[House Report 108-353]
[From the U.S. Government Publishing Office]



108th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    108-353

======================================================================



 
                    ADDITIONS TO APPALACHIAN REGION

                                _______
                                

November 6, 2003.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

     Mr. Young of Alaska, from the Committee on Transportation and 
                Infrastructure, submitted the following

                              R E P O R T

                        [To accompany H.R. 587]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Transportation and Infrastructure, to whom 
was referred the bill (H.R. 587) to amend title 40, United 
States Code, to add Ashtabula, Mahoning, and Trumbull Counties, 
Ohio, to the Appalachian region, having considered the same, 
report favorably thereon with amendments and recommend that the 
bill as amended do pass.
  The amendments are as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. 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
          (4) by inserting ``Trumbull,'' after ``Scioto,''.
  (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. 2. 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.''.

  Amend the title so as to read:

      A bill to amend title 40, United States Code, to make 
additions to the Appalachian region, and for other purposes.

                       Purpose of the Legislation

    The purpose of H.R. 587, as amended, is to add certain 
counties in the States of Ohio, Virginia, Kentucky and 
Tennessee to the Appalachian Regional Commission (ARC) and 
increase the ARC's authorized levels so that these counties can 
benefit from the work of the ARC.

                Background and Need for the Legislation

    Established by the Appalachian Regional Development Act of 
1965 (P.L. 89-4), the ARC has as its central mission, 
alleviating economic distress in the Appalachian region, which 
covers 410 counties in 13 states, and is home to over 22 
million people. Historically, the Appalachian region has faced 
levels of poverty and economic distress higher than national 
averages as a result of its geographic isolation and inadequate 
infrastructure. Three indicators, unemployment, market income, 
and poverty rates, indicate if a county is distressed. A county 
is in economic distress if it has a three-year average 
unemployment rate that is at least 1.5 times the U.S. average; 
has a per capita market income that is less than two-thirds of 
the U.S. average; and has a poverty rate that is at least 1.5 
times the U.S. average. Since its creation, the ARC has cut in 
half the number of its counties plagued by severe and chronic 
economic distress.
    H.R. 587 adds 12 counties to the Appalachian Regional 
Commission (ARC). The legislation adds Ashtabula, Fayette, 
Mahoning, and Trumbull Counties in the State of Ohio; Nicholas 
and Robertson Counties in the State of Kentucky; Giles, 
Lawrence, Lewis, and Lincoln Counties in the State of 
Tennessee; and Henry and Patrick Counties in the Commonwealth 
of Virginia.
    Membership within the ARC only makes counties eligible to 
receive assistance under its programs. Each of these counties 
borders the existing ARC, and each can benefit from the work 
that the ARC does. There are pockets of distress in each of 
these counties that have suffered from many of the same 
economic forces that have plagued the rest of the ARC, 
including a decline in manufacturing, low steel and coal 
prices, and high outmigration.

                       Summary of the Legislation


               SECTION 1. ADDITIONS TO APPALACHIAN REGION

    This section adds additional counties to the Appalachian 
Regional Commission. Included are Nicholas and Robertson 
Counties in Kentucky; Ashtabula, Fayette, Mahoning, and 
Trumbull Counties in Ohio; Giles, Lawrence, Lewis, and Lincoln 
Counties in Tennessee; and Henry and Patrick Counties in 
Virginia.

               SECTION 2. AUTHORIZATION OF APPROPRIATIONS

    This section increases the authorization level for the ARC 
for each of the Fiscal Years 2004 through 2006 by $3 million.

            Legislative History and Committee Consideration

    Mr. LaTourette introduced H.R. 587 on February 5, 2003. On 
September 24, 2003, the Subcommittee met in open session and 
considered H.R. 587. An amendment offered by Mr. LaTourette to 
add additional counties to the ARC was adopted by voice vote, 
with a quorum present. On a motion by Ms. Norton, H.R. 587, as 
amended, was ordered favorably reported to the Full Committee, 
by voice vote, with a quorum present.
    On October 1, 2003, the Full Committee considered H.R. 587, 
as amended. An amendment offered by Mrs. Capito to increase the 
authorization levels of the ARC was adopted by voice vote, with 
a quorum present. A motion by Mr. LaTourette, to order H.R. 
587, as amended, favorably reported to the House was agreed to 
by the Full Committee unanimously, by voice vote, with a quorum 
present. There were no recorded votes taken during Committee 
consideration of H.R. 587.

                             Rollcall Votes

    Clause 3(b) of rule XIII of the House of Representatives 
requires each committee report to include the total number of 
votes cast for and against on each rollcall vote on a motion to 
report and on any amendment offered to the measure or matter, 
and the names of those members voting for and against. There 
were no rollcall votes taken during consideration of H.R. 587, 
as amended.

                      Committee Oversight Findings

    With respect to the requirements of clause 3(c)(1) of rule 
XIII of the Rules of the House of Representatives, the 
Committee's oversight findings and recommendations are 
reflected in this report.

                          Cost of Legislation

    Clause 3(c)(2) of rule XIII of the Rules of the House of 
Representatives does not apply where a cost estimate and 
comparison prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act of 
1974 has been timely submitted prior to the filing of the 
report and is included in the report. Such a cost estimate is 
included in this report.

                    Compliance With House Rule XIII

    1. With respect to the requirement of clause 3(c)(2) of 
rule XIII of the Rules of the House of Representatives, and 
308(a) of the Congressional Budget Act of 1974, the Committee 
references the report of the Congressional Budget Office 
included below.
    2. With respect to the requirement of clause 3(c)(4) of 
rule XIII of the Rules of the House of Representatives, the 
performance goals and objectives of this legislation are to 
reduce poverty by improving economic development opportunities 
in the newly designated counties.
    3. With respect to the requirement of clause 3(c)(3) of 
rule XIII of the Rules of the House of Representatives and 
section 402 of the Congressional Budget Act of 1974, the 
Committee has received the following cost estimate for H.R. 587 
from the Director of the Congressional Budget Office.

                                     U.S. Congress,
                               Congressional Budget Office,
                                   Washington, DC, October 8, 2003.
Hon. Don Young,
Chairman, Committee on Transportation and Infrastructure,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 587, a bill to 
amend title 40, United States Code, to make additions to the 
Appalachian region, and for other purposes.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Lanette J. 
Walker.
            Sincerely,
                                       Douglas Holtz-Eakin,
                                                          Director.
    Enclosure.

H.R. 587--A bill to amend title 40, United States Code, to make 
        additions to the Appalachian region, and for other purposes

    Summary: H.R. 587 would add certain counties in Kentucky, 
Ohio, Tennessee, and Virginia to the Appalachian region and 
would authorize such counties to receive assistance from the 
Appalachian Regional Commission (ARC). ARC provides grants to 
the 13 States in the Appalachian region to promote economic and 
social development.
    H.R. 587 also would authorize the appropriation of $3 
million in each of fiscal years 2004, 2005, and 2006 for such 
assistance. Based on historical spending patterns of ARC, CBO 
estimates that implementing the bill would cost $7 million over 
the 2004-2008 period, subject to appropriation of the specified 
amounts. Enacting H.R. 587 would have no impact on direct 
spending or revenues.
    H.R. 587 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would benefit State and local governments in the 
Appalachian region.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 587 is shown in the following table. 
The costs of this legislation fall within budget function 450 
(community and regional development).

------------------------------------------------------------------------
                                By fiscal year, in millions of dollars--
                               -----------------------------------------
                                 2003   2004   2005   2006   2007   2008
------------------------------------------------------------------------
                    SPENDING SUBJECT TO APPROPRIATION

Spending under current law for
 the Appalachian Regional
 Commission:
    Authorization level \1\...     71     88     90     92      0      0
    Estimated outlays.........     80     85     74     77     76     61
Proposed changes:
    Authorization level.......      0      3      3      3      0      0
    Estimated outlays.........      0      0      1      2      2      2
Spending under H.R. 587 for
 the Appalachian Regional
 Commission:
    Authorization level \1\...     71     91     93     95      0      0
    Estimated outlays.........     80     85     75     79     78     63
------------------------------------------------------------------------
\1\ The 2003 level is the amount appropriated for that year.

    Basis of estimate: Under current law, ARC is authorized to 
receive appropriations totaling $270 million over fiscal years 
2004, 2005, and 2006. H.R. 587 would authorize the 
appropriation of an additional $3 million in each of those 
fiscal years for the ARC to make grants to the 13 states in the 
Appalachian region for economic and social development 
projects. Based on historical spending patterns, CBO estimates 
that implementing H.R. 587 would cost $7 million over the five-
year period, subject to the appropriation of the specified 
amounts.
    Intergovernmental and private-sector impact: H.R. 587 
contains no intergovernmental mandates or private-sector 
mandates as defined in UMRA. New counties added to the 
Appalachian region, along with other counties and states in 
this region, would benefit from an increase in the 
authorizations of appropriations of $9 million over fiscal 
years 2004 through 2006 for a variety of grant programs. Any 
costs to those governments would be incurred voluntarily as 
conditions of receiving federal aid. This bill would not affect 
the budgets of other state, local, or tribal governments.
    Estimate prepared by: Federal Costs: Lanette J. Walker. 
Impact on State, Local, and Tribal Governments: Melissa 
Merrell. Impact on the Private Sector: Jean Talarico.
    Estimate approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

                   Constitutional Authority Statement

    Pursuant to clause (3)(d)(1) of rule XIII of the Rules of 
the House of Representatives, committee reports on a bill or 
joint resolution of a public character shall include a 
statement citing the specific powers granted to the Congress in 
the Constitution to enact the measure. The Committee on 
Transportation and Infrastructure finds that Congress has the 
authority to enact this measure pursuant to its powers granted 
under article I, section 8 of the Constitution.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act. (Public Law 104-4).

                        Preemption Clarification

    Section 423 of the Congressional Budget Act of 1974 
requires the report of any Committee on a bill or joint 
resolution to include a statement on the extent to which the 
bill or joint resolution is intended to preempt state, local, 
or tribal law. The Committee states that H.R. 587 does not 
preempt any state, local, or tribal law.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act are created by this 
legislation.

                Applicability to the Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act. (Public Law 
104-1).

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

                      TITLE 40, UNITED STATES CODE




           *       *       *       *       *       *       *
SUBTITLE IV--APPALACHIAN REGIONAL DEVELOPMENT

           *       *       *       *       *       *       *


CHAPTER 141--GENERAL PROVISIONS

           *       *       *       *       *       *       *



Sec. 14102. Definitions

  (a) Definitions.--In this subtitle--
          (1) Appalachian region.--The term ``Appalachian 
        region'' means that area of the eastern United States 
        consisting of the following counties (including any 
        political subdivision located within the area):
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) In Kentucky, the counties of Adair, Bath, 
                Bell, Boyd, Breathitt, Carter, Casey, Clark, 
                Clay, Clinton, Cumberland, Edmonson, Elliott, 
                Estill, Fleming, Floyd, Garrard, Green, 
                Greenup, Harlan, Hart, Jackson, Johnson, Knott, 
                Knox, Laurel, Lawrence, Lee, Leslie, Letcher, 
                Lewis, Lincoln, McCreary, Madison, Magoffin, 
                Martin, Menifee, Monroe, Montgomery, Morgan, 
                Nicholas, Owsley, Perry, Pike, Powell, Pulaski, 
                Robertson, Rockcastle, Rowan, Russell, Wayne, 
                Whitley, and Wolfe.

           *       *       *       *       *       *       *

                  (H) In Ohio, the counties of Adams, 
                Ashtabula, Athens, Belmont, Brown, Carroll, 
                Clermont, Columbiana, Coshocton, Fayette, 
                Gallia, Guernsey, Harrison, Highland, Hocking, 
                Holmes, Jackson, Jefferson, Lawrence, Mahoning, 
                Meigs, Monroe, Morgan, Muskingum, Noble, Perry, 
                Pike, Ross, Scioto, Trumbull, Tuscarawas, 
                Vinton, and Washington.

           *       *       *       *       *       *       *

                  (K) In Tennessee, the counties of Anderson, 
                Bledsoe, Blount, Bradley, Campbell, Cannon, 
                Carter, Claiborne, Clay, Cocke, Coffee, 
                Cumberland, DeKalb, Fentress, Franklin, Giles, 
                Grainger, Greene, Grundy, Hamblen, Hamilton, 
                Hancock, Hawkins, Jackson, Jefferson, Johnson, 
                Knox, Lawrence, Lewis, Lincoln, Loudon, McMinn, 
                Macon, Marion, Meigs, Monroe, Morgan, Overton, 
                Pickett, Polk, Putnam, Rhea, Roane, Scott, 
                Sequatchie, Sevier, Smith, Sullivan, Unicoi, 
                Union, Van Buren, Warren, Washington, and 
                White.
                  (L) In Virginia, the counties of Alleghany, 
                Bath, Bland, Botetourt, Buchanan, Carroll, 
                Craig, Dickenson, Floyd, Giles, Grayson, Henry, 
                Highland, Lee, Montgomery, Patrick, Pulaski, 
                Rockbridge, Russell, Scott, Smyth, Tazewell, 
                Washington, Wise, and Wythe.

           *       *       *       *       *       *       *


CHAPTER 147--MISCELLANEOUS

           *       *       *       *       *       *       *



Sec. 14703. Authorization of appropriations

  (a) In General.--In addition to amounts authorized by section 
14501 of this title and other amounts made available for the 
Appalachian development highway system program, the following 
amounts may be appropriated to the Appalachian Regional 
Commission to carry out this subtitle:
          [(1) $88,000,000 for each of the fiscal years 2002-
        2004.
          [(2) $90,000,000 for fiscal year 2005.
          [(3) $92,000,000 for fiscal year 2006.]
          (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.

           *       *       *       *       *       *       *


                                
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