—We present a structured model of context that supports an integrated approach to language acquisition and use. The model extends an existing formal notation, Embodied Construction Grammar (ECG), with representations for tracking both entities and events in discourse and situational context. The notation employs an intermediate level of granularity between low-level sensorimotor representations (such as that suitable for dynamic models of action and events for grounded language learning) and the more schematic representations needed for learning and using grammar. The resulting model allows existing systems for simulation-based language understanding and comprehension-driven grammar learning to represent, interpret and acquire a variety of contextually grounded construction.