), the Secretary shall consider including
performance measures that assess the following factors:
``(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.
``(D) Such other factors as the Secretary determines
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 prescribe.
``(e) Federal Share.--Notwithstanding section 204, the
amounts of a performance award may be used for up to 100
percent of the cost of an eligible project or activity.
``(f) Treatment in Meeting Non-Federal Share
Requirements.--For the purposes of meeting the non-Federal
share requirements of this Act, or any other Act, the amounts
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 appropriate.
``(h) Funding.--The Secretary shall carry out this section
using any amounts made available for economic development
assistance programs.
``(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 review the
implementation of this section in each fiscal year.
``(2) Annual report.--Not later than one year after the
date of enactment of this section, and annually thereafter,
the Comptroller General shall transmit to the Committee on
Transportation and Infrastructure of the House of
Representatives and the Committee on Environment and Public
Works of the Senate a report on the Comptroller's findings
under this subsection.''.
(b) Conforming Amendment.--The table of contents contained
in section 1(b) 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 (42 U.S.C. 3141 et seq.) is
further 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 district.
``(b) Eligibility.--The Secretary may make a planning
performance award to an eligible recipient under subsection
(a) in connection 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
economic 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
comprehensive economic development strategy of the district.
``(c) Maximum Amount.--The amount of a planning performance
award made under subsection (a) in connection with a grant
may not exceed 5 percent of the amount of the grant.
``(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
amounts of a planning performance award may be used for up to
100 percent of the cost of a project under this title.
``(f) Funding.--The Secretary shall carry out this section
using any amounts made available for economic development
assistance programs.''.
(b) Conforming Amendment.--The table of contents contained
in section 1(b) is amended by inserting after the item
relating to section 215 the following:

``Sec. 216. Planning performance awards.''.

SEC. 212. SUBGRANTS.

(a) In General.--Title II (42 U.S.C. 3141 et seq.) is
further amended by adding at the end the following:

``SEC. 217. SUBGRANTS.

``(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.''.
(b) Conforming Amendment.--The table of contents contained
in section 1(b) is amended by inserting after the item
relating to section 216 the following:

``Sec. 217. Subgrants.''.

SEC. 213. BROWNFIELDS REDEVELOPMENT.

(a) In General.--Title II (42 U.S.C. 3141 et seq.) is
further amended by adding at the end the following:

``SEC. 218. BROWNFIELDS REDEVELOPMENT.

``(a) In General.--On the application of a qualified
eligible recipient, the Secretary may make grants under
sections 201, 203, 207, and 209 for projects to expand,
redevelop, or reuse brownfield sites.
``(b) Limitations.--Projects carried out under this section
shall be subject to the limitations of section 104(k)(4)(B)
of the Comprehensive Environmental Response, Compensation,
and Liability Act of 1980 (42 U.S.C. 9604(k)(4)(B)); except
that recipients may use grant funds awarded under this
section for the administrative costs of economic development
activities.
``(c) Definitions.--In this section, the following
definitions apply:
``(1) Brownfield site.--The term `brownfield site' has the
meaning given such term in section 101(39) of the
Comprehensive Environmental Response, Compensation, and
Liability Act of 1980 (42 U.S.C. 9601(39)).
``(2) Qualified eligible recipient.--The term `qualified
eligible recipient' means an eligible recipient that meets
the definition of `eligible entity' in section 104(k)(1) of
the Comprehensive Environmental Response, Compensation, and
Liability Act of 1980 (42 U.S.C. 9604(k)(1)); except that for
any project undertaken under this section the term may
include a nonprofit organization acting in cooperation with
officials of a political subdivision of a State.''.
(b) Conforming Amendment.--The table of contents contained
in section 1(b) is amended by inserting after the item
relating to section 217 the following:

``Sec. 218. Brownfields redevelopment.''.

SEC. 214. BRIGHTFIELDS DEMONSTRATION PROGRAM.

(a) In General.--Title II (42 U.S.C. 3141 et seq.) is
further amended by adding at the end the following:

``SEC. 219. BRIGHTFIELDS DEMONSTRATION PROGRAM.

``(a) In General.--On the application of a qualified
eligible recipient, the Secretary may make a grant for a
project for the development of brightfield sites if the
Secretary determines that the project will--
``(1) utilize solar energy technologies to develop
abandoned or contaminated sites for commercial use; and
``(2) improve the commercial and economic opportunities in
the area where the project is located.
``(b) Limitations.--Projects carried out under this section
shall be subject to the limitations of section 104(k)(4)(B)
of the Comprehensive Environmental Response, Compensation,
and Liability Act of 1980 (42 U.S.C. 9604(k)(4)(B)); except
that recipients may use grant funds awarded under this
section for the administrative costs of economic development
activities.
``(c) Definitions.--In this section, the following
definitions apply:
``(1) Brightfield site.--The term `brightfield site' means
a brownfield site (as defined in section 217) that is
redeveloped through the incorporation of solar energy
technologies.
``(2) Qualified eligible recipient.--The term `qualified
eligible recipient' has the meaning given such term in
section 217; except that for any project undertaken under
this section the term may include a nonprofit organization
acting in cooperation with officials of a political
subdivision of a State.
``(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. Such sums shall
remain available until expended.''.
(b) Conforming Amendment.--The table of contents contained
in section 1(b) is amended by inserting after the item
relating to section 218 the following:

``Sec. 219. Brightfields demonstration program.''.

TITLE III--COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES

SEC. 301. COMPREHENSIVE ECONOMIC DEVELOPMENT STRATEGIES.

(a) In General.--Section 302(a)(3)(A) (42 U.S.C.
3162(a)(3)(A)) is amended by inserting

[[Page H9765]]

``maximizes effective development and use of the workforce
consistent with any applicable State or local workforce
investment strategy,'' after ``access,''.
(b) Approval of Other Plan.--Section 302(c) (42 U.S.C.
3162(c)) is amended by adding at the end the following: ``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.

Section 403 (42 U.S.C. 3173), and the item relating to
section 403 in the table of contents contained in section
1(b), are repealed.

SEC. 402. PROVISION OF COMPREHENSIVE ECONOMIC DEVELOPMENT
STRATEGIES TO REGIONAL COMMISSIONS.

(a) In General.--Section 404 (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 one or more of the Regional Commissions (as
defined in section 3), 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) is amended by striking the item relating to
section 404 and inserting the following:

``Sec. 404. Provision of comprehensive economic development strategies
to Regional Commissions.''.

TITLE V--ADMINISTRATION

SEC. 501. ECONOMIC DEVELOPMENT INFORMATION CLEARINGHOUSE.

Section 502 (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.

Section 505 (42 U.S.C. 3195), and the item relating to
section 505 in the table of contents contained in section
1(b), are repealed.

SEC. 503. PERFORMANCE EVALUATIONS OF GRANT RECIPIENTS.

Section 506(c) (42 U.S.C. 3196(c)) is amended by striking
``after the effective date of the Economic Development
Administration Reform Act of 1998''.

SEC. 504. CONFORMING AMENDMENTS.

(a) Standards.--Section 602 (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''.
(b) Evaluation Criteria.--Section 506(d)(2) (42 U.S.C.
3196(d)(2)) is amended by inserting ``program performance,''
after ``applied research,''.

TITLE VI--MISCELLANEOUS

SEC. 601. RELATIONSHIP TO ASSISTANCE UNDER OTHER LAW.

Section 609 (42 U.S.C. 3219) is amended--
(1) by striking subsection (a); and
(2) by striking ``(b) Assistance Under Other Acts.--''.

SEC. 602. SENSE OF CONGRESS REGARDING ECONOMIC DEVELOPMENT
REPRESENTATIVES.

(a) Findings.--Congress finds the following:
(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.
(3) In the past five years, 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
Development Administration is able to provide effective
assistance to distressed communities and foster economic
growth and development among the States.

TITLE VII--FUNDING

SEC. 701. AUTHORIZATION OF APPROPRIATIONS.

Section 701 (42 U.S.C. 3231) is amended to read as follows:

``SEC. 701. GENERAL AUTHORIZATION OF APPROPRIATIONS.

TITLE VIII--APPALACHIAN REGIONAL DEVELOPMENT

SEC. 801. ADDITIONS TO APPALACHIAN REGION.

(a) Kentucky.--Section 14102(a)(1)(C) of title 40, United
States Code, is amended--
(1) by inserting ``Nicholas,'' after ``Morgan,''; and
(2) by inserting ``Robertson,'' after ``Pulaski,''.
(b) Ohio.--Section 14102(a)(1)(H) of such title is
amended--
(1) by inserting ``Ashtabula,'' after ``Adams,'';
(2) by inserting ``Fayette,'' after ``Coshocton,'';
(3) by inserting ``Mahoning,'' after ``Lawrence,''; and
(c) Tennessee.--Section 14102(a)(1)(K) of such title is
amended--
(1) by inserting ``Giles,'' after ``Franklin,''; and
(2) by inserting ``Lawrence, Lewis, Lincoln,'' after
``Knox,''.
(d) Virginia.--Section 14102(a)(1)(L) of such title is
amended--
(1) by inserting ``Henry,'' after ``Grayson,''; and
(2) by inserting ``Patrick,'' after ``Montgomery,''.

SEC. 802. AUTHORIZATION OF APPROPRIATIONS.

Section 14703(a) of title 40, United States Code, is
amended by striking paragraphs (1) through (3) and inserting
the following:
``(1) $88,000,000 for each of fiscal years 2002 and 2003.
``(2) $91,000,000 for fiscal year 2004.
``(3) $93,000,000 for fiscal year 2005.
``(4) $95,000,000 for fiscal year 2006.''.

The SPEAKER pro tempore. The gentleman from Ohio (Mr. LaTourette) and
the gentlewoman from the District of Columbia (Ms. Norton) each will
control 30 minutes.
The Chair recognizes the gentleman from Ohio (Mr. LaTourette).
Mr. LaTOURETTE. Mr. Speaker, I yield myself such time as I may
consume.
Mr. Speaker, H.R. 2535, the Economic Development Administration
Reauthorization Act, continues the work of the EDA by reauthorizing the
agency for 5 years, updates the statute to reflect a changing economy,
promotes the efficient use of resources, eliminates unnecessary and
outdated provisions, and gives the Secretary flexibility to assist
particularly hard-hit parts of the country. This reauthorization also
includes several new provisions that will be important additions to the
work of the EDA.
This legislation creates a performance-based incentive program in
which eligible recipients are eligible for a bonus of up to 10 percent
of the project cost by meeting criteria established in regulation;
allows for the improved management and operation of revolving loan
funds by amending loan areas and consolidating overlapping loans with
the operator's consent and by crafting regulations that would allow for
the securitization of loans consistent with security laws; and creates
a planning performance award that awards up to 5 percent of a grant
amount if a recipient meets several mandated criteria. By adding these
provisions, EDA can better serve its constituents and do more to
improve the economic future of America.
This legislation was developed through an intense process of hearings
and markups. It was an open process that allowed for the input of all
Members and groups with an interest in the legislation. This process
has resulted in legislation that has broad bipartisan support, the
support of the administration, and the support of such important
partners as the National Association of Development Organizations,
International Economic Development Council, National League of Cities,
National Association of Counties, and the United States Conference of
Mayors. This is a well-crafted piece of legislation. I want to thank
the chairman of our full committee the gentleman from Alaska (Mr.
Young); the ranking member of the full committee the gentleman from
Minnesota (Mr. Oberstar); and my distinguished ranking

[[Page H9766]]

member on the subcommittee the gentlewoman from the District of
Columbia (Ms. Norton) for helping us put this legislation together.
I urge my colleagues to join me in supporting it.
Mr. Speaker, I reserve the balance of my time.
Ms. NORTON. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, first I want to commend the chair of the subcommittee
for the several hearings he had with great profit on the bill before us
today and with the way he conducted those hearings so as to bring out
many new ideas that have improved this bill. I rise, therefore, in
support of H.R. 2535 as amended by the manager's amendment, a bill to
reauthorize the program authorized by the Public Works and Economic
Development Act of 1965.
This bill will reauthorize the Economic Development Administration
for 5 years and provide authorization for sufficient funding levels to
carry out its statutory obligations to provide economic opportunities
in distressed areas of our country. This bill is of great importance to
many struggling rural communities in our country and has very strong
bipartisan support in this body.
The bill being considered this morning authorizes some new concepts,
such as performance grants, and reinforces some tried and true
approaches, such as ensuring economic development proceeds with close
cooperation between local governments and Federal partners. One of the
new concepts is the authorization of a performance grant program. Under
this new program, grantees that meet or exceed goals for projects
scheduled, jobs creation and financial leverage will be eligible for a
performance grant of up to 10 percent of the project grant.
Further, for purposes of this act, the grantee can consider the
proceeds as local funds to meet the non-Federal share requirements of
this or other economic development acts. This is a new and innovative
approach to rewarding high performance and provides the grantees with a
tangible asset for future use. This will, we think, bring important new
efficiencies to a program where there was already great efficiency
according to many who testified.
The bill also authorizes the Secretary to make grants for projects to
expand, redevelop or reuse brownfields sites. This is a much needed
authority for major industrial sites.
I also appreciate the consideration the committee gave to my own
interest in university centers and the expertise and resources they can
bring to small and disadvantaged communities, just as they are well
known to bring such advantages to big cities. Report language will
highlight the committee's intent that the EDA should consider
increasing the number of university centers. With the increase in
authorized sums, I hope new university centers will become a reality.
Most of the districts that will benefit from this bill are rural
communities, some of them very small, some of them larger communities.
Many communities wanted to be a part of this bill because of its long
history of promoting economic development and leveraging private
resources, where otherwise that would be very difficult. Although, I
represent a highly-urbanized district, I certainly know firsthand the
singular importance of economic development, the benefits associated
with economic opportunities that are created with a strong, vibrant
economic development program and, of course, the persistent need for
funding to transform ideas into reality.
At the April hearing on economic development, I mentioned the recent
opening of the new Washington Convention Center and the immediate
economic effect that it is having on my community and on the residents
and community at large, including the entire region. I want to
especially thank Chairman Young and Ranking Member Oberstar for their
constant and beneficial leadership on this bill. I also extend my
personal thanks and congratulations to the gentleman from Ohio (Mr.
LaTourette) for the interest and attention and expertise in committee
he brought to reauthorizing this agency which is so vital to so many
rural Americans. I strongly support H.R. 2535 and urge its passage.
Mr. Speaker, I reserve the balance of my time.
Mr. LaTOURETTE. Mr. Speaker, it is my pleasure to yield 3 minutes to
the gentleman from Pennsylvania (Mr. Peterson).
Mr. PETERSON of Pennsylvania. Mr. Speaker, I want to commend the
gentleman from Ohio (Mr. LaTourette) and the gentlewoman from the
District of Columbia (Ms. Norton) for their good work on the
reauthorization of EDA. I, as the cochairman of the Congressional Rural
Caucus, rise today in strong support of this reauthorization for the
Economic Development Agency. The programs under the EDA are
tremendously vital to rural areas. Without Federal economic development
investment in rural economies, many of these communities would lack the
resources to attract the next generation of manufacturing jobs and they
would wither and dry up.
The reauthorization passed in the 105th Congress focused these
programs toward serving the most needy, and I am pleased this
reauthorization will continue to build upon those achievements. I have
seen firsthand how the past reauthorization has focused Federal dollars
to target communities that lack the resources.
I want to give my colleagues a few examples. When Knox Glass closed
in Clarion County, it was EDA who stepped up to the plate with a grant
that allowed them to build a new industrial park there on 80 and
replace many of those jobs. When Franklin Steel closed, it was an EDA
grant that allowed Franklin Industries to reopen that factory and have
several hundred people working there. When Kendall Refining closed in
McKean County, and now we reopened American Refineries, it was an EDA
grant that allowed that to happen. When the Stackpole Corporation
closed and thousands of jobs left Elk County in Pennsylvania, it was an
EDA grant through the North Central Planning Commission that now has
200 and 300 people working in different companies within that complex.
And when the Cyclops Steel Plant closed 5 miles from my home and 1,000
good jobs went down the drain, it was an EDA grant that allowed that
facility to be taken over by a local development agency, and there are
several hundred jobs and about 20 companies providing employment there
today.
Do we need it in the future? Yes, we do. In my 16-county rural
district in Pennsylvania, we have lost 17,000 manufacturing jobs in the
year 2001 and 2002. So I stand here today saying we need an expanded
EDA. We need an EDA with more money, with a bigger budget. And I am
here today on behalf of the reauthorization of this agency because
their structure allows them to go into a rural community that has been
devastated by losing their major employer and give that grant that is
the glue that will put an economic opportunity back there in those
communities.
Rural America is in trouble. We need a bigger, stronger EDA to help
us. They have an agency with a good track record. I want to commend
Secretary David Sampson for his strong leadership there, and I want to
commend the committee for their good work in bringing forth this
reauthorization.
Ms. NORTON. Mr. Speaker, I yield myself such time as I may consume.
I want to thank the gentleman who has just spoken. I want him to know
that I think I would speak for the chair, as well as myself, when I say
it was heartbreaking not to have more money for this bill because of
the way in which communities came forward and wanted to be included.
But we thought that pretty soon you are going to have every community
from a rural area in the United States included in this bill, and for
good reason. What made it heartbreaking, of course, is that we are not
just talking about another bill that will throw some money out here for
communities, even hard-pressed communities. What was really so
rewarding was to hear experts who had looked at the program testify as
to its benefits and its efficiency.
There came a time in the hearings when I wondered if I was hearing a
discussion of a Federal program when its efficiencies were being touted
the way they were. What the chairman and I did was to work on making
these efficiencies even more widespread with new ways to not only
measure performance but to reward performance. I do want to say a word
about rewarding performance. The incentive portion of

[[Page H9767]]

this bill will also mean that the private sector, whose resources get
leveraged as well, will understand why this bill is important for their
participation, because they understand incentives. The joining of the
performance with incentives, which means that some of that actually
comes back to you to use, is a model I would like to see in other
Federal legislation as well. I regret that there was not more money. I
applaud the fact that there is a greater amount than before. I thank
the gentleman from Ohio (Mr. LaTourette) for his hard work on this
bill.
Mr. Speaker, I yield back the balance of my time.
Mr. LaTOURETTE. Mr. Speaker, I yield myself such time as I may
consume to make a couple of observations. One, to thank the gentleman
from Pennsylvania for his eloquent statement. I think as he recited
those communities that have been helped by the EDA, that was the only
commercial that we needed for the reauthorization of this valuable
program. In the exhaustive hearings that we had on this issue where the
gentlewoman from the District and I had the opportunity to listen to
economic development experts from around the country, they talked about
the fact that the average size of EDA grant is $600,000. So we are not
talking about hundreds of millions, we are not talking about billions,
but that $600,000 when then translated into the local community and
what it meant, as recounted by the gentleman from Pennsylvania, I think
was truly remarkable. It really is life-changing and community-changing
money, and the work that they do is certainly not only well-spent but
it is productive.
The second piece, the amendment that was self-executed by the
agreement of the House of yesterday, I think, is important in that we
have added 12 counties to the Appalachian Regional Commission. Some
people expressed concern about that, particularly those communities
that are already located within the ARC. I want to highlight and
commend the distinguished work of one of our committee members, the
gentlewoman from West Virginia (Mrs. Capito) that was concerned about
the fact that that might stress the resources. She made sure that an
amendment was included therein that also made sure that there were
sufficient funds so that that fine organization could continue its work
and continue its work at a fiscally responsible level.

{time} 1230

Mr. Speaker, I yield 2 minutes to the distinguished gentleman from
Michigan (Mr. Hoekstra).
Mr. HOEKSTRA. Mr. Speaker, I thank my colleague for yielding me this
time and allowing me the opportunity to speak on this bill.
I am enthusiastic about this bill. It has bipartisan support,
supported by development organizations. It is supported by the U.S.
Conference of Mayors, the Education Association of the University
Centers. So it has clearly met the needs of a number of folks. But as
we take a look at what the bill does specifically, it creates a new
program that allows for the designation of special impact areas which
allows the Secretary to waive certain planning requirements to help
isolated areas in distressed communities.
This designation, I think, really will enable the Secretary to
respond more quickly to get help to those areas, to get economic help
to those communities that need it; and when they need it, they need it
quickly. It creates a performance-based incentive program that rewards
high performance, as determined by criteria established in regulation,
with a bonus of up to 10 percent of the project cost that can be used
on other eligible activities.
Again, these reforms focus on getting better results. It creates a
planning performance award equal to 5 percent of the grant amount,
which may be awarded prior to closeout of a grant if the recipient
satisfies four mandated criteria. And as with any program or any
reform, it removes outdated and burdensome administrative procedures.
It updates several citations and allows for subgranting of assistance
to eligible recipients. It also authorizes the issuance of grants for
brownfields redevelopment. Again, important in many communities because
if we want to revitalize a community, what we want to do is we want to
revitalize those areas that we classify as brownfields. It also allows
the EDA to explore the use of photovoltaic technology in brownfield
redevelopment on a limited basis, again, enabling us to use perhaps
break-through technology in cleaning up the brownfields. So I rise in
strong support of H.R. 2535, the Economic Development Administration
Reauthorization bill, and I thank my colleague.
Mr. LaTOURETTE. Mr. Speaker, we have had a couple of additional
speakers show up here, and I am not sure whether the gentlewoman from
the District of Columbia was expecting that. So I would ask unanimous
consent that the time that she has yielded back be restored to her in
case she wants to make some observations.
The SPEAKER pro tempore (Mr. Shaw). Without objection, the
gentlewoman from the District of Columbia's (Ms. Norton) time is
restored.
There was no objection.
Mr. LaTOURETTE. Mr. Speaker, I yield 3 minutes to the gentleman from
North Carolina (Mr. Hayes).
Mr. HAYES. Mr. Speaker, I thank the gentleman from Ohio (Mr.
LaTourette) for his hard work and dedication in increasing economic
opportunities through the reauthorization of the Economic Development
Administration.
I strongly support this legislation. Established in 1965, the ADA was
created in an effort to improve conditions of substantial and
persistent economic distress throughout the United States. I am
fortunate to have been able to work with the EDA, and specifically Dr.
David Sampson, on economic development issues that are vitally
important to the future and the people of the eighth district of North
Carolina.
H.R. 2535 requires Federal agencies to coordinate their economic
development initiatives, including a requirement for comprehensive
economic development strategies, CEDS, to maximize the effective use of
workforce investment strategies. Our CEDS committee is a local
initiative led by Chairwoman Judy Stevens and comprised of local
economic development, education, and chamber officials. With the hard
work of Dr. Sampson and his staff at EDA, our CEDS committee is coming
closer to a final recommendation to present to EDA which will serve as
a blueprint for regional economic development for the eighth district
of North Carolina.
With relatively small investments of Federal funds, the EDA has been
able to achieve remarkable successes and change the economic outlook
for many citizens. As an example, since 1965, the Appalachian Regional
Commission has invested over $400 million toward transportation,
business development, education, health care, and community projects in
North Carolina. As a direct result of this investment, poverty rates in
the commission region have been cut almost in half.
These are real results for real people, and I look forward to
continuing to work with Dr. Sampson and the EDA as we continue to
address economic development and jobs in areas such as the eighth
district of North Carolina. I am hopeful that the 108th Congress will
authorize the Southeast Crescent Authority, or SECA, which will provide
428 counties in the southeastern United States access to Federal funds
and expertise that will support increased economic opportunity,
prosperity, and jobs for our citizens.
I again thank the gentleman from Ohio (Mr. LaTourette) for his
service and leadership on his issue, and I support the bill strongly.
Ms. NORTON. Mr. Speaker, I yield myself such time as I may consume.
I thank the gentleman for moving to restore my time by unanimous
consent. And since we do have the time, I want to note how long-lasting
this bill has been. I mentioned that it was first authorized in 1965
when the President was Lyndon Johnson. It was a bipartisan bill then,
and it remains bipartisan today. And it comes at a time of special need
for such a bill.
Since January, 2001, if we look nationwide, the number of unemployed
have increased by 50 percent. We know what that means in big cities
because of the media in big cities. The effect on small communities is
far more serious because they do not have the economic development
vehicles in the first place and because those areas by definition have
found it harder to attract the vehicles on their own.

[[Page H9768]]

The importance of this bill is that it has given the signal to the
private sector to come on in, and the bill is so successful because
that is exactly what the private sector has done in rural communities
where they would not have thought of coming without the Economic
Development Act. So these grants are critical to economic development
in good times and in poor times. They keep economic development alive
very often. And what kind of money are we talking about? The chairman
indicated the size of the average grant. When we come on the floor with
a bill that authorizes $400 million for fiscal year 2004 and $500
million by the year 2008, we are really talking pocket change for bills
that come before this body. And look at what it does. Hundreds of
millions more is leveraged from private resources because of this bill.
I am very proud of the work the committee has done, but I am prouder
still of what came before us in the form of benefits to rural
communities and efficiencies that they had incorporated into their own
economic development work.
Mr. Speaker, I reserve the balance of my time.
Mr. LaTOURETTE. Mr. Speaker, I yield 3 minutes to the gentleman from
Colorado (Mr. Beauprez).
Mr. BEAUPREZ. Mr. Speaker, I thank the gentleman for yielding me this
time, and I congratulate him and the ranking member on bringing this
important legislation to the floor. And I am rising in strong support
of passage of H.R. 2535.
I would like to share a very personal story. Sometimes we talk in
grand pictures and sometimes abstract pictures about our impact of
legislation. I want to cite for the Members of this body a very
specific example. In 1995 with the BRAC closures, the Base Realignment
and Closure Act, the Fitzsimmons Army Medical Hospital in Aurora, just
on the edge of Denver, found itself on that list. And one can imagine
the impact on a community when it finds out that about 4,500 jobs, both
direct and indirect, are going to be lost from that community, a
tremendous financial and economic impact to a relatively small
neighborhood and a community. To make lemonade out of lemons, the EDA
came in with some assistance, provided assistance in the form of an
infrastructure grant to provide basic infrastructure needs,
transportation needs for this old Army base. That Army base now is
going to be home for a health sciences center, a collaborative health
sciences center, involving the University of Colorado Health Sciences.
We hope the Veterans Hospital will move there. We have an cancer center
there, an eye center there. A bioethics clinic is locating there.
A long story made short, 35,000 jobs, 35,000 jobs are expected to be
on that site by the year 2010, 35,000 high-paying jobs. And indirectly
we estimate 66,000 jobs will come to Colorado in large part because of
the EDA's willingness to step up to the plate, be a partner with the
community in redeveloping a site and creating a huge opportunity.
Net gains in Colorado for a $5.1 million grant by the EDA to provide
this basic infrastructure, as the ranking member just cited a minute
ago, so as to attract private industry, it is estimated that by 2010,
$3.1 billion will be generated for the Colorado economy and $6.3
billion once the site is fully developed in about another 10 years.
So it is with great pride that I again compliment the chairman and
the ranking member on bringing this legislation to the floor and with
great comfort that I can strongly support this legislation.
Ms. NORTON. Mr. Speaker, I yield myself such time as I may consume.
To close, I just want to remind Members of what the mission is of
this bill that was declared in 1965, to enhance community success in
attracting private capital investment and lucrative job opportunities.
This is not a classic public works program. What we are providing, Mr.
Speaker, is seed money. And the indication of that is worth putting on
the record. The average project, EDA project, leverages $10 million in
private sector investment for every $1 million in Federal assistance.
And I spoke earlier of the efficiency of this program that was
presented at hearings. Here is an indication of that: 99 percent, that
is 99 percent, which is a rare number on this floor, of EDA
infrastructure projects are completed as planned and 91 percent of
projects are completed on time. Would that we could say that about some
other projects I can think of. I will not even mention the Visitors
Center.
Mr. Speaker, I yield back the balance of my time.
Mr. LaTOURETTE. Mr. Speaker, I yield myself such time as I may
consume.
I again thank the gentlewoman from the District of Columbia, who has
truly been a wonderful cooperative partner during this first year of
the 108th Congress, and I look forward to a good number of legislative
successes with her in the coming year.
Mr. OXLEY. Mr. Speaker, I rise in strong support of H.R. 2535, the
Economic Development Administration Reauthorization Act, offered by my
colleague from the great state of Ohio, Mr. LaTourette, and urge its
immediate passage. As you know, the Committee on Financial Services has
jurisdiction over aid to commerce and industry, and based on that
jurisdiction received an additional referral of the bill.
Mr. Speaker, while the country experienced record growth during the
1990s, there continued to be pockets of the country that did not enjoy
that bounty. An economic downturn of the sort we have had over the past
couple of years hits these area especially hard. Now, as the economy is
turning up again, even as we tend to the economic wounds suffered by
the rest of the country, we must remember that these areas were even
harder-hit, and for this reason I salute Mr. LaTourette's diligent work
on this matter.
Operating out of six regional offices as widely spread as Seattle and
Philadelphia, the EDA provides community and regional grants on a cost-
share basis for economic adjustment assistance, public works,
development facilities, and planning and technical assistance, all
aimed at leveraging public and private sector investments, creating or
retaining long-term private-sector jobs and generating industrial and
commercial development in both urban and rural areas.
Importantly, Mr. Speaker, the EDA is focused not only on reversing or
mitigating the effects of long-term economic distress, but also on
dealing with sudden economic impact brought on by the closing of, say,
a military base or a large manufacturer or group of manufacturers in a
particular industry. As the United States economy experiences the loss
of some manufacturing jobs due to increased foreign competition, it is
imperative for us to find or stimulate new jobs for displaced workers,
and the EDA is an important tool in this effort.
David A. Sampson, Assistant Secretary of Commerce for Economic
Development, is fond of saying that President Bush is committed to
increasing the productivity and wealth of the American economy, and
then noting that the President is firmly committed to ensuring that
``all regions, States and communities share in economic opportunity.''
Mr. Speaker, I echo the President and Secretary Sampson. I am sure that
the President's goal is the goal of each and every one of us,
regardless of which state or which party we represent.
I commend Mr. LaTourette for his creativity in this area, and note
that the reauthorization of the EDA contains a number of new and
exciting programs, including the securitization of some economic
development loans in a way that will give us even more bang for our
economic buck in these areas. This is a forward-looking bill that seeks
to help some of America's hardest-hit economic areas. I commend it, and
seek its immediate passage.
Mrs. MYRICK. Mr. Speaker, I come here today in support of the
reauthorization of the Economic Development Administration at Commerce.
We in the Ninth District of North Carolina have had great success with
the programs from EDA. Most importantly, EDA helped my district come
together and formulate a comprehensive economic development plan for
the next decade. This was the first time all of the economic
development officials, business leaders, and community developers came
to one place and really discussed where they saw our counties going and
what was needed to ensure economic success.
Our area has been hit extremely hard by job losses, particularly in
the manufacturing and textile sectors. The help that the EDA has
provided and will continue to provide has given my district a vision
for the future and a way for each citizen to become involved in its
community. I thank the EDA for their help and assistance and commend
them for the important work they do in districts like mine all around
the country.
If the EDA is given the resources provided in this bill, it will
result in the creation of approximately 623,314 jobs and the leveraging
of $46.4 billion in private-sector investments over 5 years. With job
challenges facing all of our districts every day, how can we not
support a bill that will result in this many jobs being created?

[[Page H9769]]

I support this bill and I urge my colleagues to support it.
Mr. OBERSTAR. Mr. Speaker, I rise in support of H.R. 2535, as amended
by the manager's amendment, a bill to reauthorize the Economic
Development Administration (EDA). In 1965, I was present when President
Lyndon Johnson signed the Public Works and Economic Development Act
creating EDA. In fact, I still have the pen he used at the signing
ceremony. Since its inception, I have been a strong supporter of EDA
and now, nearly 40 years later, I continue to believe in EDA's core
mission--to create economic opportunity for those living and working in
economically distressed communities.
EDA's mission--to create economic opportunities for all--remains as
vital and necessary today as it was four decades ago. As our economy
continues to struggle, the importance of EDA becomes even more
apparent. Since January 2001, the national unemployment rate has risen
to 6.1 percent, the highest level in 9 years. Further, in that time,
the number of unemployed workers has increased from 5.9 million people
to almost 9 million--an increase of more than 3 million unemployed
workers, or 50 percent. Moreover, workers who have lost their jobs are
having more trouble finding new jobs. The average length of
unemployment is now almost 20 weeks, the longest it has been in nearly
two decades. Within the last 2 weeks, the number of workers who have
been unemployed for longer than 6 months has increased by more than 1.5
million to more than 2.1 million--an increase of 218 percent. One-half
of the unemployed are out of work for more than 9 weeks and more than
one in five have been out of work for more than 6 months. As in every
recession, it is the people living in our Nation's economically
distressed communities--the very people who are served by EDA--that are
hardest hit by the economic downturn.
Mr. Speaker, EDA works. I know it works because I've seen it work--
providing jobs, job training, and real economic opportunities in
distressed communities across the country. A recent series of Rutgers
University studies found that every $1 million in EDA public work
funding creates 325 jobs; leverages $10 million in private sector
investment; and increases the local tax base by $10 million.
EDA grants are particularly vital for many smaller, rural communities
where deterioration of infrastructure facilities is especially
prevalant. Deterioration in infrastructure is often part of a downward
cycle that contributes to erosion of human and financial resources. For
these rural communities, EDA grants are critical to improve their
economic condition.
This bill enhances the agency's ability to deliver economic
development services to those who need it most. The bill authorizes EDA
for 5 years and provides the agency with the financing levels necessary
to affect real growth and development in economically distressed
communities. To that end, the bill authorizes $400 million for the
agency in fiscal year 2004, increasing to $500 million in fiscal year
2008. Further, the bill moves the agency forward by building on a solid
base of good administrative practices. It requires comprehensive
economic development planning at the State and local level. Such
planning is essential for state and local governments to tackle
effectively the tremendous economic development challenges they face
and to take full advantage of EDA's program. EDA planning grants, which
are reauthorized under the bill, provide a vital tool for state and
local governments to undertake this important planning.
There are also many new, innovative programs in the bill. For
example, the bill authorizes EDA to award performance incentive awards
to high performing grantees. Grantees can use their performance award
money in any manner consistent with the Act. The bill also authorizes
an EDA brownfields program and establishes a demonstration program for
brightfields, which are brownfields developed through the use of
photovoltaic solar energy systems. The ability to invest in these areas
and technologies provides communities with the tools needed to reap
further benefits.
When EDA was last reauthorized in 1998, this House and the
Transportation and Infrastructure Committee took the lead in enacting
that legislation. I am proud that we are again leading the efforts to
reauthorize EDA with this bill. It is a true bipartisan product, and I
extend my thanks to Chairman Young, Subcommittee Chairman LaTourette,
and Subcommittee Ranking Member Norton for their hard work and
diligence on this bill. I urge its passage.
Mr. COSTELLO. Mr. Speaker, I rise today in support of H.R. 2535,
legislation to reauthorize the Economic Development Agency for an
additional 5 years.
Since its inception in 1965, the EDA has been successful. Positive
changes have occurred in every State of this Nation. More than $18
billion in Federal money has been invested in rural and urban
communities, which has leveraged more than $74 billion in private
sector investments. More than 2.8 million jobs have been created. In my
congressional district, the EDA has provided assistance for a variety
of economic development projects--ranging from ports to business
parts--to improve the region's economy.
The bill we have before us today will continue the success of the EDA
by providing the agency with $2.25 billion over a 5-year period for
economic development assistance. These resources will result in the
creation of almost 625,000 jobs and leverage $46.4 billion in private
sector investments.
Mr. Speaker, the bill we have before us today is a good bill. It
builds on the success of the EDA, and will improve the responsiveness
and flexibility of the EDA, while improving coordination with other
Federal agencies.
I urge my colleagues to join me in supporting this bill.
Mr. HINOJOSA. Mr. Speaker, I rise in strong support for H.R. 2535,
the Economic Development Administration Reauthorization. In my
congressional district, under the leadership of Pedro Garza, the Austin
regional director, EDA has been a strong partner in helping my rural
and urban communities in a variety of ways.
EDA grants have helped my small rural towns build wastewater
facilities and other infrastructure projects. With EDA grants, South
Texas Community College has built an allied health center that is
training hundreds of new nurses and health professionals. These
students will have the opportunity to work in a high-paying career and
alleviate the nursing shortage that is plaguing the entire State of
Texas. EDA funding helped us complete a new pediatric speciality clinic
in one of the poorest counties in the nation. An EDA planning grant is
currently helping the Delta Region of Hidalgo County develop an
economic development plan that will lead the region into a new era of
economic growth. Whenever we have called on Mr. Garza, he has been
there to help us to the best of his ability. I want to thank him for
all he has done for the 15th Congressional District of Texas.
The EDA model of leveraging public and private sector investment is a
proven success. Every $1 million in EDA investment helps rural and
urban communities leverage $10.8 million in private-sector investments.
We need to encourage this type of success in other Federal programs. I
urge my colleagues to vote in favor of H.R. 2535 and allow EDA to
continue its mission of helping our rural and urban communities grow.
Mr. RAHALL. Mr. Speaker, I want to express my strong support for the
reauthorization of the Economic Development Administration (EDA).
The EDA enhances regional competitiveness and provides critical long-
term support for regional economies. In my own district of southern
West Virginia, the EDA has been an important catalyst that has created
or saved an estimated 2,240 jobs just since 1993. Similarly, over $31
million in federal funding has enabled 78 projects in southern West
Virginia to leverage more than $50 million in private sector funding as
well as approximately $24 million in state and local funding. In 2003.
alone, EDA programs have provided much-needed funding for projects as
diverse as University Center funding at several of West Virginia's
institutions of higher education, an airport business park in Raleigh
County, and engineering for building construction in Hinton, WV.
But in some regions of our Nation, EDA cannot complete its mission
without additional help. For example, the Appalachian Regional
Commission (ARC) works in coordination with EDA to serve America's
Appalachian region. Historically, the Appalachian region has faced
levels of poverty and economic distress higher that national averages
as a result of its geographic isolation and inadequate infrastructure.
My home State of West Virginia lies entirely in the Appalachian region.
Mr. Speaker, neither of these two important programs can sufficiently
serve the area without the other.
For over 30 years, the ARC has provided for development and jobs for
more than 22 million people. The ARC's assistance to West Virginia, and
to my constituents in the southern part of the state, through the West
Virginia Infrastructure and Jobs Development Council has been critical.
It has aided the West Virginia Department of Health and Human Resources
to develop educational funding, training and job opportunities for
local health care. In my district, the ARC made $1 million available to
the Mingo County Redevelopment Authority to provide water service, and
to create 130 jobs by processing West Virginia timber into hardwood
flooring and related projects. Similarly, the ARC provided water
service to 312 new customers in Crum, West Virginia, and it helped to
improve the quality of mathematics and science education in Bluefield,
WV.

[[Page H9770]]

Tragically, however, the Bush administration proposed decreased
funding levels for the ARC's nonhighway program by more than 50
percent. Of course, President Bush's friends in the Republican-led
House followed through with his wishes by imposing the cuts in
appropriations for next year. Now, the administration and the House
Republicans say that they want to shift the ARC's nonhighway
responsibilities to EDA for larger multijurisdictional projects,
diluting the unique attention ARC provides this region of vast
potential to serve our Nation.
Mr. Speaker, I am glad to have to be able to express my strong
support for the EDA, and I support reauthorization of this vital
agency. But, on behalf of West Virginians and all those throughout the
Appalachian region, I mourn for the cuts to the ARC.
Mr. LaTOURETTE. Mr. Speaker, I yield back the balance of my time.
The SPEAKER pro tempore. All time for debate has expired.
Pursuant to the order of the House of Monday, October 20, 2003, the
previous question is ordered on the bill, as amended.
The question is on the engrossment and third reading of the bill.
The bill was ordered to be engrossed and read a third time, was read
the third time, and passed, and a motion to reconsider was laid on the
table.

____________________