(a) The Department of Economic and Community Development shall establish, within available resources, a regional economic development matching grant pilot program for the purpose of providing matching funds to regional economic development corporations for the implementation of economic development programs in distressed municipalities. Such pilot program shall be available to any regional development corporation representing not less than four municipalities, one of which shall be a distressed municipality, as defined in § 32-9p. The Commissioner of Economic and Community Development may, in his or her discretion, allow a regional economic development corporation that represents less than four municipalities, one of which shall be a distressed municipality, to participate in the program. The department may enter into an agreement, pursuant to chapter 55a, with a person, firm, corporation or other entity to operate such program.

(b) Applications for participation in such pilot program shall be submitted in a manner prescribed by the department. Each application shall include, but need not be limited to, the following: (1) The location of the principal place of business of the applicant; (2) an explanation of the economic development program for which the matching grant is being applied; (3) the amount and source of funding for such program the applicant seeks to have matched; and (4) such other information the department deems necessary. The department shall not accept new applications for the regional economic development matching grant pilot program after June 30, 2026.

(c) In determining whether an applicant shall be selected for a matching grant pursuant to this section, the department, or the operator, if any, selected pursuant to subsection (a) of this section, shall consider, but need not be limited to, the following factors: (1) The description of the economic development program proposed by the applicant; (2) the resources and record of success of the applicant relative to economic development programs implemented by the applicant in the applicant’s region; and (3) the potential impact of the proposed economic development program on the workforce in the region where the applicant is located. The department may provide, within available funds, matching grants to eligible applicants for the funding of economic development programs proposed in such applications.

(d) The Commissioner of Economic and Community Development may award matching grants to regional economic development corporations participating in the pilot program not exceeding in the aggregate ten million dollars. The amount of any matching grant issued pursuant to this section shall not exceed five million dollars.

(e) Not later than two years after the receipt of any financial aid pursuant to this section, and annually thereafter, each regional economic development corporation participating in the pilot program shall submit a report to the Department of Economic and Community Development detailing the progress of the economic development program proposed in such corporation’s application and containing any additional information deemed necessary by the Commissioner of Economic and Community Development.

(f) Not later than January 15, 2022, and annually thereafter, the Commissioner of Economic and Community Development shall submit a report, in accordance with the provisions of § 11-4a, containing an evaluation of the operation and effectiveness of the pilot program to the joint standing committee of the General Assembly having cognizance of matters relating to commerce.