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(viii) title I of the Housing and Community Development
Act of 1974 (42 U.S.C. 5301 et seq.); and
(ix) part IV of title III of the Communications Act of 1934
(47 U.S.C. 390 et seq.); but
(B) does not include—
(i) the program for the construction of the development
highway system authorized by section 14501 of this title or
any other program relating to highway or road construction
authorized by title 23; or
(ii) any other program to the extent that financial assist-
ance other than a grant is authorized.
(2) CERTAIN SEWAGE TREATMENT WORKS DEEMED CONSTRUCTED
WITH FEDERAL GRANT ASSISTANCE.—For the purpose of this section,
any sewage treatment works constructed pursuant to title II of the
Federal Water Pollution Control Act (33 U.S.C. 1281 et seq.) (known
as the Clean Water Act) without federal grant assistance under that
title is deemed to be constructed with that assistance.
(b) PURPOSE.—To enable the people, States, and local communities of
the Appalachian region, including local development districts, to take max-
imum advantage of federal grant programs for which they are eligible but
for which, because of their economic situation, they cannot supply the re-
quired matching share, or for which there are insufficient amounts available
under the federal law authorizing the programs to meet pressing needs of
the region, the Federal Cochairman may use amounts made available to
carry out this section—
(1) for any part of the basic federal contribution to projects or ac-
tivities under the federal grant programs authorized by federal laws;
and
(2) to increase the federal contribution to projects and activities
under the programs above the fixed maximum part of the cost of the
projects or activities otherwise authorized by the applicable law.
(c) CERTIFICATION REQUIRED.—For a program, project, or activity for
which any part of the basic federal contribution to the project or activity
under a federal grant program is proposed to be made under subsection (b),
the contribution shall not be made until the responsible federal official ad-
ministering the federal law authorizing the contribution certifies that the
program, project, or activity meets the applicable requirements of the fed-
eral law and could be approved for federal contribution under that law if
amounts were available under the law for the program, project, or activity.
(d) LIMITATIONS IN OTHER LAWS INAPPLICABLE.—Amounts provided
pursuant to this subtitle are available without regard to any limitations on
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areas eligible for assistance or authorizations for appropriation in any other
law.
(e) ACCEPTANCE OF CERTAIN MATERIAL.—For a supplemental grant for
a project or activity under a federal grant program, the Federal Cochairman
shall accept any finding, report, certification, or documentation required to
be submitted to the head of the department, agency, or instrumentality of
the Federal Government responsible for the administration of the program.
(f) FEDERAL SHARE.—The federal portion of the cost of a project or ac-
tivity shall not—
(1) be increased to more than the percentages the Commission estab-
lishes; nor
(2) be more than 80 percent of the cost.
(g) MAXIMUM COMMISSION CONTRIBUTION.—
(1) IN GENERAL.—Subject to paragraph (2), the Commission may
contribute not more than 50 percent of a project or activity cost eligible
for financial assistance under this section from amounts appropriated
to carry out this subtitle.
(2) DISTRESSED COUNTIES.— The maximum Commission contribu-
tion for a project or activity to be carried out in a county for which
a distressed county designation is in effect under section 14526 of this
title may be increased to 80 percent.
SUBCHAPTER II—ADMINISTRATIVE
§ 14521. Required level of expenditure
A State or political subdivision of a State is not eligible to receive benefits
under this subtitle unless the aggregate expenditure of state amounts, ex-
cept expenditures for participation in the Dwight D. Eisenhower System of
Interstate and Defense Highways and local and federal amounts, for the
benefit of the area within the State located in the Appalachian region is
maintained at a level which does not fall below the average level of those
expenditures for the State’s last two full fiscal years prior to March 9,
1965. In computing the level, a State’s past expenditure for participation
in the Dwight D. Eisenhower System of Interstate and Defense Highways
and expenditures of local and federal amounts shall not be included. The
Commission shall recommend to the President a lesser requirement when it
finds that a substantial population decrease in that part of a State which
lies within the region would not justify a state expenditure equal to the av-
erage level of the last two years or when it finds that a State’s average level
of expenditure in an individual program has been disproportionate to the
present need for that part of the State.
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§ 14522. Consent of States
This subtitle does not require a State to engage in or accept a program
under this subtitle without its consent.
§ 14523. Program implementation
(a) REQUIREMENTS.—A program or project authorized under this chapter
shall not be implemented until—
(1) the responsible federal official has decided that applications and
plans relating to the program or project are not incompatible with the
provisions and objectives of federal laws that the official administers
that are not inconsistent with this subtitle; and
(2) the Appalachian Regional Commission has approved the program
or project and has determined that it—
(A) meets the applicable criteria under section 14524 of this
title and the requirements of the development planning process
under section 14525 of this title; and
(B) will contribute to the development of the Appalachian re-
gion.
(b) DECISION IS CONTROLLING.—A decision under subsection (a)(2) is
controlling and shall be accepted by the federal agencies.
§ 14524. Program development criteria
(a) FACTORS
TO
BE
CONSIDERED.—In considering programs and
projects to be given assistance under this subtitle, and in establishing a pri-
ority ranking of the requests for assistance presented to the Appalachian
Regional Commission, the Commission shall follow procedures that will en-
sure consideration of—
(1) the relationship of the project or class of projects to overall re-
gional development, including its location in a severely and persistently
distressed county or area;
(2) the population and area to be served by the project or class of
projects, including the per capita market income and the unemploy-
ment rates in the area;
(3) the relative financial resources available to the State or political
subdivisions or instrumentalities of the State that seek to undertake
the project;
(4) the importance of the project or class of projects in relation to
other projects or classes of projects that may be in competition for the
same amounts;
(5) the prospects that the project for which assistance is sought will
improve, on a continuing rather than a temporary basis, the opportuni-
ties for employment, the average level of income, or the economic and
social development of the area served by the project; and
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(6) the extent to which the project design provides for detailed out-
come measurements by which grant expenditures may be evaluated.
(b) LIMITATION ON USE.—Financial assistance made available under this
subtitle shall not be used to assist establishments relocating from one area
to another.
(c) DETERMINATION REQUIRED BEFORE AMOUNTS MAY BE PRO-
VIDED.—Amounts may be provided for programs and projects in a State
under this subtitle only if the Commission determines that the level of fed-
eral and state financial assistance under other laws for the same type of
programs or projects in that part of the State within the Appalachian region
will not be diminished in order to substitute amounts authorized by this
subtitle.
(d) MINIMUM AMOUNT OF ASSISTANCE TO DISTRESSED COUNTIES AND
AREAS.—For each fiscal year, not less than 50 percent of the amount of
grant expenditures the Commission approves shall support activities or
projects that benefit severely and persistently distressed counties and areas.
§ 14525. State development planning process
(a) STATE DEVELOPMENT PLAN.—Pursuant to policies the Appalachian
Regional Commission establishes, each state member shall submit a develop-
ment plan for the area of the State within the Appalachian region. The plan
shall—
(1) be submitted according to a schedule the Commission prescribes;
(2) reflect the goals, objectives, and priorities identified in the re-
gional development plan and in any subregional development plan that
may be approved for the subregion of which the State is a part;
(3) describe the state organization and continuous process for Appa-
lachian development planning, including—
(A) the procedures established by the State for the participation
of local development districts in the process;
(B) how the process is related to overall statewide planning and
budgeting processes; and
(C) the method of coordinating planning and projects in the re-
gion under this subtitle, the Public Works and Economic Develop-
ment Act of 1965 (42 U.S.C. 3121 et seq.), and other federal,
state, and local programs;
(4) set forth the goals, objectives, and priorities of the State for the
region, as established by the Governor, and identify the needs on which
the goals, objectives, and priorities are based; and
(5) describe the development strategies for achieving the goals, objec-
tives, and priorities, including funding sources, and recommendations
for specific projects to receive assistance under this subtitle.