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Legislative Update

July 2008
Senate, House Appropriations Committees Approve FY 2009 ARC Funding Bills; House Passes Five-Year ARC Reauthorization Legislation
On July 10, the Senate Committee on Appropriations approved its version of the fiscal year (FY) 2009 energy and water development appropriations bill, which contains ARC's nonhighway funding for the fiscal year beginning October 1. The bill provides $85 million for ARC, an increase from the Commission's current funding level of $73 million. The House Committee on Appropriations approved its FY 2009 energy and water development appropriations bill, containing $67 million for ARC, on June 25. Full Senate and House action on the measures is pending.

On July 15, the House approved a compromise five-year reauthorization bill for ARC’s nonhighway programs. Funding authorization levels in the bill begin at $87 million for FY 2008 and increase to $110 million for FY 2012. The legislation requires the designation of economically “at risk” counties and permits ARC to fund up to 70 percent of the cost of projects it funds in those counties. The measure also creates a new economic and energy development initiative to fund activities in energy efficiency, renewable energy, and conventional energy resources through the use of advanced technologies that reduce emissions such as greenhouse gasses. Additionally, the bill adds 10 new counties to the Appalachian Region. Senate action on the reauthorization bill is pending.

January 2008
President Bush Signs ARC FY 2008 Funding Legislation
On December 26, 2007, President George W. Bush signed into law omnibus appropriations legislation that provides funding for the Appalachian Regional Commission through September 30, 2008. Public Law 110-161 provides $73 million for ARC's nonhighway program, an increase of almost $8.2 million from fiscal year 2007.

December 2007
Congress Approves FY 2008 Funding Legislation for ARC; Third Continuing Resolution Extends ARC Funding, Authorization through December 21
On December 19, the U.S. House of Representatives gave final approval to legislation providing fiscal year 2008 funding for federal agencies. The bill, which was approved by the U.S. Senate on December 18, provides $73 million for ARC’s nonhighway program. The measure now goes to President George W. Bush for his signature.

On December 14, President Bush signed a third continuing resolution to extend funding for federal programs; the resolution expires December 21. As with the previous continuing resolutions, funding for ARC’s nonhighway program is continued at the fiscal year 2007 level, or $64.8 million. The legislation also extends ARC’s authorization until December 21.

November 2007
Second Continuing Resolution Extends ARC Funding, Authorization through December 14
On November 13, President George W. Bush signed a second continuing resolution to extend funding for federal programs. Public Law 110-116 funds government operations through December 14. The previous continuing resolution was to expire November 16. Funding for ARC’s nonhighway program is continued at the fiscal year 2007 level, or $64.8 million; the legislation also extends ARC’s authorization until December 14.

October 2007
ARC Funding, Authorization Extended through November 16
On Saturday, September 29, President George W. Bush signed a continuing resolution that extends the funding for federal programs through November 16. Funding for ARC’s nonhighway program is continued at the fiscal year 2007 level, or $64.8 million. The bill also contains a provision that extends ARC’s authorization until November 16.

August 2007
Senate Approves ARC Reauthorization Legislation
On August 3, the U.S. Senate unanimously approved a five-year reauthorization of ARC. The legislation continues all of the Commission’s existing programs and creates a new economic and energy development initiative that would be funded out of ARC’s annual authorization. The bill provides authorization levels of $95.2 million for fiscal year (FY) 2007; $98.6 million for FY 2008; $102 million for FY 2009; $105.7 million for FY 2010; and $109.4 million for FY 2011; and it requires that any earmarks come out of state allocations. The bill also requires the Commission to annually designate economically “at risk” counties and permits it to fund up to 70 percent of project costs in those counties. Unlike the House’s version of the reauthorization legislation, the measure does not add any counties to the Appalachian Region.

The House and Senate will address differences between their respective versions of the reauthorization this fall.

July 2007
House Approves Five-Year Reauthorization, FY 2008 Funding Legislation for ARC
On July 16 the U.S. House of Representatives approved a five-year reauthorization for ARC with the passage of bill H.R. 799. The reauthorization continues all of ARC’s existing programs and contains a new “economic and energy development” authority for work in energy efficiency, renewables, and conventional energy sources. It also calls for the designation of economically “at-risk” counties in the Appalachian Region and permits ARC to fund up to 70 percent of the cost of projects in at-risk counties. In addition, the measure adds 13 counties to the Region: four in Ohio, four in Tennessee, three in Kentucky, and two in Virginia.

The bill provides funding authorization of $65 million for fiscal year (FY) 2007; $80 million for FY 2008; $85 million for FY 2009; $90 million for FY 2010; and $95 million for FY 2011. The energy authority’s funding authorization is an additional $12 million per year. A provision in the legislation requires any earmarks to come out of the funding allocation of the Appalachian state that receives the earmark.

The Senate Committee on Environment and Public Works reported its version of the reauthorization legislation this spring. The full Senate must now consider the measure.

In other legislative matters, the House of Representatives approved its FY 2008 energy and water development appropriations bill on July 17; the bill provides $35 million in funding for ARC’s nonhighway program. The Senate is not expected to take up its version of the appropriations legislation, which provides $75 million, until September.

June 2007
Senate, House Appropriations Committees Approve FY 2008 ARC Funding Bills
On June 28, the Senate Committee on Appropriations approved its version of the fiscal year (FY) 2008 energy and water development appropriations bill, which contains ARC's nonhighway funding for the fiscal year beginning October 1. The bill provides $75 million for ARC, a $10 million increase from the Commission's FY 2007 funding level. President Bush's budget for FY 2008 requested funding of $65 million. Full Senate action on the measure is expected in July.

On June 6, the U.S. House Committee on Appropriations approved its FY 2008 energy and water development appropriations bill. The bill provides $35 million for ARC. Full House action on the bill is expected later this month.

March 2007
Senate Committee Approves ARC Reauthorization Legislation
On March 29, the Senate Committee on Environment and Public Works unanimously approved a five-year reauthorization of ARC’s nonhighway programs. The legislation is a slightly modified version of a bill Senator George Voinovich (R-OH) introduced in February. The bill renews ARC’s general authority for five years, through 2011, and increases the agency’s authorized funding level, starting at $95.2 million for fiscal year (FY) 2007 and increasing to $109.4 million for FY 2011. It also requires the Commission to designate economically “at-risk” counties and permits it to fund 70 percent of the costs of projects funded by ARC in those counties. The measure also creates a new general energy authority for the Commission.

The legislation will now go to the full Senate for consideration.

February 2007
President Bush Signs ARC FY 2007 Funding Legislation; House Committee Approves Five-Year ARC Reauthorization Legislation
On February 15, 2007, President Bush signed into law legislation funding the Appalachian Regional Commission through September 30. The bill contains $64.817 million for ARC’s nonhighway program, level with ARC’s fiscal year (FY) 2006 funding. There are no earmarks. The Senate had approved the legislation on February 14.

On February 7 the House Committee on Transportation and Infrastructure approved by voice vote a five-year ARC reauthorization bill (H.R. 799). The bill provides authorization levels for ARC’s regular programs at $65 million for FY 2007; $80 million for FY 2008; $85 million for FY 2009; $90 million for FY 2010; and $95 million for FY 2011. It also authorizes an additional $12 million per year for a new ARC program on “economic and energy development” that authorizes activities in key areas identified in ARC’s energy blueprint. The legislation will now go to the full House for consideration.

January 2007
House Approves Continuing Resolution Providing ARC Funding through Fiscal Year 2007
On January 31, the U.S. House of Representatives approved legislation that funds the Appalachian Regional Commission through September 30, 2007, at roughly the fiscal year 2006 level of $64.8 million. The bill also contains a provision extending ARC’s authorization until October 1, 2007. The Senate has not yet considered its version of the legislation; however, congressional leadership expects to complete work on the bill prior to the February 15 expiration of the continuing resolution currently providing funding.

December 2006
ARC’s Funding, Reauthorization Extended through Mid February
On December 9, Congress approved a continuing resolution providing funding for ARC and extending its reauthorization through February 15, 2007. The legislation provides $35.5 million in funding for ARC’s nonhighway program, the amount contained in the U.S. House of Representatives’ energy and water development appropriations bill passed in May. President Bush's budget for fiscal year (FY) 2007 requested funding of $65 million, level with ARC's FY 2006 funding.

Congress will reconvene on January 4 and is expected to work on a year-long continuing resolution that will run through the end of FY 2007.

October 2006
Congress Extends ARC Funding, Authorization through November 17
On September 29, Congress completed action on legislation providing funding for ARC through November 17. The measure provides funding at the annual rate of $35.5 million, the amount contained in the appropriations bill passed by the House in May. The legislation also includes a provision that expressly extends ARC’s authorization through November 17. Congress is expected to consider appropriations for the remainder of the fiscal year when it reconvenes in November.

The Senate’s version of the ARC reauthorization legislation, passed in July, received a majority vote in the House in late September. However, it failed to get the two-thirds vote required for passage under the expedited procedures by which the bill was considered. Congressional leaders expect to continue working on ARC reauthorization in November.

July 2006
Senate Committee Approves ARC Funding Bill; House Subcommittee to Hold Hearing on ARC Reauthorization
On June 29, the Senate Committee on Appropriations approved its version of the fiscal year 2007 energy and water development appropriations bill, which contains ARC’s nonhighway funding. The Senate bill provides $65.5 million for ARC, slightly more than the $64.8 million requested by President Bush, and contains no earmarks. Full Senate action on the measure is expected in July.

The House Subcommittee on Economic Development, Public Buildings, and Emergency Management has scheduled a hearing on ARC’s reauthorization for July 12.

May 2006
House Acts on ARC’s FY 2007 Funding Legislation; Senate Committee Approves ARC Reauthorization Legislation
On May 24, the U.S. House of Representatives approved its fiscal year (FY) 2007 energy and water development appropriations bill, which contains the Appalachian Regional Commission's FY 2007 nonhighway funding. The bill provides $35.5 million for ARC. President Bush's budget for FY 2007 requested funding of $65 million, level with ARC's FY 2006 funding. The House bill includes $9.3 million in earmarks for projects in Kentucky, Ohio, North Carolina, and West Virginia. The Senate has not yet started work on its version of the legislation.

On May 23, the Senate Committee on Environment and Public Works unanimously approved legislation introduced by Senator George Voinovich reauthorizing the Appalachian Regional Commission for five years, through 2011. The measure (S. 2832) would continue all of ARC’s existing programs without change and set authorization levels at $95.2 million for fiscal year (FY) 2007; $98.6 million for FY 2008; $102 million for FY 2009; $105.7 million for FY 2010; and $109.4 million for FY 2011. The House has not yet started work on the legislation.

November 2005
President Bush Signs ARC's Fiscal Year 2006 Appropriations Bill
On November 19, President Bush signed the compromise fiscal year (FY) 2006 energy and water development appropriations bill (now P.L. 109-103), which contains ARC's nonhighway funding. (The U.S. Senate approved the bill on November 14, and the U.S. House of Representatives passed the measure on November 9.) P.L. 109-103 contains $65.5 million for ARC for FY 2006, which is the same funding level received in FY 2005 and the amount requested by the president. The conference report that accompanied the bill specifies that $7.9 million of the total is for seven earmarks in three Appalachian states.

August 2005
President Bush Signs Highway Bill Providing ADHS Funding through FY 2009
On August 10, President Bush signed into law a multi-year highway bill to replace the Transportation Equity Act for the 21st Century. The new bill is known as the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU). The bill authorizes $470 million per year through FY 2009 for the Appalachian Development Highway System (ADHS), which ARC oversees. Portions of some ADHS corridors have been identified as high priority and will receive additional funding.

June 2005
House, Senate Act on ARC's FY 2006 Funding Legislation; ADHS Program Extended
On June 16, the Senate Committee on Appropriations approved its fiscal year 2006 energy and water development appropriations bill, which contains $65.5 million in funding for ARC's nonhighway programs. This is the same funding level ARC received in fiscal year 2005, and the amount requested in the president's budget. No earmarks were included in the Senate measure. Full Senate action on the bill is expected in June. The House's version of the legislation, which was passed May 24, contains $38.5 million for ARC and includes $7.4 million in earmarks.

On May 26, Congress approved a 30-day extension—until June 30—of federal highway programs, including the Appalachian Development Highway System. The previous extension was to expire May 31. Both the House and the Senate have passed multiyear highway bills, but a compromise agreement has not yet been crafted. On June 30, Congress approved a further extension, until late July.

March 2005
House Approves Multi-Year Highway Bill Containing Funding for ADHS
On March 10, the U.S. House of Representatives approved a multi-year highway bill to replace the Transportation Equity Act for the 21st Century (TEA-21). The measure provides annual funding of $470 million for the Appalachian Development Highway System (ADHS) through fiscal year 2009. The bill also adds 12 counties to the Appalachian Region. The Senate Committee on Environment and Public Works is scheduled to begin work on its version of the highway bill shortly, with the goal of a Senate vote in early April. The ADHS and other highway programs are currently operating under a short-term extension of the TEA-21 legislation that expires at the end of May.

February 2005
Administration's FY 2006 Budget Proposes Level Funding for ARC
President Bush's proposed fiscal year (FY) 2006 budget, released February 7, provides $65.5 million for the Appalachian Regional Commission's nonhighway programs. This is the same funding level ARC received in FY 2005.

Additionally, the administration's proposed multi-year highway legislation, SAFE-TEA, calls for $450 million annually for construction of the Appalachian Development Highway System (ADHS), which ARC continues to oversee. This is the same funding level provided in the TEA-21 legislation.

The administration's FY 2006 budget proposal will now go to Congress for its consideration.

November 2004
ARC Receives Level Funding in FY 2005 Federal Budget
On November 20, the U.S. House of Representatives and the U.S. Senate completed action on the Consolidated Appropriations Act, 2005, which provides $66 million in fiscal year 2005 funding for ARC's nonhighway program. This is the amount requested in the president's budget. ARC's appropriation is subject to an across-the-board reduction of .83 percent affecting all non-defense, non-homeland security programs. The bill will now go to the White House for the president's signature.

October 2004
President Signs Short-Term Continuing Resolution Providing ARC Funding; Congress Approves Extension of ADHS Program through May 2005
On September 30 President Bush signed a continuing resolution that will provide funding for the Appalachian Regional Commission at its fiscal year 2004 level ($65.6 million) through November 20. Also on September 30, Congress approved an eight-month extension of federal highway programs, including the Appalachian Development Highway System program, through May 31, 2005.

June 2004
House Approves ARC FY 2005 Funding Legislation; ADHS Funding Legislation in Conference
On June 25 the U.S. House of Representatives approved the FY 2005 energy and water development appropriations bill, which contains $38.5 million in funding for ARC's nonhighway programs. The House appropriations committee had approved the bill on June 16. President Bush's budget for FY 2005 requested funding of $66 million, level with ARC's FY 2004 funding. The Senate has not yet scheduled action on its version of the legislation.

Additionally, a multi-year highway bill that would provide funding for the Appalachian Development Highway System (ADHS) through FY 2009 from the federal Highway Trust Fund is under consideration in a House-Senate conference. The Senate passed its version of the legislation in February; the House version was passed in April. From FY 1999 through FY 2003, the ADHS received annual authorizations of $450 million under the Transportation Equity Act for the 21st Century.

April 2004
House Passes ADHS Funding Legislation
The House of Representatives has approved its version of a multi-year highway bill that would provide funding for the Appalachian Development Highway System (ADHS) for fiscal years 2004 through 2009. The bill, passed on April 2, authorizes $460 million in FY 2004 and $470 million annually for FY 2005 through FY 2009 from the federal Highway Trust Fund. The House bill also contains a provision adding 12 new counties to the Appalachian Region. The Senate version of the legislation, passed in February, provides $590 million annually for the ADHS.

A conference to reconcile differences between the House and Senate bills is pending.

March 2004
House Committee Approves ADHS Funding Legislation
On March 24, the House Committee on Transportation and Infrastructure approved a multi-year highway bill that authorizes $460 million for the Appalachian Development Highway System in fiscal year (FY) 2004, and $470 million annually for FY 2005 through FY 2009. The bill also adds 12 counties to the Appalachian Region. The legislation will now go to the full House for consideration. The Senate version of the legislation, passed in February, provides $590 million annually for the ADHS. From FY 1999 through FY 2003, the ADHS received annual authorizations of $450 million under the Transportation Equity Act for the 21st Century.

February 2004
Administration Proposes FY 2005 Budget for ARC
On February 2, the Bush administration proposed a budget for the Appalachian Regional Commission that would maintain level funding for both the Appalachian Development Highway System and ARC's nonhighway economic development programs and regional initiatives in fiscal year (FY) 2005.

Funding for the Appalachian Development Highway System would remain at $450 million for FY 2005, and ARC's nonhighway funding would remain at $66 million. Funding for projects in the Appalachian Region's most distressed counties and areas would continue to be a priority.

The administration's FY 2005 budget proposal will now go to Congress for its consideration.

December 2003
President Bush Signs ARC Fiscal Year 2004 Appropriations Bill On December 1, President Bush signed into law the Energy and Water Development Appropriations Act, 2004 (P.L. 108-137). The legislation includes $66.0 million for the Appalachian Regional Commission's area development programs in fiscal year 2004.

November 2003
House and Senate Approve ARC Fiscal Year 2004 Funding; Senate Committee Approves Multi-Year Highway Bill Containing ADHS Funding
On November 18, the full Senate and House approved the compromise version of the fiscal year 2004 energy and water development appropriations bill. The bill, which provides $66.0 million for the Appalachian Regional Commission's nonhighway programs, will now go to the White House for the president's signature.

On November 12, the Senate Environment and Public Works Committee approved a new multi-year highway bill that would authorize $590 million per year for work on the Appalachian Development Highway System (ADHS). The measure would replace the Transportation Equity Act for the 21st Century (TEA-21), which expired on September 30 and has been temporarily extended through February 29, 2004. The annual ADHS funding level under TEA-21 was $450 million per year. Full Senate action on the bill is not expected until next year. The House committee has not yet taken up the highway bill.

September 2003
Senate Approves ARC FY 2004 Funding Legislation
The U.S. Senate approved its version of the fiscal year 2004 energy and water development appropriations bill on September 16. The legislation includes $71.1 million for the Appalachian Regional Commission's nonhighway programs. A conference to reconcile differences between the Senate and House appropriations bills is pending.

August 2003
House, Senate Act on ARC FY 2004 Funding Legislation
On July 18, the U.S. House of Representatives passed its FY 2004 energy and water development appropriations bill, which contains $33.1 million for the Appalachian Regional Commission's nonhighway programs. On July 17, the Senate Committee on Appropriations approved its version of the legislation, which includes $71 million for ARC for FY 2004. This is the same amount ARC received for its programs in FY 2003. The full Senate is expected to act on the legislation in early September. A House-Senate conference to reconcile the two bills is also expected in September.

July 2003
House, Senate Consider ARC FY 2004 Funding Legislation
On July 9, the House Appropriations Subcommittee on Energy and Water Development approved legislation that contains the Appalachian Regional Commission's FY 2004 nonhighway funding. The bill provides $33.1 million for ARC, the amount proposed in President Bush's FY 2004 budget. The full House appropriations committee is expected to consider the legislation the week of July 14, with action on the House floor expected the week of July 21. The Senate energy and water development subcommittee is tentatively scheduled to consider its bill the week of July 14.

May 2003
Proposed Transportation Legislation Includes Funding for ADHS through Fiscal Year 2009
The Bush administration has proposed a six-year, $247 billion surface transportation reauthorization—the Safe, Accountable, Flexible, and Efficient Transportation Equity Act of 2003 (SAFETEA)—that includes continued funding for the Appalachian Development Highway System (ADHS) through fiscal year 2009.

Unveiled by U.S. Secretary of Transportation Norman Y. Mineta on May 14, 2003, SAFETEA would provide funding for the ADHS program at a level of $450 million for each fiscal year from 2004 through 2009, for a total of $2.7 billion.

Approximately 2,441 miles of the ADHS's planned 3,025 miles are now open to traffic. The most recent estimate of the cost to complete the ADHS (2002) puts the remaining federal funds needed to complete the system at $4.45 billion in 2000 dollars.

March 2003
President Bush Signs ARC FY 2003 Appropriations Bill
The Appalachian Regional Commission will receive $70.9 million in fiscal year (FY) 2003 for its area development programs under the "Consolidated Appropriations Resolution, 2003," signed into law by President George W. Bush on February 20 (P.L. 108-7). ARC's FY 2002 congressional appropriation was $71.3 million.

The ARC-administered Appalachian Development Highway System (ADHS), which receives funds derived from the federal Highway Trust Fund, is expected to be funded at its FY 2002 level of approximately $400 million. The exact figure will be determined later in the year. P.L. 108-7 provides an additional $88 million for the ADHS, and another $100 million for ADHS corridor construction in Alabama, Kentucky, Mississippi, Tennessee, and West Virginia.

September 2002
House, Senate Appropriations Committees Approve ARC FY 2003 Funding Legislation
On September 5, the U.S. House Committee on Appropriations approved the fiscal year 2003 energy and water development appropriations bill, which contains ARC's nonhighway funding for the fiscal year beginning October 1. The committee approved $71.3 million for ARC, of which $5 million is earmarked for a child development center in Alabama. The Senate appropriations committee completed work on its version of the bill on July 24, providing $74.3 million for ARC. Of that total, $8 million is earmarked for the Commission's new telecommunications program. Full House and Senate action on the bills is pending.

July 2002
House, Senate Consider ARC FY 2003 Funding Legislation
On July 10, the House Appropriations Subcommittee on Energy and Water Development approved legislation containing the Appalachian Regional Commission's nonhighway funding for fiscal year (FY) 2003. The measure provides $71.3 million, consistent with the FY 2002 funding level. The full House appropriations committee is tentatively scheduled to act on the measure on July 18. The Senate appropriations committee is expected to consider its version of the legislation during the week of July 22.

March 2002
President Bush Signs ARC Reauthorization into Law
On March 12, President George W. Bush signed into law S. 1206, the Appalachian Regional Development Act Amendments of 2002 (P.L. 107-149). The legislation extends ARC's nonhighway programs through 2006; continues the Commission's traditional work in providing basic infrastructure, health care, and local leadership development; and maintains support for multicounty planning and development agencies (local development districts). The measure also authorizes new programs in telecommunications, entrepreneurship, and job-skills training, and reinforces ARC's commitment to distressed counties in Appalachia by mandating that at least half of Commission project dollars go to activities that benefit distressed areas. Another provision of the legislation adds four new counties to the Region: Hart and Edmonson Counties in Kentucky, and Panola and Montgomery Counties in Mississippi. The act provides an authorization level of $88 million annually for fiscal years 2002 through 2004; $90 million for fiscal year 2005, and $92 million for fiscal year 2006.