Title 42 — The Public Health and Welfare
Chapter 38 — Public Works and Economic Development
§ 3161. Eligibility of areas
Statutory text
In general
For a project to be eligible for assistance under section 3141 or 3149 of this title, the project shall be located in an area that, on the date of submission of the application, meets 1 or more of the following criteria:
Low per capita income
The area has a per capita income of 80 percent or less of the national average.
Unemployment rate above national average
The area has an unemployment rate that is, for the most recent 24-month period for which data are available, at least 1 percent greater than the national average unemployment rate.
Unemployment, underemployment, or economic adjustment problems
The area is an area that the Secretary determines has experienced or is about to experience a special need arising from actual or threatened severe unemployment, underemployment, or economic adjustment problems resulting from severe short-term or long-term changes in economic conditions.
Low median household income
The area has a median household income of 80 percent or less of the national average.
Workforce participation
The area has—
a labor force participation rate of 90 percent or less of the national average; or
a prime-age employment gap of 5 percent or more.
Expected economic dislocation and distress from energy industry transitions
The area is an area that is expected to experience actual or threatened severe unemployment or economic adjustment problems resulting from severe short-term or long-term changes in economic conditions from energy industries that are experiencing accelerated contraction.
Political boundaries of areas
An area that meets 1 or more of the criteria of subsection (a), including a small area of poverty or high unemployment within a larger community in less economic distress, shall be eligible for assistance under section 3141 or 3149 of this title without regard to political or other subdivisions or boundaries.
Documentation
In general
A determination of eligibility under subsection (a) shall be supported by the most recent Federal data available (including data available from the Bureau of Economic Analysis, the Bureau of Labor Statistics, the Census Bureau, the Bureau of Indian Affairs, or any other Federal source determined by the Secretary to be appropriate), or, if no recent Federal data is available, by the most recent data available through the government of the State in which the area is located.
Acceptance by Secretary
The documentation shall be accepted by the Secretary unless the Secretary determines that the documentation is inaccurate.
Prior designations
Any designation of a redevelopment area made before the effective date of the Economic Development Administration Reform Act of 1998 shall not be effective after that effective date.
Transparency
To the extent the Secretary includes neighboring counties and communities in an economic development district in accordance with subsection (a)(3), the Secretary shall submit to Congress, and make publicly available online, a notification describing the justification for such inclusion and detailing the economic indicators of such neighboring counties and communities.
Legislative history
Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.
Public Works and Economic Development Act of 1965
Pub. L. 89–136 title III § 301 · 79 Stat. 552
Enacted · 42 U.S.C. § 3161
Pub. L. 89–136, title III, § 301, as added Pub. L. 105–393, title I, § 102(a), Nov. 13, 1998, 112 Stat. 3607
Source evidence
Code source credit
Pub. L. 89–136, title III, § 301, as added Pub. L. 105–393, title I, § 102(a), Nov. 13, 1998, 112 Stat. 3607Enacted provision · exact public law section
Sec. 301. (a) In carrying out his duties under this Act the Secretary is authorized to provide technical assistance which would be useful in alleviating or preventing conditions of excessive unemployment or underemployment (1) to areas which he has designated as redevelopment areas under this Act, and (2) to other areas which he finds have substantial need for such assistance. Such assistance shall include project planning and feasibility studies, management and operational assistance, and studies evaluating the needs of, and developing potentialities for, economic growth of such areas. Such assistance may be provided by the Secretary through members of his staff, through the payment or funds authorized for this section to other departments or agencies of the Federal Government, through the employment of private individuals, partnerships, firms, corporations, or suitable institutions, under contracts entered into for such purposes, or through grants-in-aid to appropriate public or private nonprofit State, area, district, or local organizations. The Secretary, in his discretion, may require the repayment of assistance provided under this subsection and prescribe the terms and conditions of such repayment. (b) The Secretary is authorized to make grants to defray not to exceed 75 per centum of the administrative expenses of organizations which he determines to be qualified to receive grants-in-aid under sub-section (a) hereof. In determining the amount of the non-Federal share of such costs or expenses, the Secretary shall give due consideration to all contributions both in cash and in kind, fairly evaluated, including but not limited to space, equipment, and services. Where practicable, grants-in-aid authorized under this subsection shall be used in conjunction with other available planning grants, such as urban planning grants authorized under the Housing Act of 1954, as 68 Stat. 590. 12 USC 1703 note. 76 Stat. 1145. 23 USC 101 note. amended, and highway planning and research grants authorized under the Federal Aid Highway Act of 1962, to assure adequate and effective planning and economical use of funds. (c) To assist in the long-range accomplishment of the purposes of this Act, the Secretary, in cooperation with other agencies having similar functions, shall establish and conduct a continuing program of study, training, and research to (A) assist in determining the causes of unemployment, underemployment, underdevelopment, and chronic depression in the various areas and regions of the Nation, (B) assist in the formulation and implementation of national, State, and local programs which will raise income levels and otherwise produce solutions to the problems resulting from these conditions, and (C) assist in providing the personnel needed to conduct such programs. The program of study, training, and research may be conducted by the Secretary through members of this staff, through payment of funds authorized for this section to other departments or agencies of the Federal Government, or through the employment of private individuals, partnerships, firms, corporations, or suitable institutions, under contracts entered into for such purposes, or through grants to such individuals, organizations, or institutions, or through conferences and similar meetings organized for such purposes. The Secretary shall make available to interested individuals and organizations the results of such research. The Secretary shall include in his annual report under section 707 a detailed statement concerning the study and research conducted under this section together with his findings resulting therefrom and his recommendations for legislative and other action. (d) The Secretary shall aid redevelopment areas and other areas by furnishing to interested individuals, communities, industries, and enterprises within such areas any assistance, technical information, market research, or other forms of assistance, information, or advice which would be useful in alleviating or preventing conditions of excessive unemployment or underemployment within such areas. The Secretary may furnish the procurement divisions of the various departments, agencies, and other instrumentalities of the Federal Government with a list containing the names and addresses of business firms which are located in redevelopment areas and which are desirous of obtaining Government contracts for the furnishing of supplies or services, and designating the supplies and services such firms are engaged in providing. (e) The Secretary shall establish an independent study board consist mg of governmental and nongovernmental experts to investigate the effects of Government procurement, scientific, technical, and other related policies, upon regional economic development. Any Federal officer or employee may, with the consent of the head of the department or agency in which he is employed, serve as a member of such board, but shall receive no additional compensation for such service. Other members of such board may be compensated in accordance with the provisions of section 701 (10). The board shall report its findings, Report to Congress. together with recommendations for the better coordination of such policies, to the Secretary, who shall transmit the report to the Congress not later than two years after the enactment of this Act.Pub. L. 108–373 title III § 301 · 118 Stat. 1756
Inserted · 42 U.S.C. § 3161(c)(1)
Pub. L. 108–373 inserted “(including data available from the Bureau of Economic Analysis, the Bureau of Labor Statistics, the Census Bureau, the Bureau of Indian Affairs, or any other Federal source determined by the Secretary to be appropriate)” after “most recent Federal data available”
Source evidence
Code amendment note
Subsec. (c)(1). Pub. L. 108–373 inserted “(including data available from the Bureau of Economic Analysis, the Bureau of Labor Statistics, the Census Bureau, the Bureau of Indian Affairs, or any other Federal source determined by the Secretary to be appropriate)” after “most recent Federal data available”.Enacted provision · exact public law section
SEC. 301. ELIGIBILITY OF AREAS. Section 301(c)(1) of the Public Works and Economic Development Act of 1965 (42 U.S.C. 3161(c)(1)) is amended by inserting after “most recent Federal data available” the following: “(including data available from the Bureau of Economic Analysis, the Bureau of Labor Statistics, the Census Bureau, the Bureau of Indian Affairs, or any other Federal source determined by the Secretary to be appropriate)”.Pub. L. 118–272 § 2225(1) · 138 Stat. 3191
Added · 42 U.S.C. § 3161(a)(3)(6)
Pub. L. 118–272, § 2225(1), added pars. (3) to (6)
Struck · 42 U.S.C. § 3161(a)(3)(6)
Pub. L. 118–272, § 2225(1), struck out former par. (3). Prior to amendment, text of par. (3) read as follows: “The area is an area that the Secretary determines has experienced or is about to experience a special need arising from actual or threatened severe unemployment or economic adjustment problems resulting from severe short-term or long-term changes in economic conditions.”
Unresolved: Pub. L. 118–272 was not found in the local Statutes at Large index.
Source evidence
Code amendment note
Subsec. (a)(3) to (6). Pub. L. 118–272, § 2225(1), added pars. (3) to (6) and struck out former par. (3). Prior to amendment, text of par. (3) read as follows: “The area is an area that the Secretary determines has experienced or is about to experience a special need arising from actual or threatened severe unemployment or economic adjustment problems resulting from severe short-term or long-term changes in economic conditions.”Pub. L. 118–272 § 2225(2) · 138 Stat. 3191
Added · 42 U.S.C. § 3161(e)
Pub. L. 118–272, § 2225(2), added subsec. (e)
Unresolved: Pub. L. 118–272 was not found in the local Statutes at Large index.
Source evidence
Code amendment note
Subsec. (e). Pub. L. 118–272, § 2225(2), added subsec. (e).
2 of 5 references resolved to an enrolled provision · 3 unresolved
Editorial Notes
References in Text
For the effective date of the Economic Development Administration Reform Act of 1998, referred to in subsec. (d), see section 105 of Pub. L. 105–393, set out as an Effective Date note under section 3121 of this title.
Prior Provisions
A prior section 3161, Pub. L. 89–136, title IV, § 401, , 79 Stat. 560; Pub. L. 89–794, title XI, § 1102, , 80 Stat. 1477; Pub. L. 91–123, title III, § 304, , 83 Stat. 219; Pub. L. 92–65, title I, § 106, , 85 Stat. 167; Pub. L. 93–423, §§ 3(a), 6, , 88 Stat. 1158, 1161; Pub. L. 94–487, title I, §§ 113, 114, , 90 Stat. 2334, set forth criteria for determining eligible redevelopment areas, prior to repeal by Pub. L. 105–393, § 102(a).
A prior section 301 of Pub. L. 89–136 was classified to section 3151 of this title prior to repeal by Pub. L. 105–393, § 102(a).
Amendments2004–2025 · 2 rounds
2025
Subsec. (a)(3) to (6). Pub. L. 118–272, § 2225(1), added pars. (3) to (6) and struck out former par. (3). Prior to amendment, text of par. (3) read as follows: “The area is an area that the Secretary determines has experienced or is about to experience a special need arising from actual or threatened severe unemployment or economic adjustment problems resulting from severe short-term or long-term changes in economic conditions.”
Subsec. (e). Pub. L. 118–272, § 2225(2), added subsec. (e).
2004
Subsec. (c)(1). Pub. L. 108–373 inserted “(including data available from the Bureau of Economic Analysis, the Bureau of Labor Statistics, the Census Bureau, the Bureau of Indian Affairs, or any other Federal source determined by the Secretary to be appropriate)” after “most recent Federal data available”.
Statutory Notes and Related Subsidiaries
Effective Date
Section effective , see section 105 of Pub. L. 105–393, set out as a note under section 3121 of this title.
Credits
1998–2025 · 3 acts
- 1998Pub. L. 89–136, title III, § 301, as added Pub. L. 105–393, title I, § 102(a), , 112 Stat. 3607
- 2004amended Pub. L. 108–373, title III, § 301, , 118 Stat. 1767
- 2025Pub. L. 118–272, div. B, title II, § 2225, , 138 Stat. 3191.
Show as published
(Pub. L. 89–136, title III, § 301, as added Pub. L. 105–393, title I, § 102(a), , 112 Stat. 3607; amended Pub. L. 108–373, title III, § 301, , 118 Stat. 1767; Pub. L. 118–272, div. B, title II, § 2225, , 138 Stat. 3191.)