Pub. L. 89-136, tit. IV, pt. B, sec. 403

Sec. 403. (a) 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 two or more redevelopment areas; (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 101, 201, and 202 of this Act, except as may be 79 Stat. 563herein 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-subsection 101(c) of this Act, to increase the amount of grant assistance authorized by section 101 for projects within redevelopment areas (designated under section 401), 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) In designating economic development districts and approving district overall economic development programs under subsection (n) 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) 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) As used in this Act, the term “economic development district” refers to any area within the United States composed of cooperating it development 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) As used in this Act, 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 101, 201, and 202 of this Act in accordance with the provisions of this section. (f) For the purpose of this Act the term “local government” means any city, county, town, parish, village, or other general-purpose political subdivision of a State. (g) 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 79 Stat. 564year thereafter through the fiscal year ending June 30, 1970, for financial assistance extended under the provisions of subsection (a)(3) and (a)(4) hereof. (h) In order to allow time for adequate and careful district planning, subsection (g) of this section shall not be effective until one year from the date of enactment.