(a) Definitions.—In this section:

(1) Commission state.—The term "Commission State" means a State that contains 1 or more eligible counties.

(2) Eligible county.—The term "eligible county" means a county described in subchapter II of chapter 157.

(3) Program.—The term "program" means a State capacity building grant program established by a Commission under subsection (b).

(b) Establishment.—Each Commission shall establish a State capacity building grant program to provide grants to Commission States in the area served by the Commission for the purposes described in subsection (c).

(c) Purposes.—The purposes of a program are to support the efforts of the Commission—

(1) to better support business retention and expansion in eligible counties;

(2) to create programs to encourage job creation and workforce development in eligible counties, including projects and activities, in coordination with other relevant Federal agencies, to strengthen the water sector workforce and facilitate the sharing of best practices;

(3) to partner with universities in distressed counties (as designated under section 15702(a)(1))—

(A) to strengthen the capacity in eligible counties to train new professionals in fields for which there is a shortage of workers;

(B) to increase local capacity in eligible counties for project management, project execution, and financial management; and

(C) to leverage funding sources for eligible counties;

(4) to prepare economic and infrastructure plans for eligible counties;

(5) to expand access to high-speed broadband in eligible counties;

(6) to provide technical assistance that results in Commission investments in transportation, water, wastewater, and other critical infrastructure;

(7) to promote workforce development in eligible counties to support resilient infrastructure projects;

(8) to develop initiatives to increase the effectiveness of local development districts in eligible counties; and

(9) to implement new or innovative economic development practices that will better position eligible counties to compete in the global economy.

(d) Use of Funds.—

(1) In general.—Funds from a grant under a program may be used to support a project, program, or related expense of the Commission State in an eligible county.

(2) Limitation.—Funds from a grant under a program shall not be used for—

(A) the purchase of furniture, fixtures, or equipment;

(B) the compensation of—

(i) any State member of the Commission (as described in section 15301(b)(1)(B)); or

(ii) any State alternate member of the Commission (as described in section 15301(b)(2)(B)); or

(C) the cost of supplanting existing State programs.

(e) Annual Work Plan.—

(1) In general.—For each fiscal year, before providing a grant under a program, each Commission State shall provide to the Commission an annual work plan that includes the proposed use of the grant.

(2) Approval.—No grant under a program shall be provided to a Commission State unless the Commission has approved the annual work plan of the State.

(f) Amount of Grant.—

(1) In general.—The amount of a grant provided to a Commission State under a program for a fiscal year shall be based on the proportion that—

(A) the amount paid by the Commission State (including any amounts paid on behalf of the Commission State by a nonprofit organization) for administrative expenses for the applicable fiscal year (as determined under section 15304(c)); bears to

(B) the amount paid by all Commission States served by the Commission (including any amounts paid on behalf of a Commission State by a nonprofit organization) for administrative expenses for that fiscal year (as determined under that section).

(2) Requirement.—To be eligible to receive a grant under a program for a fiscal year, a Commission State (or a nonprofit organization on behalf of the Commission State) shall pay the amount of administrative expenses of the Commission State for the applicable fiscal year (as determined under section 15304(c)).

(3) Approval.—For each fiscal year, a grant provided under a program shall be approved and made available as part of the approval of the annual budget of the Commission.

(g) Grant Availability.—Funds from a grant under a program shall be available only during the fiscal year for which the grant is provided.

(h) Report.—Each fiscal year, each Commission State shall submit to the relevant Commission and make publicly available a report that describes the use of the grant funds and the impact of the program in the Commission State.

(i) Continuation of Program Authority for Northern Border Regional Commission.—With respect to the Northern Border Regional Commission, the program shall be a continuation of the program under section 6304(c) of the Agriculture Improvement Act of 2018 (40 U.S.C. 15501 note; Public Law 115–334) (as in effect on the day before the date of enactment of this section).