§ 278k–2 — Expansion Awards Pilot Program

(a) The terms used in this section have the meanings given the terms in section 278k of this title. (b) The Director shall establish, subject to the availability of appropriations, as a part of the Hollings Manufacturing Extension Partnership under sections 278k and 278k–1 of this title, a pilot program of expansion awards among participants described in subsection (c) for the purposes described in subsection (e). (c) Participants receiving awards under this section shall be Centers, or a consortium of Centers (as such term is defined in section 278k of this title). (d) Subject to the availability of appropriations, an award for a recipient under this section shall be in an amount equal to the sum of the following: (1) Such amount as the Director considers appropriate as a minimum base funding level for each award under this section. (2) Such additional amount as the Director considers in proportion to the manufacturing density of the region of the recipient. (3) Such supplemental amounts as the Director considers appropriate. (e) An award under this section shall be made for one or more of the following purposes: (1) To provide worker education, training, development, and entrepreneurship training and to connect individuals or business with such services offered in their community, which may include employee ownership and workforce training, including connecting manufacturers with career and technical education entities, institutions of higher education (including community colleges), workforce development boards, labor organizations, and nonprofit job training providers to develop and support training and job placement services, including apprenticeship and online learning platforms, for new and incumbent workers, programming to prevent job losses when adopting new technologies and processes, and development of employee ownership practices. (2) To provide services to improve the resiliency of domestic supply chains. (3) To mitigate vulnerabilities to cyberattacks, including helping to offset the cost of cybersecurity projects for small manufacturers. (4) To expand advanced technology services to United States-based small- and medium-sized manufacturers, which may include— (A) developing technology demonstration laboratories; (B) training and demonstration in areas of supply chain and critical technology needs, including a focus on the demonstration of technologies developed by companies based in the United States; (C) services for the adoption of advanced technologies, including smart manufacturing technologies and practices; and (D) establishing partnerships, for the development, demonstration, and deployment of advanced technologies, with— (i) national laboratories (as defined in section 15801 of title 42); (ii) Federal laboratories; (iii) Manufacturing USA institutes (as described in section 278s(d) of this title); and (iv) institutions of higher education. (5) To build capabilities across the Hollings Manufacturing Extension Partnership for domestic supply chain resiliency and optimization, including— (A) assessment of domestic manufacturing capabilities, expanded capacity for researching and deploying information on supply chain risk, hidden costs of reliance on offshore suppliers, redesigning products and processes to encourage reshoring, and other relevant topics; and (B) expanded services to provide industrywide support that assists United States manufacturers with reshoring manufacturing to strengthen the resiliency of domestic supply chains, including in critical technology areas and foundational manufacturing capabilities that are key to domestic manufacturing competitiveness and resiliency, including forming, casting, machining, joining, surface treatment, tooling, and metal or chemical refining. (f) The Director may reimburse Centers for costs incurred by the Centers under this section. (g) Applications for awards under this section shall be submitted in such manner, at such time, and containing such information as the Director shall require in consultation with the Manufacturing Extension Partnership Advisory Board. (1) The Director shall ensure that awards under this section are reviewed and merit-based. (2) The Director shall endeavor to have broad geographic diversity among selected proposals. (3) The Director shall select applications consistent with the purposes identified pursuant to subsection (e) to receive awards that the Director determines will achieve one or more of the following: (A) Improvement of the competitiveness of industries in the region in which the Center or Centers are located. (B) Creation of jobs or training of newly hired employees. (C) Promotion of the transfer and commercialization of research and technology from institutions of higher education, national laboratories, or other federally funded research programs, and nonprofit research institutes. (D) Recruitment of a diverse manufacturing workforce, including through outreach to underrepresented populations, including individuals identified in section 1885a or section 1885b of title 42. (E) Any other result the Director determines will advance the objective set forth in section 278k(c) or 278k–1 of this title. (i) Recipients of awards under this section shall not be required to provide a matching contribution. (j) In making an award under this section, the Director, in consultation with the Manufacturing Extension Partnership Advisory Board and the Secretary, may take into consideration whether an application has significant potential for enhancing the competitiveness of small and medium-sized United States manufacturers in the global marketplace. (k) The Director shall ensure that the duration of an award under this section is aligned and consistent with a Center’s cooperative agreement established in section 278k(e) of this title. (l) Not later than October 1, 2025, the Director shall submit to Congress a report that includes— (1) a summary description of what activities were funded and the measurable outcomes of such activities; (2) a description of which types of activities under paragraph (1) could remain as part of a permanent expansion awards program; (3) a description of which types of activities under paragraph (1) could be integrated into, and supported under, the program under section 278k of this title; (4) a description of which types of activities under paragraph (1) could be integrated into, and supported under, the competitive awards program under section 278k–1 of this title; and (5) a recommendation, supported by a clear explanation, as to whether the pilot program should be continued.