40 U.S.C. § 15702: Distressed counties and areas

The Commission shall designate as distressed counties those counties in its region that are the most severely and persistently economically distressed and underdeveloped and have high rates of poverty, unemployment, or outmigration. The Commission shall designate as transitional counties those counties in its region that are economically distressed and underdeveloped or have recently suffered high rates of poverty, unemployment, or outmigration. The Commission shall designate as attainment counties, those counties in its region that are not designated as distressed or transitional counties under this subsection. The Commission shall designate as isolated areas of distress, areas located in counties designated as attainment counties under paragraph (3) that have high rates of poverty, unemployment, or outmigration. A Commission shall allocate at least 50 percent of the appropriations made available to the Commission to carry out this subtitle for programs and projects designed to serve the needs of distressed counties and isolated areas of distress in the region. Except as provided in paragraph (2), funds may not be provided under this subtitle for a project located in a county designated as an attainment county under subsection (a). The funding prohibition under paragraph (1) shall not apply to grants to fund the administrative expenses of local development districts under section 15505. a multicounty project that includes participation by an attainment county; and any other type of project, if a Commission determines that the project could bring significant benefits to areas of the region outside an attainment county. a county described in paragraph (2) or (3) of section 15735; or the Southern New England Regional Commission. by the most recent Federal data available; or if no recent Federal data are available, by the most recent data available through the government of the State in which the isolated area of distress is located.