[Congressional Record (Bound Edition), Volume 148 (2002), Part 1]
[Senate]
[Pages 934-936]
[From the U.S. Government Publishing Office, www.gpo.gov]




        APPALACHIAN REGIONAL DEVELOPMENT ACT AMENDMENTS OF 2002

  Mr. REID. Mr. President, I ask unanimous consent that the Senate 
proceed to the consideration of Calendar No. 303, S. 1206.
  The PRESIDING OFFICER. The clerk will report the bill by title.
  The assistant legislative clerk read as follows:

       A bill (S. 1206) to reauthorize the Appalachian Regional 
     Development Act of 1965, and for other purposes.

  There being no objection, the Senate proceeded to consider the bill 
to reauthorize the Appalachian Regional Development Act of 1965, and 
for other purposes, which had been reported from the Committee on 
Environment and Public Works, with an amendment to strike all after the 
enacting clause and insert the part printed in italic.

     SECTION 1. SHORT TITLE.

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

     SEC. 2. PURPOSES.

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

     SEC. 3. FUNCTIONS OF THE COMMISSION.

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

     SEC. 4. INTERAGENCY COORDINATING COUNCIL ON APPALACHIA.

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

     SEC. 5. TELECOMMUNICATIONS AND TECHNOLOGY INITIATIVE.

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

     ``SEC. 203. TELECOMMUNICATIONS AND TECHNOLOGY INITIATIVE.

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

[[Page 935]]



     SEC. 6. ENTREPRENEURSHIP INITIATIVE.

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

     ``SEC. 204. ENTREPRENEURSHIP INITIATIVE.

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

     SEC. 7. REGIONAL SKILLS PARTNERSHIPS.

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

     ``SEC. 205. REGIONAL SKILLS PARTNERSHIPS.

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

     SEC. 8. PROGRAM DEVELOPMENT CRITERIA.

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

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

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

     SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

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

     ``SEC. 401. AUTHORIZATION OF APPROPRIATIONS.

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

     SEC. 11. STUDIES.

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

     SEC. 12. TERMINATION.

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

     SEC. 13. TECHNICAL AND CONFORMING AMENDMENTS.

       (a) Section 101(b) of the Appalachian Regional Development 
     Act of 1965 (40 U.S.C. App.) is amended in the third sentence 
     by striking ``implementing investment program'' and inserting 
     ``strategy statement''.
       (b) Section 106(7) of the Appalachian Regional Development 
     Act of 1965 (40 U.S.C. App.) is amended by striking 
     ``expiring no later than September 30, 2001''.
       (c) Sections 202, 214, and 302(a)(1)(C) of the Appalachian 
     Regional Development Act of 1965 (40 U.S.C. App.) are amended 
     by striking ``grant-in-aid programs'' each place it appears 
     and inserting ``grant programs''.
       (d) Section 202(a) of the Appalachian Regional Development 
     Act of 1965 (40 U.S.C. App.) is amended in the second 
     sentence by striking ``title VI of the Public Health Service 
     Act (42 U.S.C. 291-291o), the Mental Retardation Facilities 
     and Community Mental Health Centers Construction Act of 1963 
     (77 Stat. 282),'' and inserting ``title VI of the Public 
     Health Service Act (42 U.S.C. 291 et seq.), the Developmental 
     Disabilities Assistance and Bill of Rights Act of 2000 (42 
     U.S.C. 15001 et seq.),''.

[[Page 936]]

       (e) Section 207(a) of the Appalachian Regional Development 
     Act of 1965 (40 U.S.C. App.) is amended by striking ``section 
     221 of the National Housing Act, section 8 of the United 
     States Housing Act of 1937, section 515 of the Housing Act of 
     1949,'' and inserting ``section 221 of the National Housing 
     Act (12 U.S.C. 1715l), section 8 of the United States Housing 
     Act of 1937 (42 U.S.C. 1437f), section 515 of the Housing Act 
     of 1949 (42 U.S.C. 1485),''.
       (f) Section 214 of the Appalachian Regional Development Act 
     of 1965 (40 U.S.C. App.) is amended--
       (1) in the section heading, by striking ``grant-in-aid'' 
     and inserting ``grant'';
       (2) in subsection (a)--
       (A) by striking ``grant-in-aid Act'' each place it appears 
     and inserting ``Act'';
       (B) in the first sentence, by striking ``grant-in-aid 
     Acts'' and inserting ``Acts'';
       (C) by striking ``grant-in-aid program'' each place it 
     appears and inserting ``grant program''; and
       (D) by striking the third sentence;
       (3) by striking subsection (c) and inserting the following:
       ``(c) Definition of Federal Grant Program.--
       ``(1) In general.--In this section, the term `Federal grant 
     program' means any Federal grant program authorized by this 
     Act or any other Act that provides assistance for--
       ``(A) the acquisition or development of land;
       ``(B) the construction or equipment of facilities; or
       ``(C) any other community or economic development or 
     economic adjustment activity.
       ``(2) Inclusions.--In this section, the term `Federal grant 
     program' includes a Federal grant program such as a Federal 
     grant program authorized by--
       ``(A) the Consolidated Farm and Rural Development Act (7 
     U.S.C. 1921 et seq.);
       ``(B) the Land and Water Conservation Fund Act of 1965 (16 
     U.S.C. 460l-4 et seq.);
       ``(C) the Watershed Protection and Flood Prevention Act (16 
     U.S.C. 1001 et seq.);
       ``(D) the Carl D. Perkins Vocational and Technical 
     Education Act of 1998 (20 U.S.C. 2301 et seq.);
       ``(E) the Federal Water Pollution Control Act (33 U.S.C. 
     1251 et seq.);
       ``(F) title VI of the Public Health Service Act (42 U.S.C. 
     291 et seq.);
       ``(G) sections 201 and 209 of the Public Works and Economic 
     Development Act of 1965 (42 U.S.C. 3141, 3149);
       ``(H) title I of the Housing and Community Development Act 
     of 1974 (42 U.S.C. 5301 et seq.); or
       ``(I) part IV of title III of the Communications Act of 
     1934 (47 U.S.C. 390 et seq.).
       ``(3) Exclusions.--In this section, the term `Federal grant 
     program' does not include--
       ``(A) the program for construction of the Appalachian 
     development highway system authorized by section 201;
       ``(B) any program relating to highway or road construction 
     authorized by title 23, United States Code; or
       ``(C) any other program under this Act or any other Act to 
     the extent that a form of financial assistance other than a 
     grant is authorized.''; and
       (4) by striking subsection (d).
       (g) Section 224(a)(2) of the Appalachian Regional 
     Development Act of 1965 (40 U.S.C. App.) is amended by 
     striking ``relative per capita income'' and inserting ``per 
     capita market income''.
       (h) Section 225 of the Appalachian Regional Development Act 
     of 1965 (40 U.S.C. App.)--
       (1) in subsection (a)(3), by striking ``development 
     program'' and inserting ``development strategies''; and
       (2) in subsection (c)(2), by striking ``development 
     programs'' and inserting ``development strategies''.
       (i) Section 303 of the Appalachian Regional Development Act 
     of 1965 (40 U.S.C. App.) is amended--
       (1) in the section heading, by striking ``investment 
     programs'' and inserting ``strategy statements'';
       (2) in the first sentence, by striking ``implementing 
     investments programs'' and inserting ``strategy statements''; 
     and
       (3) by striking ``implementing investment program'' each 
     place it appears and inserting ``strategy statement''.
       (j) Section 403 of the Appalachian Regional Development Act 
     of 1965 (40 U.S.C. App.) is amended in the next-to-last 
     undesignated paragraph by striking ``Committee on Public 
     Works and Transportation'' and inserting ``Committee on 
     Transportation and Infrastructure''.


                           Amendment No. 2840

  Mr. REID. Mr. President, I understand Senator Jeffords has a 
substitute amendment at the desk. I, therefore, ask unanimous consent 
that the amendment be agreed to, the committee substitute amendment be 
agreed to, the bill be read the third time and passed, the motion to 
reconsider be laid on the table with no intervening action or debate, 
and that any statements relating to these matters be printed in the 
Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The amendment (No. 2840) was agreed to.
  (The amendment is printed in today's Record under ``Amendments 
Submitted.'')
  The committee amendment in the nature of a substitute, as amended, 
was agreed to.
  The bill (S. 1206), as amended, was passed.

                          ____________________