WASHINGTON, February 26, 2002—An historic, five-year reauthorization bill for the Appalachian Regional Commission (ARC) today received final approval from the U.S. Congress.

President Bush is expected to sign the legislation into law. This would be the longest reauthorization of ARC in its history and only the second congressional reauthorization of the agency since the Carter administration.

"This caps an incredible comeback for ARC," said Federal Co-Chairman Jesse L. White Jr. "We've come a huge distance—just like the Appalachian Region itself. Our unique partnership of federal, state, and local participation serves as a model for the nation. The Appalachian Development Highway System is today receiving near-record-level funding. Our area development activities are helping create thousands of new jobs and improving health and educational opportunities throughout the Region. While our job is not yet done, we've come far. It's a great day for the Appalachian Region."

"I want to commend Congress as well as President Bush for the strong support they've given the Appalachian Regional Commission," said ARC States' Co-Chairman Don Sundquist, governor of Tennessee. "Thanks to ARC and the support of Congress, thousands of Americans throughout Appalachia today have opportunities for a better life that were hardly imaginable a generation ago. Speaking for my fellow governors, I want to thank all the members of Congress for their support in the passage of this important legislation."

The ARC reauthorization bill contains the following key provisions:

• Reauthorizes ARC's area development (nonhighway) programs through fiscal year 2006. The bill provides an authorization level of $88 million annually for FY 2002 through 2004; $90 million in FY 2005; and $92 million in FY 2006 in support of infrastructure investments, health care, and local leadership development in the Region. The bill also maintains ARC support for the Region's multi-county planning and development agencies (local development districts).
• Authorizes a new telecommunications program with four main goals: improving affordable access to advanced telecommunications; providing education and training in the use of telecommunications and technology; developing programs to increase the readiness of businesses to engage in electronic commerce; and supporting entrepreneurial opportunities for businesses in the information technology sector.
• Establishes an Interagency Coordinating Council on Appalachia.
• Requires that at least half of ARC's project dollars go to activities that benefit the Region's economically distressed counties and areas.
• Authorizes an entrepreneurship initiative to encourage entrepreneurial education, improve access to debt and equity, develop a network of business incubators, and help communities in crafting strategies for small-business creation in various sectors of the economy.
• Authorizes a new Regional Skills Partnership program to encourage collaboration among businesses, educational institutions, state and local governments, and labor organizations to improve the job skills of workers in specific industries.
• Adds four new counties to the ARC region (Hart and Edmonson Counties in Kentucky, and Panola and Montgomery Counties in Mississippi).

During fiscal year 2001, ARC's infrastructure investments and entrepreneurship programs helped create or retain an estimated 60,000 jobs in the 13-state Appalachian Region. New or improved water or sewer service was provided to more than 24,000 households. Some 50,000 Appalachian residents and students attended workforce training, leadership development, and other educational programs in fiscal year 2001. And through ARC's health programs, more than 300,000 medical care visits were logged with physicians in the Region.