Sec. 6. Funding
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There is authorized to be appropriated to the Secretary to carry out this Act $175,000,000,000 for fiscal year 2022, to remain available until expended. Subject to paragraph (2), of the amounts made available under subsection (a), the Secretary shall allocate— not less than 70 percent to recipients acting on behalf of local labor markets or partial local labor markets; not more than 20 percent to recipients acting on behalf of local communities; and not less than 10 percent to eligible Tribal governments. The amounts allocated pursuant to paragraphs
(5)and (6)(B) of subsection
(c)shall not be taken into consideration for purposes of calculations under paragraph (1). Of any amounts made available to carry out this Act, the Secretary shall transfer not less than 1 percent to the Salary and Expenses Account of the Secretary for the costs of administration and oversight of this Act. The Secretary may— appoint and fix the compensation of such temporary personnel as may be necessary to carry out this Act; and effective beginning on the date on which an individual appointed under clause
(i)has served continuously in that appointment for 2 years, appoint the individual to a position in the Economic Development Administration in the same manner in which competitive service employees with competitive status are considered for transfer, reassignment, or promotion to such a position, at which time the individual shall become a career-conditional employee, unless the individual has completed the service requirements for career tenure. Subject to subsection (e), based on the information relating to projected costs contained in applicable RECOMPETE plans under subparagraph
(C)of section 4(b)(2), and the justifications described in subparagraph
(D)of that section, the amount of a RECOMPETE grant provided to a recipient shall be determined in accordance with this subsection. An eligible local labor market may receive not more than the amount equal to the product obtained by multiplying— the prime-age employment gap of the local labor market; the prime-age population of the local labor market; and $70,585. Subject to paragraph (6), an eligible local community may receive not more than the amount equal to the product obtained by multiplying— the prime-age employment gap of the local community; the prime-age population of the local community; and $53,600. An eligible partial local labor market may receive not more than the amount equal to the product obtained by multiplying— the population of the partial local labor market; the lesser of— the prime-age employment gap of the local labor market within which the partial local labor market is located; and the prime-age employment gap of the partial local labor market; and $70,585. An eligible Tribal government may receive not more than the amount equal to the product obtained by multiplying, subject to subparagraph (B)— the prime-age employment gap of the Tribal government; the prime-age population of the Tribal government; and $70,585. Subject to clause (ii), for purposes of subparagraph (A), the population of a Tribal government shall be equal to the sum obtained by adding— the product obtained by multiplying— the total number of individuals residing on the Tribal land of the Tribal government; and 0.65; and the product obtained by multiplying— the total number of individuals included on the membership roll of the Tribal government; and 0.35. Each calculation under clause
(i)shall be determined based on data provided by the applicable Tribal government to the Department of the Treasury under the Coronavirus State and Local Fiscal Recovery Fund programs under title VI of the Social Security Act ( 42 U.S.C. 801 et seq. ) (as amended by subtitle M of title IX of the American Rescue Plan Act of 2021 ( Public Law 117–2 ; 135 Stat. 4)). If an eligible local community elects to enter into a cooperation agreement under section 3(b)(2)(A) with 1 or more local communities that are not eligible— each eligible local community that is a party to the cooperation agreement may receive the maximum amount available to the eligible local community, as determined under paragraph (3); and the Secretary may award to the lead entity an additional amount equal to not more than 10 percent of the total amount provided under subparagraph (A), for distribution by the lead entity to any local community or other applicant that is a party to the cooperation agreement, regardless of whether the local community or other applicant is eligible, for use in accordance with the applicable RECOMPETE plan. On approval by the Secretary of an application under section 4(a)(2)(E), the Secretary shall— obligate the entire amount of the RECOMPETE grant for the applicable recipient; and disburse that amount to the recipient annually for each of the 10 fiscal years beginning after the date of obligation, in accordance with this subsection. To receive an annual disbursement under paragraph (1), a recipient shall submit to the Secretary a proposal describing the intended use by the recipient of the disbursement during the applicable fiscal year (including the programs and activities proposed to be carried out and any subcontractor or vendor proposed to be used for those purposes), in accordance with the RECOMPETE plan of the recipient. On approval by the Secretary of a proposal submitted by a recipient under paragraph (2), the Secretary shall disburse to the recipient the amount of the RECOMPETE grant due to the recipient for the fiscal year, for use in accordance with— the proposal; and the RECOMPETE plan of the recipient. The Federal share of the cost of each program and activity carried out using a RECOMPETE grant shall be the cost share described in subparagraph
(B)for the applicable recipient, subject to subparagraph
(C)and paragraphs
(2)through (4). For an eligible local labor market, the cost share referred to in subparagraph
(A)shall be— 50 percent for an eligible local labor market with a prime-age employment gap equal to— not less than 2.5 percent; but less than 3 percent; and an additional 6.25 percent for each prime-age employment gap percentage point of 3 percent or more, as determined in accordance with the following table: Local labor market prime-age employment gap Federal share 3 percent to less than 4 percent 56.25 percent 4 percent to less than 5 percent 62.5 percent 5 percent to less than 6 percent 68.75 percent 6 percent to less than 7 percent 75 percent 7 percent to less than 8 percent 81.25 percent 8 percent to less than 9 percent 87.5 percent 9 percent to less than 10 percent 93.75 percent 10 percent or greater 100 percent. For an eligible local community, the cost share referred to in subparagraph
(A)shall be— 68.75 percent for an eligible local community with a prime-age employment gap equal to— not less than 5 percent; but less than 6 percent; and an additional 6.25 percent for each prime-age employment gap percentage point of 6 percent or more, up to 100 percent, as determined in accordance with the following table: Local community prime-age employment gap Federal share 6 percent to less than 7 percent 75 percent 7 percent to less than 8 percent 81.25 percent 8 percent to less than 9 percent 87.5 percent 9 percent to less than 10 percent 93.75 percent 10 percent or greater 100 percent. Subject to subclause (II), for an eligible partial local labor market, the cost share referred to in subparagraph
(A)shall be— 50 percent for an eligible partial local labor market with a prime-age employment gap equal to— not less than 2.5 percent; but less than 3 percent; and an additional 6.25 percent for each prime-age employment gap percentage point of 3 percent or more, as determined in accordance with the following table: Lesser of partial local labor market, and local labor market, prime-age employment gaps Federal share 3 percent to less than 4 percent 56.25 percent 4 percent to less than 5 percent 62.5 percent 5 percent to less than 6 percent 68.75 percent 6 percent to less than 7 percent 75 percent 7 percent to less than 8 percent 81.25 percent 8 percent to less than 9 percent 87.5 percent 9 percent to less than 10 percent 93.75 percent 10 percent or greater 100 percent. If an eligible partial local labor market is located within a local labor market with a prime-age employment gap that is less than the prime-age employment gap of the partial local labor market, the prime-age employment gap of the local labor market shall be used for purposes of calculating the Federal share of the partial local labor market under subclause (I). For an eligible Tribal government, the cost share referred to in subparagraph
(A)shall be 100 percent. The Federal share determined for a recipient under clause (i), (ii), or
(iii)of subparagraph
(B)may be increased, based on the relative need of each applicable area and recipient and in accordance with such regulations as the Secretary may promulgate, to not more than 80 percent of the total estimated cost of the programs and activities included in the RECOMPETE Plan for the applicable area. The Federal share determined for a recipient under subparagraph
(B)may be increased to not more than 100 percent of the total estimated cost of the programs and activities included in the RECOMPETE Plan for the applicable area in any case in which the Secretary determines that the recipient or a subrecipient has— exhausted all other reasonable financing and funding options; and demonstrated severe economic need. Except as provided in subparagraph (B), the Federal share calculated for an eligible local community under paragraph
(1)shall not be reduced due to an election by the eligible local community to enter into a cooperation agreement under section 3(b)(2)(A). If additional amounts are provided for an eligible local community for distribution to subrecipients under section 3(b)(2)(A)(iii), the Federal share calculated under paragraph
(1)for the eligible local community shall be not more than 50 percent, subject to any increase in accordance with clause
(i)or
(ii)of paragraph (1)(C), as applicable. In calculating the non-Federal share of the cost of a program or activity carried out under a RECOMPETE plan, the Secretary may provide a credit toward the non-Federal share for any non-Federal contribution to the program or activity— in cash or in-kind; fairly evaluated; and including any contribution of space, equipment, assumption of debt, or service. The Federal share and non-Federal share determined for a recipient under paragraphs
(1)and
(2)shall apply during the period beginning on the date of enactment of this Act and ending on the date on which the initial benchmark evaluation relating to the recipient is conducted under section 5(a). As soon as practicable after the date on which each benchmark evaluation relating to a recipient is conducted under section 5(a), the Secretary shall— reevaluate the Federal share and non-Federal share determined for the recipient under this subsection; and determine whether such a cost share should be adjusted, subject to subparagraph (C). The Federal share determined for a recipient under this subsection— shall not be decreased by more than— 10 percent, as compared to the Federal share determined for the recipient under this subsection for the preceding period; or 30 percent, in total; and shall be not less than 50 percent.
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