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Title 42 — The Public Health and Welfare

Chapter 38 — Public Works and Economic Development

§ 3171. Designation of economic development districts

Statutory text

(a)

In general

In order that economic development projects of broad geographic significance may be planned and carried out, the Secretary may designate appropriate economic development districts in the United States, with the concurrence of the States in which the districts will be wholly or partially located, if—

(1)

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 area described in section 3161(a) of this title;

(2)

the proposed district contains at least 1 area described in section 3161(a) of this title; and

(3)

the proposed district has a comprehensive economic development strategy that—

(A)

contains a specific program for intra-district cooperation, self-help, and public investment; and

(B)

is approved by each affected State and by the Secretary.

(b)

Authorities

The Secretary may, under regulations promulgated by the Secretary—

(1)

invite the States to determine boundaries for proposed economic development districts;

(2)

cooperate with the States—

(A)

in sponsoring and assisting district economic planning and economic development groups; and

(B)

in assisting the district groups in formulating comprehensive economic development strategies for districts; and

(3)

encourage participation by appropriate local government entities in the economic development districts.

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.

  1. Public Works and Economic Development Act of 1965

    Pub. L. 89–136 title IV § 401 · 79 Stat. 552

    Enacted · 42 U.S.C. § 3171

    (Pub. L. 89–136, title IV, § 401, as added Pub. L. 105–393, title I, § 102(a), Nov. 13, 1998, 112 Stat. 3608.)

    Source evidence

    Code source credit
    (Pub. L. 89–136, title IV, § 401, as added Pub. L. 105–393, title I, § 102(a), Nov. 13, 1998, 112 Stat. 3608.)

    Enacted provision · exact public law section
    Sec. 401. area eligibility (a) The Secretary shall designate as “redevelopment areas”— (1) those areas in which he determines, upon the basis of standards generally comparable with those set forth in paragraphs (A) and (B), that there has existed substantial and persistent unemployment for an extended period of time and those areas in which he determines there has been a substantial loss of population due to lack of employment opportunity. There shall be included among the areas so designated any area— (A) where the Secretary of Labor finds that the current rate of unemployment, as determined by appropriate annual statistics for the most, recent available calendar year, is 6 per centum or more and has averaged at least 6 per centum for the qualifying time periods specified in paragraph (B); and (B) where the Secretary of Labor finds that the annual average rate of unemployment has been at least— (i) 50 per centum above the national average for three of the preceding four calendar years, or (ii) 75 per centum above the national average for two of the preceding three calendar years, or (iii) 100 per centum above the national average for one of the preceding two calendar years. The Secretary of Labor shall find the facts and provide the data to be used by the Secretary in making the determinations required by this subsection; (2) those additional areas which have a median family income not in excess of 40 per centum of the national median, as determined by the most recent available statistics for such areas; (3) those additional Federal or State Indian reservations or trust or restricted Indian-owned land areas which the Secretary, after consultation with the Secretary of the Interior or an appropriate State agency, determines manifest the greatest degree of economic distress on the basis of unemployment and income statistics and other appropriate evidence of economic underdevelopment; (4) upon request of such areas, those additional areas in which the Secretary determines that the loss, removal, curtailment, or closing of a major source of employment has caused within three years prior to, or threatens to cause within three years after, the date of the request an unusual and abrupt rise in unemployment of such magnitude that the unemployment rate for the area at the time of the request, exceeds the national average, or can reasonably be expected to exceed the national average, by 50 per centum or more unless assistance is provided. Notwithstanding any provision of subsection 401(b) to the contrary, an area designated under the authority of this paragraph may be given a reasonable time after designation in which to submit the overall economic development program required by subsection 202(b)(10) of this Act; (5) notwithstanding any provision of this section to the contrary, those additional areas which were designated redevelopment areas under the Area Redevelopment Act on or after 75 Stat. 47. 42 USC 2501 note. March 1, 1965: Provided, however, That the continued eligibility of such areas after the first annual review of eligibility conducted in accordance with section 402 of this Act shall be dependent on their qualification for designation under the standards of economic need set forth in subsections (a)(1) through (a)(4) of this section. (b) The size and boundaries of redevelopment areas shall be as determined by the Secretary: Provided, however, That— (1) no area shall be designated until it has an approved overall economic development program in accordance with subsection 202(b)(10) of this Act; (2) any area which does not submit an acceptable overall economic development program in accordance with subsection 202 (b)(10) of this Act within a reasonable time after notification of eligibility for designation, shall not thereafter be designated prior to the next annual review of eligibility in accordance with section 402 of this Act: (3) no area shall be designated which does not have a population of at least one thousand five hundred persons, except for areas designated under subsection 401(a)(3), which shall have a population of not less than one thousand persons: and (4) except for areas designated under subsections (a)(3) and (a)(4) hereof, no area shall be designated which is smaller than a “labor area” (as defined by the Secretary of Labor), a county, or a municipality with a population of over two hundred and fifty thousand, whichever in the opinion of the Secretary is appropriate. (c) Upon the request of the Secretary, the Secretary of Labor, the Secretary of Agriculture, the Secretary of the Interior, and such other heads of agencies as may be appropriate are authorized to conduct such special studies, obtain such information, and compile and furnish to the Secretary such data as the Secretary may deem necessary’ or proper to enable him to make the determinations provided for in this section. The Secretary shall reimburse when appropriate, out of any funds appropriated to carry out the purposes of this Act, the foregoing officers for any expenditures incurred by them under this section. (d) If a State has no area designated under the preceding subsections of this section as a redevelopment area, the Secretary shall designate as a redevelopment area that area in such State which in his opinion most nearly qualifies under such preceding subsections. An area so designated shall have its eligibility terminated in accordance with the provisions of section 402 if any other area within the same State subsequently has become qualified or been designated under any other subsection of this section as of the time of the annual review prescribed by section 402: Provided, That the Secretary shall not terminate any designation of an area in a State as a redevelopment area if to do so would result in such State having no redevelopment area. (e) As used in this Act, the term “redevelopment area” refers to “Redevelopment area.” any area within the United States which has been designated by the Secretary as a redevelopment area.

1 of 1 references resolved to an enrolled provision

Editorial Notes

Prior Provisions

A prior section 3171, Pub. L. 89–136, title IV, § 403, , 79 Stat. 562; Pub. L. 91–304, § 1(d), , 84 Stat. 375; Pub. L. 92–65, title I, § 108, , 85 Stat. 167; Pub. L. 93–46, § 4, , 87 Stat. 96; Pub. L. 93–423, § 7, , 88 Stat. 1161; Pub. L. 94–487, title I, § 115, , 90 Stat. 2335; Pub. L. 96–506, § 1(7), , 94 Stat. 2745; Pub. L. 97–35, title XVIII, § 1821(a)(6), , 95 Stat. 766, authorized Secretary to designate economic development districts and centers, prior to repeal by Pub. L. 105–393, § 102(a).

A prior section 401 of Pub. L. 89–136 was classified to section 3161 of this title prior to repeal by Pub. L. 105–393, § 102(a).

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

(Pub. L. 89–136, title IV, § 401, as added Pub. L. 105–393, title I, § 102(a), , 112 Stat. 3608.)

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