To establish a grant program to support cluster-based economic development efforts.

Amends the Public Works and Economic Development Act of 1965 to authorize the Secretary of Commerce to make grants in support of cluster-based economic development efforts in regions with low per capita income, high unemployment, or economic adjustment problems.

Limits the maximum assistance for any one region to $1 million.

Sets Federal cost sharing for projects carried out using funds authorized by this Act at 50 percent. Authorizes in-kind contributions for the non-Federal share of project costs.