[Federal Register Volume 86, Number 134 (Friday, July 16, 2021)]
[Notices]
[Pages 37770-37778]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-15159]


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OFFICE OF MANAGEMENT AND BUDGET


2020 Standards for Delineating Core Based Statistical Areas

AGENCY: Office of Information and Regulatory Affairs, Office of 
Management and Budget, Executive Office of the President.

ACTION:  Notice of decision.

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SUMMARY: This Notice announces the adoption of 2020 Standards for 
Delineating Core Based Statistical Areas by the Office of Management 
and Budget (OMB). The 2020 standards, which reflect modest revisions to 
the 2010 Standards for Delineating Metropolitan and Micropolitan 
Statistical Areas, supersede the 2010 standards. The SUPPLEMENTARY 
INFORMATION in this Notice provides background information on the 
standards (Section A), a brief synopsis of the public comments OMB 
received in response to the January 19, 2021 Federal Register notice 
describing the recommendations of the Metropolitan and Micropolitan 
Statistical Area Standards Review Committee (Section B), the statement 
of the Standards Review Committee in response to public comment 
(Section C), and OMB's decisions on the recommendations of the 
Standards Review Committee (Section D). The 2020 standards appear at 
the end of this Notice (Section E).

DATES: This Notice is effective immediately. OMB plans to publish 
delineations of areas based on the 2020 standards and 2020 Census data 
in 2023. Federal agencies should begin to use the new area delineations 
to tabulate and publish statistics when the delineations are published.

ADDRESSES: Please send correspondence about OMB's decision to Dominic 
Mancini, Acting Chief Statistician and Deputy Administrator, Office of 
Information and Regulatory Affairs, Office of Management and Budget, 
Room 9264, New Executive Office Building, Washington, DC 20503, or 
email <a href="/cdn-cgi/l/email-protection#0257515d416a6b67645d517663766b71766b616b636c426d6f602c676d722c656d74"><span class="__cf_email__" data-cfemail="affafcf0ecc7c6cac9f0fcdbcedbc6dcdbc6ccc6cec1efc0c2cd81cac0df81c8c0d9">[email protected]</span></a> with the subject ``2020 Metro 
Areas.''
    Electronic Availability: This notice is available on the internet 
from the OMB website at https://www.whitehouse.gov/omb/information-regulatory-affairs/statistical-programs-standards/.

FOR FURTHER INFORMATION CONTACT: Bob Sivinski, Senior Statistician, 
Office of Management and Budget, telephone (202) 395-1205; or email: 
<a href="/cdn-cgi/l/email-protection#b8ebccd9ccd1cbccd1dbd9d4e7fcd1cadddbccd1ceddcbf8d7d5da96ddd7c896dfd7ce"><span class="__cf_email__" data-cfemail="fba88f9a8f92888f92989a97a4bf92899e988f928d9e88bb949699d59e948bd59c948d">[email protected]</span></a>.

SUPPLEMENTARY INFORMATION:

[[Page 37771]]

Outline of Notice

A. Background and Review Process
B. Summary of Comments Received in Response to the Recommendations 
of the Standards Review Committee
C. Standards Review Committee Response to Comments
D. OMB's Decisions Regarding Changes to the 2010 Standards for 
Delineating Metropolitan and Micropolitan Statistical Areas
E. 2020 Standards for Delineating Core Based Statistical Areas, and 
Key Terms

A. Background and Review Process

1. Background

    In its role as coordinator of the Federal statistical system under 
the Budget and Accounting Procedures Act of 1950 (31 U.S.C. 1104(d)) 
and the Paperwork Reduction Act of 1995 (44 U.S.C. 3504(e)), OMB is 
required to ensure the system's efficiency and effectiveness. A key 
method used by OMB to achieve this responsibility is the promulgation, 
maintenance, and oversight of Government-wide principles, policies, 
standards, and guidance concerning the development, presentation, and 
dissemination of Federal statistical products. OMB's Office of 
Statistical and Science Policy, within the Office of Information and 
Regulatory Affairs, relies on public comment and subject matter 
expertise across the Federal government to help OMB identify policies 
or guidance that may be out of date, lacking clarity, or inefficient.
    One of the long-standing statistical standards maintained by OMB is 
the core based statistical areas program. This program, under various 
names, has provided standard statistical area delineations for 
approximately 70 years. In the 1940s, it became clear that the value of 
statistics produced by Federal agencies would be greatly enhanced if 
statistical agencies used a single set of geographic delineations for 
the Nation's largest centers of population and activity. OMB's 
predecessor, the Bureau of the Budget, led the effort to develop what 
were then called ``standard metropolitan areas'' in time for their use 
in 1950 census publications. Since then, comparable data products for 
metropolitan areas have been available.
    The general concept of a core based statistical area (CBSA) is that 
of an area containing a large population nucleus, or urban area, and 
adjacent communities that have a high degree of integration with that 
nucleus. There are two types of CBSAs: Metropolitan statistical areas 
(MSAs) and micropolitan statistical areas ([micro]SAs). Metropolitan 
and micropolitan statistical areas are conceptually similar to each 
other, but a micropolitan area features a smaller nucleus.
    Both metropolitan and micropolitan statistical areas are composed 
of entire counties. ``Central counties'' are those that contain the 
population nucleus mentioned above. These nuclei are identified by a 
separate geographic statistical program, the urban areas program at the 
Census Bureau. ``Outlying counties'' qualify to join a central county 
based on demonstrating sufficient commuting with the central county or 
counties of the area. Counties that do not fall within metropolitan or 
micropolitan statistical areas are ``outside of a CBSA. ''
[GRAPHIC] [TIFF OMITTED] TN16JY21.001

    The purpose of these statistical areas is unchanged from when 
standard metropolitan areas were first delineated: The classification 
provides a nationally consistent set of delineations for collecting, 
tabulating, and publishing Federal statistics for geographic areas.
    OMB establishes and maintains these areas solely for statistical 
purposes. In reviewing and revising these areas, OMB does not take into 
account, or attempt to anticipate, any public or private sector 
nonstatistical uses of the delineations. While the use of these areas 
in nonstatistical programs is

[[Page 37772]]

relatively common, and will be discussed in more detail below as those 
potential impacts were the subject of the vast majority of public 
comments OMB received on the proposed standards, these areas are not 
designed for the purpose of serving as a general-purpose geographic 
framework applicable for use in program administration or funding 
formulas. If these areas are used for program administration, OMB 
recommends structuring the use in a way that prevents any unintended 
disruption that may be caused by OMB's regular review and revision of 
the standards.
    Furthermore, the MSA and [micro]SA delineations do not produce an 
urban-rural classification, and confusion of these concepts has the 
potential to affect the ability of a program to effectively target 
either urban or rural areas, if that is the program goal. Counties 
included in metropolitan and micropolitan statistical areas may contain 
both urban and rural territory and population. For instance, programs 
that seek to strengthen rural economies by focusing solely on counties 
located outside MSAs could ignore a predominantly rural county that is 
included in an MSA because a high percentage of the county's residents 
commute to urban centers for work. OMB urges agencies, organizations, 
and policy makers to review carefully the goals of nonstatistical 
programs and policies to ensure that appropriate geographic entities 
are used to determine the allocation of Federal funds.

2. Review Process

    Periodic review of the standards is necessary to ensure their 
continued usefulness and relevance. Every decade OMB reviews the 
statistical area standards and, if warranted, revises them prior to 
their application to new decennial census data. The current review of 
the CBSA standards is the seventh such review. In 2018, OMB charged the 
Metropolitan and Micropolitan Statistical Area Standards Review 
Committee (Standards Review Committee) with examining the 2010 
Standards for Delineating Metropolitan and Micropolitan Statistical 
Areas (available at: https://www.federalregister.gov/documents/2010/06/28/2010-15605/2010-standards-for-delineating-metropolitan-and-micropolitan-statistical-areas) and providing recommendations for how 
to improve the standards. The Standards Review Committee is a standing 
committee composed of subject matter experts at the agencies that rely 
on the statistical areas to produce official statistics. Agencies 
represented on the review committee include the U.S. Census Bureau 
(Chair), Bureau of Economic Analysis, Bureau of Justice Statistics, 
Bureau of Labor Statistics, Bureau of Transportation Statistics, 
Economic Research Service, National Center for Health Statistics, 
Statistics of Income, and ex officio, OMB. The Census Bureau provided 
research support to the committee.
    OMB published the Review Committee's recommendations for revisions 
to the 2010 standards in a Federal Register Notice (FRN) on January 19, 
2021: ``Recommendations From the Metropolitan and Micropolitan 
Statistical Area Standards Review Committee to the Office of Management 
and Budget Concerning Changes to the 2010 Standards for Delineating 
Metropolitan and Micropolitan Statistical Areas'' (86 FR 5263). The 
notice described six recommendations from the Standards Review 
Committee. The Standards Review Committee recommended that:
    (1) The minimum urban area population to qualify an MSA be 
increased from 50,000 to 100,000;
    (2) The delineation of New England city and town areas (NECTAs), 
NECTA divisions, and combined NECTAs be discontinued;
    (3) Research be undertaken on an additional, territorially 
exhaustive classification that covers all of the United States and 
Puerto Rico;
    (4) The first annual delineation update of the coming decade be 
combined with the decennial-based delineations;
    (5) OMB should make publicly available a schedule for updates to 
the core based statistical areas (see proposed update schedule below); 
and
    (6) OMB continue use of American Community Survey commuting data in 
measurement of intercounty connectivity, though changing societal and 
economic trends may warrant considering changes in the 2030 standards.
    After the public comment period closed, OMB reconvened the 
Standards Review Committee to analyze and respond to the resulting 
comments. After taking into consideration public comment and the 
position of the Standards Review Committee, OMB is publishing this FRN 
to announce final decisions and the content of the 2020 Standards for 
Delineating Core Based Statistical Areas. The 2020 standards replace 
and supersede OMB's 2010 Standards for Delineating Metropolitan and 
Micropolitan Statistical Areas.

B. Summary of Public Comments Received in Response to the Review 
Committee's Recommendations

    After removing duplicate submissions from the same senders, OMB 
received 848 comments in response to the Standards Review Committee's 
recommendations.
    Recommendation 1: Raise the minimum MSA core population threshold 
from 50,000 to 100,000.
    Seven hundred thirty-four comments remarked on Recommendation 1, 
increasing the minimum population threshold of an urban area to qualify 
an MSA from 50,000 to 100,000, with 21 in favor (5 of which 
conditionally agreed with additional suggestions regarding population 
thresholds) and 712 opposed. In addition, there was one comment that 
was neutral toward Recommendation 1.
    Many of the comments opposing Recommendation 1 did not provide a 
rationale for their opposition. Of the commenters who did cite a 
rationale for their opposition, almost all cited a nonstatistical 
rationale, such as concerns about loss of federal or other funding; 
concerns about other programmatic consequences; and concerns about 
economic development for individual areas that would be reclassified 
from metropolitan to micropolitan. Some comments cited both 
nonstatistical and statistical rationales, such as concerns about 
potential loss of data for individual areas that would be reclassified 
from a metropolitan to a micropolitan statistical area; concerns about 
long term data analysis and longitudinal analysis if such a change led 
to a break in data series or the type of statistics collected and 
produced at this level of geographic area; concern that the recommended 
change was too modest to justify making any change; failure to consider 
another approach (such as adding a top size class using some definition 
of the ``largest'' areas); and perceived failure on behalf of the 
Standards Review Committee to show a sufficient rationale for doubling 
the current threshold. A few of the comments presented a purely 
statistical rationale.
    Twenty-one comments were in favor of raising the minimum population 
threshold of an urban area to qualify an MSA from 50,000 to 100,000. 
Five of these comments offered additional suggestions, such as 
modifying the minimum population to qualify a [micro]SA.
    Recommendation 2: Discontinue Updates to the New England City and 
Town Areas, New England City and

[[Page 37773]]

Town Area Divisions, and Combined New England City and Town Areas.
    Ten comments remarked on Recommendation 2, the discontinuation of 
New England City and Town Area delineations, with three in favor, two 
neutral, and five opposed to the recommendation.
    Among points cited by those opposed to Recommendation 2 were the 
relative prominence of cities and towns (as opposed to counties) in the 
six New England states, and concerns about impact of the recommendation 
on data availability and longitudinal data analysis.
    An argument in favor of the recommendation advocated against 
providing special treatment to one region of the country.
    Recommendation 3: Launch a research effort into delineating 
territorially exhaustive areas.
    Seven comments remarked on Recommendation 3 concerning research 
into developing a set of territorially exhaustive areas. All seven 
comments were in favor of the recommendation, with one of the comments 
also in favor of delineation of areas in United States Island Areas, in 
addition to the United States and Puerto Rico. Comments offered 
technical suggestions on different means of delineating the territory 
of the United States and Puerto Rico, such as the use of Bureau of 
Economic Analysis (BEA) Economic Areas, United States Department of 
Agriculture (USDA) commuting zones, USDA data, regional 
intergovernmental organizations, and substate districts.
    Recommendation 4: Incorporate the results of the decade's first 
annual update review into the results of the decade's decennial census-
based update.
    Eight comments remarked on Recommendation 4 concerning combining 
the publication of the first annual delineation update with the 
decennial-based redelineation, with three in favor (with one comment 
not wanting any updates during the decade except this one). An argument 
in favor was to minimize statistical area churn in the inventory.
    Five comments expressed general concerns about OMB conducting 
updates during the decade, but did not provide a specific opinion on 
this particular recommendation to combine the annual and decennial 
updates.
    Recommendation 5: Establish a Publicly Available Update Schedule.
    Two comments remarked on Recommendation 5, which involved 
establishing and publishing a public schedule for the release of 
delineations and updates. The two comments were both in favor of 
publishing an update schedule. An argument in favor was increased 
transparency and predictability.
    Recommendation 6: Continue use of American Community Survey 
commuting data to measure intercounty connectivity.
    There was a total of 45 comments on Recommendation 6, concerning 
the continued use of American Community Survey (ACS) commuting data for 
the 2023 delineations.
    Forty-one comments discussed Recommendation 6, while simultaneously 
arguing for an outcome for a specific area or set of areas. Suggestions 
for additional or alternative datasets included the commodity flow 
survey (Bureau of Transportation Statistics), shopping and transaction 
data, the Longitudinal Employer-Household Dynamics (Census Bureau), new 
modes of transportation, and geographic proximity between cities.
    Two of the four remaining comments offered support for the 
recommendation (with one suggesting that other data may be needed to 
determine if areas should change during the mid-decade update), and two 
provided suggestions for other datasets, such as primary care service 
areas and other measures of economic activity.
    A few comments not included in this count suggested specific 
changes to how the ACS commuting data are used in the standards, such 
as modifying commuting thresholds, without discussing whether the ACS 
data should continue to be used or what other sources of data might 
replace or supplement it.

Other Comments

    The remaining comments mostly raised issues outside of the scope of 
the request, in that they were directed at specific applications of the 
standards, and did not offer recommendations that were relevant to the 
potential modification of the standards themselves. Several comments 
expressed concern about the current configuration of one or more 
metropolitan areas and requested changes. For example, forty-two 
comments requested modification to the components of the Evansville, 
IN-KY metropolitan area; two comments requested modification to the 
components of the Idaho Falls, ID metropolitan area, and one comment 
requested modification to the components of the Sioux City, IA-NE-SD 
metropolitan area. Five comments requested using subcounty units to 
possibly identify a separate area within the current Riverside-San 
Bernardino-Ontario, CA metropolitan area. Other comments requested 
different arrangements of multiple metropolitan areas, including three 
comments concerning merging the Raleigh-Cary, NC and Durham-Chapel 
Hill, NC metropolitan areas, and one comment concerning merging the 
Greenville-Anderson, SC and Spartanburg, SC metropolitan areas.

C. Standards Review Committee Response to Comments

    After the close of the public comment period, OMB reconvened the 
Standards Review Committee and asked them to provide a statement on 
their earlier recommendations, taking into account the public comments 
received and potential impacts of the coronavirus pandemic. The 
Standards Review Committee statement reads, in its entirety:
    ``The Committee subscribes without reservation to the view that 
federal statistical standards require regular review and sometimes 
revision to stay abreast of the phenomena they describe. Over the 
course of nearly ten months, the Committee reviewed the ``2010 
Standards for Delineating Metropolitan and Micropolitan Statistical 
Areas,'' and, in the end, it recommended six revisions to OMB. Now, the 
Committee also has examined public comment received on those 
recommendations.''
    ``Each of the recommendations followed from thoughtful 
consideration and discussion, both within the Committee and with a 
panel of external experts. In addition, nearly all of the topics 
addressed in the recommendations were familiar from Committee 
discussions in previous reviews of the standards.''
    ``Having reviewed the public comment, the Committee stands by five 
of its six recommendations but now recommends that action on the first 
of those recommendations--regarding the minimum population core size 
for metropolitan statistical areas--be delayed pending completion of 
additional research on the topic.''
    ``Reviewing the public comment. Public comment received on 
Recommendations 2 through 6 generally was supportive or offered no 
counter-arguments that the Committee found sufficiently compelling to 
change its earlier views. In general, these recommendations generated 
modest amounts of comment. Implementing these recommendations will 
improve the performance of the program in the near term, lay the 
foundation for improved data availability in the future, and increase 
transparency and usability.''

[[Page 37774]]

    ``Recommendation 1, on the other hand, received substantial 
comment, and that comment raised a number of concerns of potential 
importance to the federal statistical system. One such concern focused 
on a possible reduction in federal statistical data available for areas 
that would change status from metropolitan statistical areas to 
micropolitan statistical areas as a result of an increased core 
population requirement. Another concern was with discontinuities in 
longitudinal federal statistical data series that could come with a 
changed population requirement.''
    ``A third identified statistical issue relative to Recommendation 1 
focused on the size of the recommended core population requirement 
increase (from 50,000 to 100,000). For some, that increase--if needed 
at all--was viewed as too large; on the other side, there were 
indications of dissatisfaction that the Committee did not consider 
alternative or larger changes to address the wide range of core 
populations currently covered within the category of ``metropolitan.'' 
Finally, public comment challenged the Committee to justify more 
clearly its Recommendation 1 with documented research results.''
    ``Next steps. The Committee now recommends OMB's delaying action on 
Recommendation 1 in order to complete further analysis and research. A 
side benefit of this work is that it might help to reassure data users 
that appropriate consideration has been invested in a key change to the 
standards.''
    ``With assistance from the statistical agencies, OMB could, with 
medium level of effort, address two of the concerns raised about 
Recommendation 1:
    <bullet> Provide a thorough assessment of the anticipated effects 
of a changed minimum core population size on federal statistical data 
availability, reviewing possible effects in individual data programs 
across the full set of statistical agencies.
    <bullet> Conduct an analysis of changes in thresholds in other 
statistical programs over the years to provide guidance on mitigating 
discontinuities in time series data. Programs change requirements with 
different frequencies and using different approaches. The fact that 
this program has held the minimum metropolitan statistical area core 
population size constant in the name of stability for an extended 
period should not permanently preclude adjustments to fit changed 
circumstances.''
    ``Robust examination of the appropriate size for an increase in 
required core population for metropolitan statistical areas as well as 
associated, derived area classification issues will require a more 
extensive effort. Experience suggests these tasks would be addressed 
most effectively by a combination of statistical agency research and 
two to three external research projects. Those projects would analyze 
evolving U.S. central place hierarchies and economic agglomeration 
thresholds during the period 1940-2020. Also, consideration should be 
given to including within the scope of these research projects an 
examination of changed commuting patterns (pertinent to Recommendation 
6, in light of changes in commuting behavior associated with the COVID-
19 pandemic that occurred after the Committee had submitted its 
recommendations). This work would best take place between late 2023 
(once new statistical areas are delineated based on 2020 data) and the 
end of 2025 so results would be available to OMB and the Committee in 
early 2026. By 2023, the lasting effects of the pandemic on journey to 
work should have started becoming clearer.''
    ``(In the interest of smoothing resource demands for research over 
the decade, conducting the groundwork on approaches to preparing 
territorially exhaustive statistical areas (Recommendation 3) can 
follow and benefit from the work on core size and commuting data and 
should be scheduled to start in 2026 and conclude in 2028.)''
    ``Final thought. In view of the considerable volume of public 
comment addressing issues extraneous to the purpose of the metropolitan 
and micropolitan statistical areas program, the Committee urges OMB to 
assume a more assertive posture in reiterating through various 
available channels the value and role of this federal statistical 
standard. Part of that effort will require continued efforts to educate 
nonstatistical program users of the limitations of these statistical 
areas to meet their programs' needs; the other side of the effort will 
be to ensure that federal statistical agencies and programs are taking 
full advantage of the areas to disseminate data for the benefit of data 
users. The success of the program depends in part on the continued 
demonstration of its usefulness across the federal statistical 
system.''
--Metropolitan and Micropolitan Statistical Area Standards Review 
Committee

D. OMB's Decisions Regarding Changes to the 2010 Standards for 
Delineating Metropolitan and Micropolitan Statistical Areas

    This section of the Notice presents the decisions OMB made on the 
Standards Review Committee's recommendations. In arriving at these 
decisions, we considered the Standards Review Committee's 
recommendations, the public comments we received on those the Standards 
Review Committee's recommendations, and the Standards Review 
Committee's subsequent statement in Section C.
    OMB also benefited from the continued and thorough deliberations of 
the statistical experts that constitute the Standards Review Committee, 
as well as the research and analytic support provided by the Census 
Bureau. As in past reviews of the standards, we relied upon the 
technical and subject-matter expertise, insight, and dedication of the 
Standards Review Committee members. We sincerely appreciate these 
contributions to the rigor, objectivity, and usefulness of the CBSA 
program, and offer special thanks to the invaluable support of the 
Population Division at the Census Bureau.
    OMB's decisions on each of the Review Committee's recommendations 
are discussed below. OMB did not make any substantive changes to the 
2010 standards beyond the revisions discussed in this section.
    Recommendation 1: Raise the minimum MSA core population threshold 
from 50,000 to 100,000.
    OMB Decision: OMB does not accept the initial recommendation to 
raise the MSA core population threshold in the 2020 standards, and has 
decided to leave the current threshold of 50,000 in place. A change to 
the fundamental criteria that determine whether an area is considered 
metropolitan would cause disruption to statistical programs and 
products, and would be difficult for the statistical agencies to 
implement. OMB decided that there is insufficient justification at this 
time to raise the threshold to 100,000 and that further research is 
necessary before deciding whether to change the criteria that determine 
whether an area is considered metropolitan. Finally, we also note the 
Standard Review Committee's subsequent modification of their initial 
recommendation recognizing the value of additional research before 
modifying the threshold.
    We acknowledge the Standards Review Committee's concern that the 
MSA thresholds have not kept pace with population growth, which affects 
the ability of the CBSA program to meet

[[Page 37775]]

its intended purpose of identifying the primary centers of population 
and economic activity in the United States for use in official 
statistics. OMB commits to working with the Standards Review Committee 
to conduct research and stakeholder outreach over the next four years 
to closely examine the utility of the current requirements for an area 
to qualify as an MSA, and for outlying counties to join an MSA (See 
Recommendation 6). This research will be guided by the MSA program's 
primary goal of identifying the major centers of population and 
economic activity of the United States, and will include exploring 
different frameworks and data sources for classifying metropolitan 
areas, including alternate core population thresholds, features and 
amenities of areas, evolving U.S. central place hierarchies, potential 
economic thresholds, and other topics identified by the Standards 
Review Committee or outside experts. The Standards Review Committee 
will advise OMB on the impact of any potential revisions on the 
statistical products released by their agencies.
    Recommendation 2: Discontinue Updates to the NECTAs, NECTA 
Divisions, and Combined NECTAs.
    OMB Decision: OMB accepts this recommendation, and the conclusion 
of the Committee that the significant complexity generated by 
maintaining these areas is not justified by their use in Federal 
statistical products and programs.
    We recognize that NECTAs are more granular than county-based CBSAs, 
and more closely reflect the functional local government structure in 
New England. However, Federal statistical programs often do not release 
two sets of data for both NECTAs and MSAs in the New England states, 
because doing so would create unacceptable risk of disclosure or 
reidentification. As a result, several statistical programs currently 
release data by NECTAs in New England and by county-based CBSAs for the 
rest of the country. This practice is contrary to the intent of the 
standards to provide a nationally consistent geographic framework. 
After consulting with the Bureau of Labor Statistics, which is the 
primary user of these areas, OMB is confident that BLS programs can 
continue to release high quality and useful statistics across the 
country. This decision will not affect the release of BLS products at 
finer geographic scales, such as the release of Local Area Unemployment 
Statistics data by minor civil division.
    Recommendation 3: Launch a research effort into delineating 
territorially exhaustive areas.
    OMB Decision: OMB accepts this recommendation. The CBSA program 
currently does not delineate a large portion of U.S. territory. A 
territorially exhaustive delineation would increase the utility of the 
CBSA program and improve coordination of Federal statistics. OMB 
commits to working with the Review Committee on the plans for the 
research necessary to provide a robust, exhaustive delineation of the 
United States and Puerto Rico.
    Recommendation 4: Incorporate the results of the decade's first 
annual update review into the results of the decade's decennial census-
based update.
    OMB Decision: OMB accepts this recommendation. As background, on an 
annual basis and according to the standards, OMB makes small changes, 
generally to just a few MSAs, based on annual updates to the Census 
population data used to determine a county's CBSA status. In the past a 
small number of counties experienced change in delineation status 
between the comprehensive, decennial delineations issued in the third 
year after the Decennial Census and in the subsequent annual update 
that follows, due in part to the different geographic units used in the 
decennial update and annual updates. The Committee believes this has 
led to unnecessary uncertainty and instability in the program. 
Implementing this recommendation will improve the consistency of the 
areas with negligible impact on timing or resources.
    Recommendation 5: Establish a Publicly Available Update Schedule.
    OMB Decision: OMB accepts this recommendation. To increase 
transparency and consistency, we have provide a high level, preliminary 
schedule below, and will publish and maintain a schedule of upcoming 
CBSA delineations and updates on our Statistical Policies and Programs 
web page (https://www.whitehouse.gov/omb/information-regulatory-affairs/statistical-programs-standards/). Because the timing of OMB 
updates depends in part on the timing of delivery of the inputs by the 
Census Bureau, we also intend to include the input dates into this 
schedule. If OMB is unable to meet the public update schedule, we will 
notify the public as soon as feasible through the web page.
    As described in the final 2020 standards in Section E, OMB will 
release three different types of updates. (1) Annual Updates--These 
updates would address qualification of new metropolitan and 
micropolitan statistical areas and typically would affect a small 
number of counties. (In some years, there may be no updates warranted 
by the data.) (2) Five-Year (``mid-decade'') Update--This broader 
update would include: Qualification of metropolitan and micropolitan 
statistical areas, qualification of outlying counties, merging of 
adjacent metropolitan or micropolitan statistical areas, qualification 
of principal cities, categorization of metropolitan and micropolitan 
statistical areas, qualification of metropolitan divisions, 
qualification of combined statistical areas, and titling of 
metropolitan and micropolitan statistical areas, metropolitan 
divisions, and combined statistical areas. (3) Decennial Delineation--
The initial re-delineation following adoption of revised standards 
would include all of the changes listed for the five-year update, plus 
the qualification of central counties.

------------------------------------------------------------------------
                Update type                         Release date
------------------------------------------------------------------------
Decennial Delineation.....................  June 2023.
Annual Update.............................  December 2024.
Annual Update.............................  December 2025.
Annual Update.............................  December 2026.
Annual Update.............................  December 2027.
Five-Year Update..........................  December 2028.
Annual Update.............................  December 2029.
------------------------------------------------------------------------

    Recommendation 6: Continue use of American Community Survey 
commuting data to measure intercounty connectivity.
    OMB Decision: OMB accepts this recommendation for the 2020 
standards. We note that changes in commuting behavior as a result of 
the pandemic could result in a reduction in the five-year average ACS 
estimates of commuting which will contribute to the planned CBSA update 
in 2028. This anticipated reduction could result, if no other 
adjustments are made, in a large number of outlying counties getting 
dropped from their CBSAs, at least until the next time commuting data 
is updated in 2033.
    OMB recognizes that the pandemic's impact on commuting patterns may 
create an acute challenge for the 2028 mid-decade update, as well as a 
longer-term challenge for the continued use of ACS commuting data as 
the sole measure of intercounty connectivity and economic integration. 
We especially recognize the importance of additional research in this 
area in light of the changing nature of work patterns, which the 
pandemic may have accelerated, and other ways in which geography and 
economic activity interact.
    To that end, OMB will reconvene the Standards Review Committee to 
conduct a full review of intercounty connectivity measures before 2028, 
and to advise OMB on whether pandemic-

[[Page 37776]]

related changes in commuting patterns warrant any adjustments to the 
standards prior to the mid-decade update in 2028 to minimize the risk 
of unintended and potentially temporary pandemic-related changes to the 
CBSAs in 2028. In addition, we expect that the scope of this research 
will also encompass whether other measures of economic activity may be 
useful in the identification of CBSAs, and position OMB to ensure that 
the standards for including outlying counties in CBSAs are robust and 
meaningful.

E. 2020 Standards for Delineating Core Based Statistical Areas, and Key 
Terms

    A Core Based Statistical Area (CBSA) is a geographic entity 
associated with at least one core of 10,000 or more population, plus 
adjacent territory that has a high degree of social and economic 
integration with the core as measured by commuting ties. The standards 
delineate two categories of CBSAs: Metropolitan statistical areas 
(MSAs) and micropolitan statistical areas ([micro]SAs). CBSAs consist 
of counties and equivalent entities throughout the United States and 
Puerto Rico. Throughout these standards, the term ``county'' is used to 
refer to counties and county-equivalents.
    The purpose of the CBSA standards is to provide nationally 
consistent delineations for collecting, tabulating, and publishing 
Federal statistics for a set of geographic areas. The Office of 
Management and Budget establishes and maintains these areas solely for 
statistical purposes as part of their statutory responsibilities to 
coordinate and ensure the efficiency and effectiveness of the Federal 
statistical system.
    CBSAs are not designed as a geographic framework for nonstatistical 
activities or for use in program funding formulas. The CBSA 
classification is not an urban-rural classification; MSAs, [micro]SAs, 
and many counties outside CBSAs contain both urban and rural 
populations.
    The following criteria apply to all CBSAs nationwide. Commuting and 
employment estimates are derived from the Census Bureau's American 
Community Survey. Whenever American Community Survey commuting and 
employment data are referred to below, the criteria use point estimates 
and do not incorporate a measure of sampling variability of the 
estimates.

Section 1. Population Size Requirements for Qualification of Core Based 
Statistical Areas

    Each CBSA must have a Census Bureau-delineated Urban Area of at 
least 10,000 population.

Section 2. Central Counties

    The central county or counties of a CBSA are those counties that:
    (a) Have at least 50 percent of their population in Urban Areas of 
at least 10,000 population; or
    (b) Have within their boundaries a population of at least 5,000 
located in a single Urban Area of at least 10,000 population.
    A central county is associated with the Urban Area that accounts 
for the largest portion of the county's population. The central 
counties associated with a particular Urban Area are grouped to form a 
single cluster of central counties for purposes of measuring commuting 
to and from potentially qualifying outlying counties.

Section 3. Outlying Counties

    A county qualifies as an outlying county of a CBSA if it meets the 
following commuting requirements:
    (a) At least 25 percent of the workers living in the county work in 
the central county or counties of the CBSA; or
    (b) At least 25 percent of the employment in the county is 
accounted for by workers who reside in the central county or counties 
of the CBSA.
    A county may be included in only one CBSA. If a county qualifies as 
a central county of one CBSA and as outlying in another, it falls 
within the CBSA in which it is a central county. A county that 
qualifies as outlying to multiple CBSAs falls within the CBSA with 
which it has the strongest commuting tie, as measured by either 3(a) or 
3(b) above. The counties included in a CBSA must be contiguous; if a 
county is not contiguous with other counties in the CBSA, it will not 
fall within the CBSA.

Section 4. Merging of Adjacent Core Based Statistical Areas

    Two adjacent CBSAs will merge to form one CBSA if the central 
county or counties (as a group) of one CBSA qualify as outlying to the 
central county or counties (as a group) of the other CBSA using the 
measures and thresholds stated in 3(a) and 3(b) above.

Section 5. Identification of Principal Cities

    The principal city (or cities) of a CBSA will include:
    (a) The largest incorporated place with a 2020 Census population of 
at least 10,000 in the CBSA or, if no incorporated place of at least 
10,000 population is present in the CBSA, the largest incorporated 
place or census designated place in the CBSA; and
    (b) Any additional incorporated place or census designated place 
with a 2020 Census population of at least 250,000 or in which 100,000 
or more persons work; and
    (c) Any additional incorporated place or census designated place 
with a 2020 Census population of at least 50,000, but less than 
250,000, and in which the number of workers working in the place meets 
or exceeds the number of workers living in the place; and
    (d) Any additional incorporated place or census designated place 
with a 2020 Census population of at least 10,000, but less than 50,000, 
and at least one-third the population size of the largest place, and in 
which the number of workers working in the place meets or exceeds the 
number of workers living in the place.

Section 6. Categories and Terminology

    A CBSA is categorized based on the population of the largest Urban 
Area within the CBSA. Categories of CBSAs are: Metropolitan statistical 
areas, based on Urban Areas of 50,000 or more population, and 
micropolitan statistical areas, based on Urban Areas of at least 10,000 
population but less than 50,000 population. Counties that do not fall 
within CBSAs will represent ``outside core based statistical areas.''

Section 7. Divisions of Metropolitan Statistical Areas

    An MSA containing a single Urban Area with a population of at least 
2.5 million may be subdivided to form smaller groupings of counties 
referred to as metropolitan divisions. A county qualifies as a ``main 
county'' of a metropolitan division if 65 percent or more of workers 
living in the county also work within the county and the ratio of the 
number of workers working in the county to the number of workers living 
in the county is at least 0.75. A county qualifies as a ``secondary 
county'' if 50 percent or more, but less than 65 percent, of workers 
living in the county also work within the county and the ratio of the 
number of workers working in the county to the number of workers living 
in the county is at least 0.75.
    A main county automatically serves as the basis for a metropolitan 
division. For a secondary county to qualify as the basis for forming a 
metropolitan division, it must join with either a contiguous secondary 
county or a contiguous main county with which it has the highest 
employment interchange

[[Page 37777]]

measure of 15 or more (where the employment interchange measure is the 
sum of the percentage of workers living in the smaller entity who work 
in the larger entity and the percentage of employment in the smaller 
entity that is accounted for by workers who reside in the larger 
entity). After all main counties and secondary counties are identified 
and grouped (if appropriate), each additional county that already has 
qualified for inclusion in the MSA falls within the metropolitan 
division associated with the main/secondary county or counties with 
which the county at issue has the highest employment interchange 
measure. Counties in a metropolitan division must be contiguous.

Section 8. Combining Adjacent Core Based Statistical Areas

    (a) Any two adjacent CBSAs will form a combined statistical area if 
the employment interchange measure between the two areas is at least 
15.
    (b) The CBSAs thus combined will also continue to be recognized as 
individual CBSAs within the combined statistical area.

Section 9. Titles of Core Based Statistical Areas, Metropolitan 
Divisions, and Combined Statistical Areas

    (a) The title of a CBSA will include the name of its principal city 
with the largest 2020 Census population. If there are multiple 
principle cities, the names of the second-largest and (if present) 
third-largest principle cities will appear in the title in order of 
descending population size. If the principal city with the largest 2020 
Census population is a census designated place, the name of the largest 
incorporated place of at least 10,000 population that also is a 
principal city will appear first in the title followed by the name of 
the census designated place. If the principal city with the largest 
2020 Census population is a census designated place, and there is no 
incorporated place of at least 10,000 population that also is a 
principal city, the name of that census designated place principal city 
will appear first in the title.
    (b) The title of a metropolitan division will include the name of 
the principal city with the largest 2020 Census population located in 
the metropolitan division. If there are multiple principle cities, the 
names of the second-largest and (if present) third-largest principle 
cities will appear in the title in order of descending population size. 
If there are no principle cities located in the metropolitan division, 
the title of the metropolitan division will use the names of up to 
three counties in order of descending 2020 Census population size.
    (c) The title of a combined statistical area will include the names 
of the two largest principle cities in the combination and the name of 
the third-largest principal city, if present. If the combined 
statistical area title duplicates that of one of its component CBSAs, 
the name of the third-most-populous principal city will be dropped from 
the title of the Combined Statistical Area.
    (d) Titles also will include the names of any State in which the 
area is located.

Section 10. Updating Schedule

    (a) The Office of Management and Budget will delineate CBSAs in 
2023 based on 2020 Census data and 2016-2020 American Community Survey 
five-year estimates. Release of these delineations will take place 
during June 2023.
    (b) In the 2023 delineations and in subsequent years, the Office of 
Management and Budget will designate a new [micro]SA if:
    (1) A city that is outside any existing CBSA has a Census Bureau 
special census count of 10,000 to 49,999 population, or a population 
estimate of 10,000 to 49,999 for two consecutive years from the Census 
Bureau's Population Estimates Program, or
    (2) A Census Bureau special census results in the delineation of an 
Urban Area of 10,000 to 49,999 population that is outside of any 
existing CBSA.
    (c) Also in the 2023 delineations and in subsequent years, the 
Office of Management and Budget will designate a new MSA if:
    (1) A city that is outside any existing MSA has a Census Bureau 
special census count of 50,000 or more population, or a population 
estimate of 50,000 or more for two consecutive years from the Census 
Bureau's Population Estimates Program, or
    (2) A Census Bureau special census results in the delineation of an 
Urban Area of 50,000 or more population that is outside of any existing 
MSA.
    (d) Outlying counties of CBSAs that qualify in this section will 
qualify according to the criteria in Section 3 above, on the basis of 
American Community Survey five-year commuting estimates.
    (e) OMB will review the delineations of all existing CBSAs and 
related statistical areas in 2028 using 2021-2025 five-year commuting 
and employment estimates from the Census Bureau's American Community 
Survey. The Urban Areas used in these delineations will be those based 
on 2020 Census data or subsequent special censuses for which Urban 
Areas are created. The central counties of CBSAs identified on the 
basis of a 2020 Census population count, or on the basis of population 
estimates from the Census Bureau's Population Estimates Program or a 
special census count in the case of postcensally delineated areas, will 
constitute the central counties for purposes of these area 
delineations. New CBSAs will be designated in 2028 on the basis of 
Census Bureau special census counts or population estimates as 
described above in Sections 10(b) and 10(c); outlying county 
qualification will be based on five-year commuting estimates from the 
American Community Survey.
    (f) Other aspects of the CBSA delineations are not subject to 
change between decennial censuses.
    (g) OMB will issue delineation updates (one per year in those years 
when there is an update) in years other than 2023 during December.
    (h) OMB will maintain a publicly available release schedule for 
these updates on its statistical programs and standards web page 
(https://www.whitehouse.gov/omb/information-regulatory-affairs/statistical-programs-standards/). Any delays will be announced on the 
website as soon as possible, along with an updated release date.

Section 11. Definitions of Key Terms

    Census designated place--A statistical geographic entity that is 
analogous to an incorporated place, delineated for the decennial census 
and consisting of a locally recognized, unincorporated concentration of 
population that is identified by name.
    Central county--The county or counties of a Core Based Statistical 
Area containing a substantial portion of an Urban Area, and to and from 
which commuting is measured to determine qualification of outlying 
counties.
    Combined Statistical Area--A geographic entity consisting of two or 
more adjacent Core Based Statistical Areas with employment interchange 
measures of at least 15.
    Core--A densely settled concentration of population, comprising an 
Urban Area (of 10,000 or more population) delineated by the Census 
Bureau, around which a Core Based Statistical Area is delineated.
    Core Based Statistical Area (CBSA)--A statistical geographic entity 
consisting of the county or counties associated with at least one core 
(Urban Area) of at least 10,000 population, plus adjacent counties 
having a high degree of social and economic integration with the core 
as measured through commuting ties

[[Page 37778]]

with the counties containing the core. Metropolitan and micropolitan 
statistical areas are the two categories of core based statistical 
areas.
    Delineation--The establishment of the boundary of a statistical 
area, or the boundary that results.
    Employment interchange measure--A measure of ties between two 
adjacent entities. The employment interchange measure is the sum of the 
percentage of workers living in the smaller entity who work in the 
larger entity and the percentage of employment in the smaller entity 
that is accounted for by workers who reside in the larger entity.
    Geographic building block--The geographic unit, such as a county, 
that constitutes the basic geographic component of a statistical area.
    Main county--A county that acts as an employment center within a 
CBSA that has a core with a population of at least 2.5 million. A main 
county serves as the basis for delineating a metropolitan division.
    Metropolitan Division--A county or group of counties within a CBSA 
that contains an Urban Area with a population of at least 2.5 million. 
A metropolitan division consists of one or more main/secondary counties 
that represent an employment center or centers, plus adjacent counties 
associated with the main/secondary county or counties through commuting 
ties.
    Metropolitan Statistical Area (MSA)--A Core Based Statistical Area 
associated with at least one Urban Area that has a population of at 
least 50,000. The MSA comprises the central county or counties 
containing the core, plus adjacent outlying counties having a high 
degree of social and economic integration with the central county or 
counties as measured through commuting.
    Micropolitan Statistical Area ([micro]SA)--A Core Based Statistical 
Area associated with at least one Urban Area that has a population of 
at least 10,000, but less than 50,000. The [micro]SA comprises the 
central county or counties containing the core, plus adjacent outlying 
counties having a high degree of social and economic integration with 
the central county or counties as measured through commuting.
    Outlying county--A county that qualifies for inclusion in CBSA on 
the basis of commuting ties with the CBSA's central county or counties.
    Outside Core Based Statistical Areas--Counties that do not qualify 
for inclusion in a CBSA.
    Principal City--The largest city of a CBSA, plus additional cities 
that meet specified statistical criteria.
    Secondary county--A county that acts as an employment center in 
combination with a main county or another secondary county within a 
CBSA that has a core with a population of at least 2.5 million. A 
secondary county may serve as the basis for delineating a metropolitan 
division, but only when combined with a main county or another 
secondary county.
    Urban Area-- A statistical geographic entity delineated by the 
Census Bureau, which represents densely developed territory, and 
encompasses residential, commercial, and other non-residential urban 
land uses. For purposes of delineating MSAs, at least one Urban Area of 
50,000 or more population is required; for purposes of delineating 
[micro]SAs, at least one Urban Area of 10,000 to 49,999 population is 
required.

Sharon Block,
Acting Administrator, Office of Information and Regulatory Affairs.
[FR Doc. 2021-15159 Filed 7-13-21; 5:15 pm]
BILLING CODE 3110-01-P


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