§3171. District eligibility

(a) Authority to designate economic development districts; criteria; economic development centers; increases of grants

In order that economic development projects of broader geographical significance may be planned and carried out the Secretary is authorized-

(1) to designate appropriate "economic development districts" within the United States with the concurrence of the States in which such districts will be wholly or partially located, if-

(A) the proposed district is of sufficient size or population, and contains sufficient resources, to foster economic development on a scale involving more than a single redevelopment area;

(B) the proposed district contains at least one redevelopment area;

(C) the proposed district contains one or more redevelopment areas or economic development centers identified in an approved district overall economic development program as having sufficient size and potential to foster the economic growth activities necessary to alleviate the distress of the redevelopment areas within the district; and

(D) the proposed district has a district overall economic development program which includes adequate land use and transportation planning and contains a specific program for district cooperation, self-help, and public investment and is approved by the State or States affected and by the Secretary;

(2) to designate as "economic development centers," in accordance with such regulations as he shall prescribe, such areas as he may deem appropriate, if-

(A) the proposed center has been identified and included in an approved district overall economic development program and recommended by the State or States affected for such special designation;

(B) the proposed center is geographically and economically so related to the district that its economic growth may reasonably be expected to contribute significantly to the alleviation of distress in the redevelopment areas of the district; and

(C) the proposed center does not have a population in excess of two hundred and fifty thousand according to the last preceding Federal census.

(3) to provide financial assistance in accordance with the criteria of sections 3131, 3141, and 3142 of this title, except as may be herein otherwise provided, for projects in economic development centers designated under subsection (a)(2) above, if-

(A) the project will further the objectives of the overall economic development program of the district in which it is to be located;

(B) the project will enhance the economic growth potential of the district or result in additional long-term employment opportunities commensurate with the amount of Federal financial assistance requested; and

(C) the amount of Federal financial assistance requested is reasonably related to the size, population, and economic needs of the district;

(4) subject to the 20 per centum non-Federal share required for any project by section 3131(c) of this title, to increase the amount of grant assistance authorized by section 3131 of this title for projects within redevelopment areas (designated under section 3161 of this title), by an amount not to exceed 10 per centum of the aggregate cost of any such project, in accordance with such regulations as he shall prescribe if-

(A) the redevelopment area is situated within a designated economic development district and is actively participating in the economic development activities of the district; and

(B) the project is consistent with an approved district overall economic development program.

(b) State proposals; State and local participation

In designating economic development districts and approving district overall economic development programs under subsection (a) of this section, the Secretary is authorized, under regulations prescribed by him-

(1) to invite the several States to draw up proposed district boundaries and to identify potential economic development centers;

(2) to cooperate with the several States-

(A) in sponsoring and assisting district economic planning and development groups and

(B) in assisting such district groups to formulate district overall economic development programs;

(3) to encourage participation by appropriate local governmental authorities in such economic development districts.

(c) Termination and modification of districts and centers

The Secretary shall by regulation prescribe standards for the termination or modification of economic development districts and economic development centers designated under the authority of this section.

(d) "Economic development district" defined

As used in this chapter, the term "economic development district" refers to any area within the United States composed of cooperating redevelopment areas and, where appropriate, designated economic development centers and neighboring counties or communities, which has been designated by the Secretary as an economic development district.

(e) "Economic development center" defined

As used in this chapter, the term "economic development center" refers to any area within the United States which has been identified as an economic development center in an approved district overall economic development program and which has been designated by the Secretary as eligible for financial assistance under sections 3131, 3141, and 3142 of this title in accordance with the provisions of this section.

(f) "Local government" defined

For the purpose of this chapter the term "local government" means any city, county, town, parish, village, or other general-purpose political subdivision of a State.

(g) Authorization of appropriations

There is hereby authorized to be appropriated not to exceed $50,000,000 for the fiscal year ending June 30, 1967, and for each fiscal year thereafter through the fiscal year ending June 30, 1973, and not to exceed $45,000,000 per fiscal year for the fiscal years ending June 30, 1974, June 30, 1975, and June 30, 1976, not to exceed $11,250,000 for the period beginning July 1, 1976, and ending September 30, 1976, and not to exceed $45,000,000 per fiscal year for the fiscal years ending September 30, 1977, September 30, 1978, September 30, 1979, September 30, 1980, and September 30, 1981, for financial assistance extended under the provisions of subsection (a)(3) and (a)(4) hereof.

(h) Effective date

In order to allow time for adequate and careful district planning, subsection (g) of this section shall not be effective until one year from August 26, 1965.

(i) Furnishing of overall economic development program to appropriate regional commission

Each economic development district designated by the Secretary under this section shall as soon as practicable after the date of enactment of this section or after its designation provide that a copy of the district overall economic development program be furnished to the appropriate regional commission established under subchapter V ¹ of this chapter, if any part of such proposed district is within such a region, or to the Appalachian Regional Commission established under the Appalachian Regional Development Act of 1965, if any part of such proposed district is within the Appalachian region.

(j) Financial assistance to parts of an economic development district not within a redevelopment area; manner and extent of assistance

The Secretary is authorized to provide the financial assistance which is available to a redevelopment area under this chapter to those parts of an economic development district which are not within a redevelopment area, when such assistance will be of substantial direct benefit to a redevelopment area within such district. Such financial assistance shall be provided in the same manner and to the same extent as is provided in this chapter for a redevelopment area, except that nothing in this subsection shall be construed to permit such parts to receive the increase in the amount of grant assistance authorized in paragraph (4) of subsection (a) of this section.

( Pub. L. 89–136, title IV, §403, Aug. 26, 1965, 79 Stat. 562 ; Pub. L. 91–304, §1(d), July 6, 1970, 84 Stat. 375 ; Pub. L. 92–65, title I, §108, Aug. 5, 1971, 85 Stat. 167 ; Pub. L. 93–46, §4, June 18, 1973, 87 Stat. 96 ; Pub. L. 93–423, §7, Sept. 27, 1974, 88 Stat. 1161 ; Pub. L. 94–487, title I, §115, Oct. 12, 1976, 90 Stat. 2335 ; Pub. L. 96–506, §1(7), Dec. 8, 1980, 94 Stat. 2745 ; Pub. L. 97–35, title XVIII, §1821(a)(6), Aug. 13, 1981, 95 Stat. 766 .)

References in Text

The date of enactment of this section, referred to in subsec. (i), probably means the date of enactment of Pub. L. 93–423, which was approved Sept. 27, 1974.

Subchapter V of this chapter, referred to in subsec. (i), was repealed by Pub. L. 97–35, title XVIII, §1821(a)(8), Aug. 13, 1981, 95 Stat. 766 .

The Appalachian Regional Development Act of 1965, referred to in subsec. (i), is Pub. L. 89–4, Mar. 9, 1965, 79 Stat. 5 , as amended, which is set out in the Appendix to Title 40, Public Buildings, Property, and Works. For complete classification of this Act to the Code, see Tables.

Amendments

1981-Subsec. (g). Pub. L. 97–35 struck out authorization for fiscal year ending Sept. 30, 1982.

1980-Subsec. (g). Pub. L. 96–506 inserted provision extending authorization for fiscal years ending Sept. 30, 1980, 1981, and 1982.

1976-Subsec. (g). Pub. L. 94–487 provided authorization of appropriations for interim period of July 1, 1976, to Sept. 30, 1976, and for fiscal years ending Sept. 30, 1977, 1978, and 1979.

1974-Subsec. (a)(1)(B). Pub. L. 93–423, §7(a), substituted "at least one redevelopment area" for "two or more redevelopment areas".

Subsec. (g). Pub. L. 93–423, §7(c), substituted "per fiscal year for the fiscal years ending June 30, 1974, June 30, 1975, and June 30, 1976," for "for the fiscal year ending June 30, 1974,".

Subsecs. (i), (j). Pub. L. 93–423, §7(b), added subsecs. (i) and (j).

1973-Subsec. (g). Pub. L. 93–46 authorized appropriation of $45,000,000 for fiscal year ending June 30, 1974.

1971-Subsec. (g). Pub. L. 92–65 extended authorization of appropriations from fiscal year ending June 30, 1971, to fiscal year ending June 30, 1973.

1970-Subsec. (g). Pub. L. 91–304 extended authorization of appropriations from fiscal year ending June 30, 1970, to fiscal year ending June 30, 1971.

Section Referred to in Other Sections

This section is referred to in sections 3143, 3161, 3211, 3220, 3221, 3222, 3223, 3225 of this title.

¹ See References in Text note below.