[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 583 Reported in Senate (RS)]
Calendar No. 706
111th CONGRESS
2d Session
S. 583
To provide grants and loan guarantees for the development and
construction of science parks to promote the clustering of innovation
through high technology activities.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 12, 2009
Mr. Pryor (for himself, Ms. Snowe, Mr. Johnson, Mr. Alexander, Mr.
Durbin, Mr. Dorgan, Mrs. Gillibrand, Mr. Casey, Mr. Udall of New
Mexico, Mr. Johanns, Mr. Begich, Mr. Bingaman, Ms. Landrieu, and Ms.
Collins) introduced the following bill; which was read twice and
referred to the Committee on Commerce, Science, and Transportation
December 17, 2010
Reported by Mr. Rockefeller, with an amendment
[Strike all after the enacting clause and insert the part printed in
italic]
_______________________________________________________________________
A BILL
To provide grants and loan guarantees for the development and
construction of science parks to promote the clustering of innovation
through high technology activities.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
<DELETED>SECTION 1. SHORT TITLE.</DELETED>
<DELETED> This Act may be cited as the ``Building a Stronger America
Act''.</DELETED>
<DELETED>SEC. 2. DEVELOPMENT OF SCIENCE PARKS.</DELETED>
<DELETED> (a) Finding.--Section 2 of the Stevenson-Wydler Technology
Innovation Act of 1980 (15 U.S.C. 3701) is amended by adding at the end
the following:</DELETED>
<DELETED> ``(12) It is in the best interests of the Nation
to encourage the formation of science parks to promote the
clustering of innovation through high technology
activities.''.</DELETED>
<DELETED> (b) Definition.--Section 4 of such Act (15 U.S.C. 3703) is
amended by adding at the end the following:</DELETED>
<DELETED> ``(12) `Business or industrial park' means a
primarily for-profit real estate venture of businesses or
industries which do not necessarily reinforce each other
through supply chain or technology transfer
mechanisms.</DELETED>
<DELETED> ``(13) `Science park'--</DELETED>
<DELETED> ``(A) means a group of interrelated
companies and institutions, including suppliers,
service providers, institutions of higher education,
start-up incubators, and trade associations that--
</DELETED>
<DELETED> ``(i) cooperate and compete with
each other; and</DELETED>
<DELETED> ``(ii) are located in a specific
area or region that promotes real estate
development, technology transfer, and
partnerships between such companies and
institutions;</DELETED>
<DELETED> ``(B) includes a science park, research
park, technology park, research and development park,
research and technology park, and science and
technology park; and</DELETED>
<DELETED> ``(C) does not include a business or
industrial park.</DELETED>
<DELETED> ``(14) `Science park infrastructure' means
facilities that support the daily economic activity of a
science park.''.</DELETED>
<DELETED> (c) Science Parks.--The Stevenson-Wydler Technology
Innovation Act of 1980 (15 U.S.C. 3701 et seq.) is amended by adding at
the end the following:</DELETED>
<DELETED>``SEC. 24. SCIENCE PARKS.</DELETED>
<DELETED> ``(a) Development of Plans for Construction of Science
Parks.--</DELETED>
<DELETED> ``(1) In general.--The Secretary shall award
grants for the development of feasibility studies and plans for
the construction of new science parks or the expansion of
existing science parks.</DELETED>
<DELETED> ``(2) Limitation on amount of grants.--The amount
of a grant awarded under this subsection may not exceed
$750,000.</DELETED>
<DELETED> ``(3) Award.--</DELETED>
<DELETED> ``(A) Competition required.--The Secretary
shall award grants under this subsection pursuant to a
full and open competition.</DELETED>
<DELETED> ``(B) Geographic dispersion.--The
Secretary is encouraged to divide the grants awarded
under this subsection among low-,
medium-, and high-population density States.</DELETED>
<DELETED> ``(C) Advertising.--The Secretary shall
advertise any competition under this paragraph in the
Commerce Business Daily.</DELETED>
<DELETED> ``(D) Selection criteria.--The Secretary
shall publish the criteria to be utilized in any
competition under this paragraph for the selection of
recipients of grants under this subsection, which shall
include requirements relating to--</DELETED>
<DELETED> ``(i) the number of jobs to be
created at the science park each year during
its first 5 years;</DELETED>
<DELETED> ``(ii) the funding to be required
to construct or expand the science park during
its first 5 years;</DELETED>
<DELETED> ``(iii) the amount and type of
cost matching by the applicant;</DELETED>
<DELETED> ``(iv) the types of businesses and
research entities expected in the science park
and surrounding community;</DELETED>
<DELETED> ``(v) letters of intent by
businesses and research entities to locate in
the science park;</DELETED>
<DELETED> ``(vi) the expansion capacity of
the science park during a 25-year
period;</DELETED>
<DELETED> ``(vii) the quality of life at the
science park for employees at the science
park;</DELETED>
<DELETED> ``(viii) the capability to attract
a well trained workforce to the science
park;</DELETED>
<DELETED> ``(ix) the management of the
science park;</DELETED>
<DELETED> ``(x) expected risks in the
construction and operation of the science
park;</DELETED>
<DELETED> ``(xi) risk mitigation;</DELETED>
<DELETED> ``(xii) transportation and
logistics;</DELETED>
<DELETED> ``(xiii) physical infrastructure,
including telecommunications; and</DELETED>
<DELETED> ``(xiv) ability to collaborate
with other science parks throughout the
world.</DELETED>
<DELETED> ``(4) Authorization of appropriations.--There are
authorized to be appropriated $7,500,000 for each of the fiscal
years 2010 through 2014 to carry out this subsection.</DELETED>
<DELETED> ``(b) Loan Guarantees for Science Park Infrastructure.--
</DELETED>
<DELETED> ``(1) In general.--Subject to paragraph (2), the
Secretary may guarantee up to 80 percent of the loan amount for
loans exceeding $10,000,000 for projects for the construction
of science park infrastructure.</DELETED>
<DELETED> ``(2) Limitations on guarantee amounts.--The
maximum amount of loan principal guaranteed under this
subsection may not exceed--</DELETED>
<DELETED> ``(A) $50,000,000 with respect to any
single project; and</DELETED>
<DELETED> ``(B) $500,000,000 with respect to all
projects.</DELETED>
<DELETED> ``(3) Selection of guarantee recipients.--The
Secretary shall select recipients of loan guarantees under this
subsection based upon the ability of the recipient to
collateralize the loan amount through bonds, equity, property,
and other such criteria as the Secretary shall prescribe.
Entities receiving a grant under subsection (a) are not
eligible for a loan guarantee during the period of such
grant.</DELETED>
<DELETED> ``(4) Terms and conditions for loan guarantees.--
The loans guaranteed under this subsection shall be subject to
such terms and conditions as the Secretary may prescribe,
except that--</DELETED>
<DELETED> ``(A) the final maturity of such loans
made or guaranteed may not exceed the lesser of--
</DELETED>
<DELETED> ``(i) 30 years and 32 days;
or</DELETED>
<DELETED> ``(ii) 90 percent of the useful
life of any physical asset to be financed by
such loan;</DELETED>
<DELETED> ``(B) a loan made or guaranteed under this
subsection may not be subordinated to another debt
contracted by the borrower or to any other claims
against the borrowers in the case of default;</DELETED>
<DELETED> ``(C) a loan may not be guaranteed under
this subsection unless the Secretary determines that
the lender is responsible and that adequate provision
is made for servicing the loan on reasonable terms and
protecting the financial interest of the United
States;</DELETED>
<DELETED> ``(D) a loan may not be guaranteed under
this subsection if--</DELETED>
<DELETED> ``(i) the income from such loan is
excluded from gross income for purposes of
chapter 1 of the Internal Revenue Code of 1986;
or</DELETED>
<DELETED> ``(ii) the guarantee provides
significant collateral or security, as
determined by the Secretary, for other
obligations the income from which is so
excluded;</DELETED>
<DELETED> ``(E) any guarantee provided under this
subsection shall be conclusive evidence that--
</DELETED>
<DELETED> ``(i) the guarantee has been
properly obtained;</DELETED>
<DELETED> ``(ii) the underlying loan
qualified for such guarantee; and</DELETED>
<DELETED> ``(iii) absent fraud or material
misrepresentation by the holder, the guarantee
is presumed to be valid, legal, and
enforceable;</DELETED>
<DELETED> ``(F) the Secretary shall prescribe
explicit standards for use in periodically assessing
the credit risk of new and existing direct loans or
guaranteed loans;</DELETED>
<DELETED> ``(G) the Secretary may not extend credit
assistance unless the Secretary has determined that
there is a reasonable assurance of repayment;
and</DELETED>
<DELETED> ``(H) new loan guarantees may not be
committed except to the extent that appropriations of
budget authority to cover their costs are made in
advance, as required under section 504 of the Federal
Credit Reform Act of 1990 (2 U.S.C. 661c).</DELETED>
<DELETED> ``(5) Payment of losses.--</DELETED>
<DELETED> ``(A) In general.--If, as a result of a
default by a borrower under a loan guaranteed under
this subsection, after the holder has made such further
collection efforts and instituted such enforcement
proceedings as the Secretary may require, the Secretary
determines that the holder has suffered a loss, the
Secretary shall pay to such holder the percentage of
such loss specified in the guarantee contract. Upon
making any such payment, the Secretary shall be
subrogated to all the rights of the recipient of the
payment. The Secretary shall be entitled to recover
from the borrower the amount of any payments made
pursuant to any guarantee entered into under this
section.</DELETED>
<DELETED> ``(B) Enforcement of rights.--The Attorney
General shall take such action as may be appropriate to
enforce any right accruing to the United States as a
result of the issuance of any guarantee under this
section.</DELETED>
<DELETED> ``(C) Forbearance.--Nothing in this
section may be construed to preclude any forbearance
for the benefit of the borrower which may be agreed
upon by the parties to the guaranteed loan and approved
by the Secretary, if budget authority for any resulting
subsidy costs (as defined in section 502(5) of the
Federal Credit Reform Act of 1990) is
available.</DELETED>
<DELETED> ``(D) Management of property.--
Notwithstanding any other provision of law relating to
the acquisition, handling, or disposal of property by
the United States, the Secretary may complete,
recondition, reconstruct, renovate, repair, maintain,
operate, or sell any property acquired by the Secretary
pursuant to this section.</DELETED>
<DELETED> ``(6) Review.--Not later than 2 years after the
date of the enactment of this section, the Comptroller General
of the United States shall--</DELETED>
<DELETED> ``(A) conduct a review of the subsidy
estimates for the loan guarantees under this
subsection; and</DELETED>
<DELETED> ``(B) submit to Congress a report on the
review conducted under this paragraph.</DELETED>
<DELETED> ``(7) Termination.--A loan may not be guaranteed
under this subsection after September 30, 2014.</DELETED>
<DELETED> ``(8) Authorization of appropriations.--There are
authorized to be appropriated--</DELETED>
<DELETED> ``(A) $35,000,000 for the cost (as defined
in section 502(5) of the Federal Credit Reform Act of
1990) of guaranteeing $500,000,000 in loans under this
subsection;</DELETED>
<DELETED> ``(B) $6,000,000 for administrative
expenses for fiscal year 2010; and</DELETED>
<DELETED> ``(C) such sums as may be necessary for
administrative expenses in fiscal year 2011 and
thereafter.</DELETED>
<DELETED> ``(c) National Academy of Sciences Evaluation.--</DELETED>
<DELETED> ``(1) In general.--The Secretary shall enter into
an agreement with the National Academy of Sciences under which
the Academy shall conduct, every 3 years, an evaluation of the
activities under this section.</DELETED>
<DELETED> ``(2) Tri-annual report.--Under the agreement
described in paragraph (1), the Academy shall submit a report
to the Secretary that--</DELETED>
<DELETED> ``(A) includes the Academy's evaluation of
science park development under this section;
and</DELETED>
<DELETED> ``(B) may include such recommendations as
the Academy considers appropriate for additional
activities to promote and facilitate the development of
science parks in the United States.</DELETED>
<DELETED> ``(d) Tri-Annual Report.--Not later than March 31, 2013,
and every third year thereafter, the Secretary shall submit a report to
Congress that--</DELETED>
<DELETED> ``(1) describes the activities under this section
during the preceding 3 years;</DELETED>
<DELETED> ``(2) includes any recommendations made by the
National Academy of Sciences under subsection (c)(2)(B) during
such period; and</DELETED>
<DELETED> ``(3) may include such recommendations for
legislative or administrative action as the Secretary considers
appropriate to further promote and facilitate the development
of science parks in the United States.</DELETED>
<DELETED> ``(e) Rulemaking.--Not later than 1 year after the date of
the enactment of this section, the Secretary shall promulgate
regulations to carry out this section in accordance with Office of
Management and Budget Circular A-129, entitled `Policies for Federal
Credit Programs and Non-Tax Receivables'.''.</DELETED>
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Building a Stronger America Act''.
SEC. 2. DEVELOPMENT OF SCIENCE PARKS.
(a) Finding.--Section 2 of the Stevenson-Wydler Technology
Innovation Act of 1980 (15 U.S.C. 3701) is amended by adding at the end
the following:
``(12) It is in the best interests of the Nation to
encourage the formation of science parks to promote the
clustering of innovation through high technology activities.''.
(b) Definition.--Section 4 of such Act (15 U.S.C. 3703) is amended
by adding at the end the following:
``(12) `Business or industrial park' means a primarily for-
profit real estate venture of businesses or industries which do
not necessarily reinforce each other through supply chain or
technology transfer mechanisms.
``(13) `Science park'--
``(A) means a group of interrelated companies and
institutions, including suppliers, service providers,
institutions of higher education, start-up incubators,
and trade associations that--
``(i) cooperate and compete with each
other; and
``(ii) are located in a specific area or
region that promotes real estate development,
technology transfer, and partnerships between
such companies and institutions;
``(B) includes a science park, research park,
technology park, research and development park,
research and technology park, and science and
technology park; and
``(C) does not include a business or industrial
park.
``(14) `Science park infrastructure' means facilities that
support the daily economic activity of a science park.''.
(c) Science Parks.--The Stevenson-Wydler Technology Innovation Act
of 1980 (15 U.S.C. 3701 et seq.) is amended by adding at the end the
following:
``SEC. 24. SCIENCE PARKS.
``(a) Development of Plans for Construction of Science Parks.--
``(1) In general.--The Secretary shall award grants for the
development of feasibility studies and plans for the
construction of new science parks or the expansion of existing
science parks.
``(2) Limitation on amount of grants.--The amount of a
grant awarded under this subsection may not exceed $750,000.
``(3) Award.--
``(A) Competition required.--The Secretary shall
award grants under this subsection pursuant to a full
and open competition.
``(B) Geographic dispersion.--The Secretary is
encouraged to divide the grants awarded under this
subsection among low-,
medium-, and high-population density States.
``(C) Advertising.--The Secretary shall advertise
any competition under this paragraph in the Commerce
Business Daily.
``(D) Selection criteria.--The Secretary shall
publish the criteria to be utilized in any competition
under this paragraph for the selection of recipients of
grants under this subsection, which shall include
requirements relating to--
``(i) the number of jobs to be created at
the science park each year during its first 5
years;
``(ii) the funding to be required to
construct or expand the science park during its
first 5 years;
``(iii) the amount and type of cost
matching by the applicant;
``(iv) the types of businesses and research
entities expected in the science park and
surrounding community;
``(v) letters of intent by businesses and
research entities to locate in the science
park;
``(vi) the expansion capacity of the
science park during a 25-year period;
``(vii) the quality of life at the science
park for employees at the science park;
``(viii) the capability to attract a well
trained workforce to the science park;
``(ix) the management of the science park;
``(x) expected risks in the construction
and operation of the science park;
``(xi) risk mitigation;
``(xii) transportation and logistics;
``(xiii) physical infrastructure, including
telecommunications; and
``(xiv) ability to collaborate with other
science parks throughout the world.
``(4) Authorization of appropriations.--There are
authorized to be appropriated $7,500,000 for each of the fiscal
years 2010 through 2014 to carry out this subsection.
``(b) Loan Guarantees for Science Park Infrastructure.--
``(1) In general.--Subject to paragraph (2), the Secretary
may guarantee up to 80 percent of the loan amount for loans
exceeding $10,000,000 for projects for the construction of
science park infrastructure.
``(2) Limitations on guarantee amounts.--The maximum amount
of loan principal guaranteed under this subsection may not
exceed--
``(A) $50,000,000 with respect to any single
project; and
``(B) $500,000,000 with respect to all projects.
``(3) Selection of guarantee recipients.--The Secretary
shall select recipients of loan guarantees under this
subsection based upon the ability of the recipient to
collateralize the loan amount through bonds, equity, property,
and other such criteria as the Secretary shall prescribe.
Entities receiving a grant under subsection (a) are not
eligible for a loan guarantee during the period of such grant.
``(4) Terms and conditions for loan guarantees.--The loans
guaranteed under this subsection shall be subject to such terms
and conditions as the Secretary may prescribe, except that--
``(A) the final maturity of such loans made or
guaranteed may not exceed the lesser of--
``(i) 30 years and 32 days; or
``(ii) 90 percent of the useful life of any
physical asset to be financed by such loan;
``(B) a loan made or guaranteed under this
subsection may not be subordinated to another debt
contracted by the borrower or to any other claims
against the borrowers in the case of default;
``(C) a loan may not be guaranteed under this
subsection unless the Secretary determines that the
lender is responsible and that adequate provision is
made for servicing the loan on reasonable terms and
protecting the financial interest of the United States;
``(D) a loan may not be guaranteed under this
subsection if--
``(i) the income from such loan is excluded
from gross income for purposes of chapter 1 of
the Internal Revenue Code of 1986; or
``(ii) the guarantee provides significant
collateral or security, as determined by the
Secretary, for other obligations the income
from which is so excluded;
``(E) any guarantee provided under this subsection
shall be conclusive evidence that--
``(i) the guarantee has been properly
obtained;
``(ii) the underlying loan qualified for
such guarantee; and
``(iii) absent fraud or material
misrepresentation by the holder, the guarantee
is presumed to be valid, legal, and
enforceable;
``(F) the Secretary shall prescribe explicit
standards for use in periodically assessing the credit
risk of new and existing direct loans or guaranteed
loans;
``(G) the Secretary may not extend credit
assistance unless the Secretary has determined that
there is a reasonable assurance of repayment; and
``(H) new loan guarantees may not be committed
except to the extent that appropriations of budget
authority to cover their costs are made in advance, as
required under section 504 of the Federal Credit Reform
Act of 1990 (2 U.S.C. 661c).
``(5) Payment of losses.--
``(A) In general.--If, as a result of a default by
a borrower under a loan guaranteed under this
subsection, after the holder has made such further
collection efforts and instituted such enforcement
proceedings as the Secretary may require, the Secretary
determines that the holder has suffered a loss, the
Secretary shall pay to such holder the percentage of
such loss specified in the guarantee contract. Upon
making any such payment, the Secretary shall be
subrogated to all the rights of the recipient of the
payment. The Secretary shall be entitled to recover
from the borrower the amount of any payments made
pursuant to any guarantee entered into under this
section.
``(B) Enforcement of rights.--The Attorney General
shall take such action as may be appropriate to enforce
any right accruing to the United States as a result of
the issuance of any guarantee under this section.
``(C) Forbearance.--Nothing in this section may be
construed to preclude any forbearance for the benefit
of the borrower which may be agreed upon by the parties
to the guaranteed loan and approved by the Secretary,
if budget authority for any resulting subsidy costs (as
defined in section 502(5) of the Federal Credit Reform
Act of 1990) is available.
``(D) Management of property.--Notwithstanding any
other provision of law relating to the acquisition,
handling, or disposal of property by the United States,
the Secretary may complete, recondition, reconstruct,
renovate, repair, maintain, operate, or sell any
property acquired by the Secretary pursuant to this
section.
``(6) Review.--Not later than 2 years after the date of the
enactment of this section, the Comptroller General of the
United States shall--
``(A) conduct a review of the subsidy estimates for
the loan guarantees under this subsection; and
``(B) submit to Congress a report on the review
conducted under this paragraph.
``(7) Termination.--A loan may not be guaranteed under this
subsection after September 30, 2014.
``(8) Authorization of appropriations.--There are
authorized to be appropriated--
``(A) $35,000,000 for the cost (as defined in
section 502(5) of the Federal Credit Reform Act of
1990) of guaranteeing $500,000,000 in loans under this
subsection;
``(B) $6,000,000 for administrative expenses for
fiscal year 2010; and
``(C) such sums as may be necessary for
administrative expenses in fiscal year 2011 and
thereafter.
``(c) National Academy of Sciences Evaluation.--
``(1) In general.--The Secretary shall enter into an
agreement with the National Academy of Sciences under which the
Academy shall conduct, every 3 years, an evaluation of the
activities under this section.
``(2) Tri-annual report.--Under the agreement described in
paragraph (1), the Academy shall submit a report to the
Secretary that--
``(A) includes the Academy's evaluation of science
park development under this section; and
``(B) may include such recommendations as the
Academy considers appropriate for additional activities
to promote and facilitate the development of science
parks in the United States.
``(d) Tri-annual Report.--Not later than March 31, 2013, and every
third year thereafter, the Secretary shall submit a report to Congress
that--
``(1) describes the activities under this section during
the preceding 3 years;
``(2) includes any recommendations made by the National
Academy of Sciences under subsection (c)(2)(B) during such
period; and
``(3) may include such recommendations for legislative or
administrative action as the Secretary considers appropriate to
further promote and facilitate the development of science parks
in the United States.
``(e) Rulemaking.--Not later than 1 year after the date of the
enactment of this section, the Secretary shall promulgate regulations
to carry out this section in accordance with Office of Management and
Budget Circular A-129, entitled `Policies for Federal Credit Programs
and Non-Tax Receivables'.''.
Calendar No. 706
111th CONGRESS
2d Session
S. 583
_______________________________________________________________________
A BILL
To provide grants and loan guarantees for the development and
construction of science parks to promote the clustering of innovation
through high technology activities.
_______________________________________________________________________
December 17, 2010
Reported with an amendment