H.R. 3997 — National Forest-Dependent Rural Communities Economic Diversification Act of 1990

 
HR 3997 IH
101st CONGRESS
2d Session
 H. R. 3997
To improve the economic, social, and environmental well-being of rural America
through the economic diversification of rural communities dependent on forest
land resources.
IN THE HOUSE OF REPRESENTATIVES
February 7, 1990
Mr. MORRISON of Washington (for himself, Mr. SWIFT, Mr. DICKS, Mr. ROBERT
F. SMITH, Mr. DEFAZIO, Mr. MCDERMOTT, Mrs. UNSOELD, Mr. THOMAS of Georgia,
Mr. MILLER of Washington, and Mr. CHANDLER) introduced the following bill;
which was referred to the Committee on Agriculture
A BILL
To improve the economic, social, and environmental well-being of rural America
through the economic diversification of rural communities dependent on forest
land resources.
  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 `National Forest-Dependent Rural Communities
  Economic Diversification Act of 1990'.
SEC. 2. FINDINGS AND PURPOSE.
  (a) FINDINGS- Congress finds that--
  (1) the economic well-being of rural America is vital to our national
  growth and prosperity;
  (2) the economic well-being of many rural communities depends upon the
  goods and services which are derived from national forests;
  (3) the economies of these communities suffer from a lack of industrial
  and business diversity;
  (4) this lack of diversity is particularly serious in communities which
  are predominantly timber dependent and where management decisions made on
  the national forests may disrupt the supply of those resources;
  (5) the United States Forest Service has expertise and resources that
  could be directed to promote modernization and economic diversification
  of existing industries and services based on forest resources;
  (6) the Forest Service has the technical expertise to provide leadership,
  in cooperation with other governmental agencies and the private sector,
  to assist rural communities dependent upon national forest resources
  to upgrade existing industries and diversify by developing new economic
  activity in nonforest-related industries; and
  (7) technical assistance, training, education, and other assistance provided
  by the Department of Agriculture can be targeted to provide immediate help
  to those rural communities in greatest need.
  (b) PURPOSES- The purposes of this Act are--
  (1) to provide assistance to rural communities which are located in or
  near national forests and which are economically dependent upon forest
  resources or are likely to be economically disadvantaged by Federal land
  management practices;
  (2) to aid in diversifying their economic bases; and
  (3) to improve the economic, social, and environmental well-being of
  rural America.
SEC. 3. DEFINITIONS.
  As used in this Act--
  (1) the term `action team' means a rural forestry and economic
  diversification action team established by the Secretary pursuant to
  section 4(b);
  (2) the term `rural community' means--
  (A)(i) any town, township, municipality, or other similar unit of general
  purpose local government having a population of not more than 10,000
  (according to the latest decennial census) which is located in a county
  where at least 15 percent of the total labor and proprietor income is
  derived from forestry, wood products, and forest related industries such
  as recreation and tourism; or
  (ii) any county or similar unit of general purpose local government having a
  population of not more than 22,550 (according to the latest decennial census)
  in which at least 15 percent of the total labor and proprietor income is
  derived from forestry, wood products, and forest related industries such
  as recreation and tourism; and
  (B) which is located within the boundary, or within 100 miles of the
  boundary, of a national forest;
  (3) the term `economically disadvantaged' means economic hardship due to
  the loss of jobs or income (labor or proprietor) derived from forestry,
  the wood products industry, or related commercial enterprises such as
  recreation and tourism on the national forest; and
  (4) the term `Secretary' means the Secretary of Agriculture.
SEC. 4. RURAL FORESTRY AND ECONOMIC DIVERSIFICATION ACTION TEAMS.
  (a) REQUEST FOR ASSISTANCE- Economically disadvantaged rural communities
  may request assistance from the Secretary in identifying opportunities
  that will promote economic improvement and diversification.
  (b) ESTABLISHMENT- Upon request, the Secretary is authorized to establish
  rural forestry and economic diversification action teams to prepare an
  action plan to provide technical assistance to economically disadvantaged
  communities. The action plan shall identify opportunities to promote economic
  diversification and enhance local economies now dependent upon national
  forest resources. The action team may also identify opportunities to utilize
  value-added products and services derived from national forest resources.
  (c) ORGANIZATION- The Secretary shall design and organize an action team to
  meet the unique needs of the requesting rural community. Each action team
  shall be directed by an employee of the Forest Service and may include
  personnel from other agencies within the Department of Agriculture, from
  other Federal and State departments and agencies, and from the private
  sector.
  (d) COOPERATION- In preparing action plans, the Secretary is authorized
  to cooperate with State and local governments, universities, private
  companies, individuals, and nonprofit organizations for procurement of
  services determined necessary or desirable.
SEC. 5. ACTION PLAN IMPLEMENTATION.
  (a) IN GENERAL- Action plans shall be implemented, insofar as practicable,
  to upgrade existing industries to use forest resources more efficiently
  and to expand the economic base of rural communities so as to alleviate
  or reduce their dependence on national forest resources.
  (b) ASSISTANCE- To implement action plans, the Secretary is authorized to
  make grants and enter into cooperative agreements and contracts to provide
  necessary technical and related assistance. Such grants, cooperative
  agreements, and contracts may be with the affected rural community, State
  and local governments, universities, corporations, and individuals.
  (c) LIMITATION- The Federal contribution to the overall implementation of
  an action plan shall not exceed 80 percent of the total cost, including
  administrative and other costs. The Secretary shall attribute the fair
  market value of equipment, personnel, and services provided in calculating
  the Federal contribution.
  (d) AVAILABLE AUTHORITY- The Secretary may utilize his existing authorities
  under the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2101 et
  seq.) and other authorities in implementing action plans.
SEC. 6. TRAINING AND EDUCATION.
  (a) PROGRAMS- In furtherance of the action plans, the Secretary is authorized
  to utilize the Extension Service of the Department of Agriculture to
  develop and conduct education programs that assist businesses, elected or
  appointed officials, and individuals in rural communities to deal with the
  effects of a transition from being economically disadvantaged to economic
  diversification. These programs may include--
  (1) community economic analysis and strategic planning;
  (2) methods for improving or retooling existing enterprises now dependent
  on national forest resources;
  (3) methods for expanding existing enterprises and creating new economic
  opportunities by emphasizing economic opportunities in other industries
  or services not dependent on national forest resources; and
  (4) assistance in the evaluation, counseling, and enhancement of vocational
  skills, training in basic and remedial literacy skills, assistance in job
  seeking skills, and training in starting or operating a business enterprise.
  (b) EXISTING EDUCATIONAL AND TRAINING PROGRAMS- Insofar as practicable,
  the Secretary shall utilize existing Federal, State, and private education
  resources in carrying out these programs.
SEC. 7. LOANS TO ECONOMICALLY DISADVANTAGED RURAL COMMUNITIES.
  (a) IN GENERAL- The Secretary, under such terms and conditions as he shall
  establish, may make loans to economically disadvantaged rural communities
  for the purposes of securing technical assistance and services to aid in
  the development and implementation of action plans, including--
  (1) improving existing facilities in the community that may generate
  employment or revenue;
  (2) expanding existing infrastructure, facilities, and services to capitalize
  on opportunities to diversify economies now dependent on national forest
  resources; and
  (3) supporting the development of new industries or commercial ventures
  unrelated to national forest resources.
  (b) INTEREST AND OTHER CHARGES- The interest rates on loans made pursuant
  to this section shall be as determined by the Secretary, but not in excess
  of the current average market yield on outstanding marketable obligations
  of the United States with remaining periods to maturity comparable to
  the average maturities of such loans, plus not to exceed 1 percent,
  as determined by the Secretary, and adjusted to the nearest one-eighth
  of 1 percent. The borrower shall pay such fees and other charges as the
  Secretary may require, and borrowers under this Act shall prepay to the
  Secretary such taxes and insurance as the Secretary may require, on such
  terms and conditions the Secretary may prescribe.
  (c) SECURITY- The Secretary may take, as security for the obligations entered
  into in connection with loans, mortgages on property with respect to which
  such loans are made or such other security as the Secretary may require.
SEC. 8. AUTHORIZATION OF APPROPRIATIONS AND SPENDING AUTHORITY.
  (a) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be appropriated
  such sums as may be necessary to carry out the purposes of this Act.
  (b) SPENDING AUTHORITY- Any spending authority (as defined in section 401
  of the Congressional Budget Act of 1974) provided in this Act shall be
  effective for any fiscal year only to such extent or in such amounts as
  are provided in appropriation Acts.
National Forest-Dependent Rural Communities Economic Diversification Act of 1990

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