1、311 Ofc. of Asst. Secy., Comm. Planning, Develop., HUD 598.3 597.502 Nominations by economic de-velopment corporations or the Dis-trict of Columbia. Any urban area nominated by an Economic Development Corporation chartered by the State in which it is located or by the District of Columbia shall be t
2、reated as nominated by a State and local government. 597.503 Use of census data. Population and poverty rate data shall be determined by the most recent decennial census data available. PART 598URBAN EMPOWERMENT ZONES: ROUND TWO AND THREE DESIGNATIONS Subpart AGeneral Provisions Sec. 598.1 Applicabi
3、lity and scope. 598.2 Objective and purpose. 598.3 Definitions. 598.4 Period of designation. Subpart BEligibility Requirements 598.100 Eligibility requirements. 598.105 Data used for eligibility determina-tions. 598.110 Tests of pervasive poverty, unem-ployment and general distress. 598.115 Poverty
4、rate. Subpart CNomination Procedure 598.200 Who nominates an area for designa-tion? 598.205 What are the requirements for nomi-nation? 598.210 What certifications must govern-ments make? 598.215 What are the purpose and content of the strategic plan? Subpart DDesignation Process 598.300 Procedure fo
5、r submitting a nomina-tion. 598.305 Designation factors. Subpart EPost-Designation Requirements 598.400 HUD grants for planning activities. 598.405 Environmental review. 598.408 Lead-based paint requirements. 598.410 Public access to materials and pro-ceedings. 598.415 Reporting. 598.420 Periodic pr
6、ogress determinations. 598.425 Validation of designation. 598.430 Revocation of designation. Subpart FSpecial Rules 598.500 Indian reservations. 598.505 Governments. 598.510 Nominations by Economic Develop-ment Corporations or the District of Co-lumbia. 598.515 Alaska and Hawaii. Subpart GEmpowermen
7、t zone grants 598.600 Applicability. 598.605 Implementation plan. 598.610 Resident benefit standards. 598.615 Economic development standards. 598.620 Evaluation, monitoring, and en-forcement. AUTHORITY: 26 U.S.C. 1391; 42 U.S.C. 3535(d). SOURCE: 63 FR 19155, Apr. 16, 1998, unless otherwise noted. Su
8、bpart AGeneral Provisions 598.1 Applicability and scope. (a) This part establishes policies and procedures applicable to the second and third rounds of designations of urban Empowerment Zones, authorized under Subchapter U of the Internal Revenue Code of 1986 (26 U.S.C. 1391, et seq.), as amended. A
9、ny reference to, or require-ment of, Round II in this part is also a reference to, or requirement of, Round III. (b) This part contains provisions re-lating to area requirements, the nomi-nation process for urban Empowerment Zones, and the designation and evalua-tion of these Zones by HUD. Provision
10、s dealing with the nomination and des-ignation of rural Empowerment Zones are issued by the Department of Agri-culture. 63 FR 19155, Apr. 16, 1998, as amended at 66 FR 35855, July 9, 2001 598.2 Objective and purpose. The purpose of this part is to provide for the establishment of Empowerment Zones i
11、n urban areas, to stimulate the creation of new jobsempowering low- income persons and families receiving public assistance to become economi-cally self-sufficientand to promote revitalization of economically dis-tressed areas. 598.3 Definitions. In addition to the definitions of HUD and Secretary f
12、ound in 24 VerDate Nov2008 07:58 Apr 27, 2010 Jkt 220079 PO 00000 Frm 00321 Fmt 8010 Sfmt 8010 Y:SGML220079.XXX 220079WReier-Aviles on DSKGBLS3C1PROD with CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-312 24 CFR Ch. V (4110 Edition) 598.4 CFR 5.
13、100, the following definitions apply to this part. Census tract means a census tract, as the term is used by the Bureau of the Census, or, if census tracts are not de-fined for the area, a block numbering area. Designation means the process by which the Secretary designates urban areas as Empowermen
14、t Zones eligible for tax incentives and credits estab-lished by Subchapter U of the Internal Revenue Code of 1986, as amended (26 U.S.C. 1391, et seq.) and for special con-sideration for programs of Federal as-sistance. Developable site means a parcel of land in a nominated area that may be develope
15、d for commercial or industrial purposes. Empowerment Zone means an urban area so designated by the Secretary in accordance with this part. HHS means the U.S. Department of Health and Human Services. Local government means any county, city, town, township, parish, village, or other general purpose po
16、litical subdivi-sion of a State, and any combination of these political subdivisions that is rec-ognized by the Secretary. Nominated area means an area nomi-nated by one or more local govern-ments and the State or States in which it is located for designation in accord-ance with this part. Revocatio
17、n of designation means the process by which the Secretary may re-voke the designation of an urban area as an Empowerment Zone . (See sub-part E of this part.) State means any State of the United States. Urban area means: (1) An area that lies inside a Metro-politan Statistical Area (MSA), as des-ign
18、ated by the Office of Management and Budget; or (2) An area outside an MSA if the ju-risdiction of the nominating local gov-ernment documents: (i) The urban character of the area, or (ii) The link between the area and the proposed area in the MSA. 63 FR 19155, Apr. 16, 1998, as amended at72 FR 71016
19、, Dec. 13, 2007 598.4 Period of designation. The designation of an urban area as an Empowerment Zone will remain in full effect during the period beginning on the date of designation and ending on the earliest of: (a) The close of the tenth calendar year beginning on the date of designa-tion; (b) Th
20、e termination date designated by the State and local Governments in their application for nomination; or (c) The date the Secretary modifies or revokes the designation. Subpart BEligibility Requirements 598.100 Eligibility requirements. A nominated urban area is eligible for designation in accordanc
21、e with this part only if the area: (a) Has a maximum population that is the lesser of: (1) 200,000; or (2) The greater of 50,000 or ten per-cent of the population of the most pop-ulous city located within the nomi-nated area; (b) Is one of pervasive poverty, unem-ployment and general distress, as de
22、-scribed in 598.110; (c) Does not exceed twenty square miles in total land area, excluding up to three noncontiguous developable sites that are exempt from the poverty criteria; (d) Has a continuous boundary, or consists of not more than three non- contiguous parcels meeting the poverty criteria, an
23、d not more than three non-contiguous developable sites exempt under 598.115(c)(1) from the poverty rate criteria; (e) Is located entirely within the ju-risdiction of the unit or units of gen-eral local government making the nomination, and is located in no more than two contiguous States; and (f) Do
24、es not include any portion of a central business district, as this term is used in the most recent Census of Retail Trade, unless the poverty rate for each census tract in the district is not less than 35 percent. 598.105 Data used for eligibility de-terminations. (a) Source of data. The data to be
25、used in determining the eligibility of an VerDate Nov2008 07:58 Apr 27, 2010 Jkt 220079 PO 00000 Frm 00322 Fmt 8010 Sfmt 8010 Y:SGML220079.XXX 220079WReier-Aviles on DSKGBLS3C1PROD with CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-313 Ofc. of A
26、sst. Secy., Comm. Planning, Develop., HUD 598.115 area is from the 1990 Decennial Census, and from information published by the Bureau of the Census and the Bureau of Labor Statistics. Specific information on appropriate data to be submitted will be provided in the application. (b) Use of statistics
27、 on boundaries. The boundary of an urban area nominated for designation as an Empowerment Zone must coincide with the bound-aries of census tracts, as defined in 598.3. 598.110 Tests of pervasive poverty, unemployment and general dis-tress. (a) Pervasive poverty. Pervasive pov-erty is demonstrated b
28、y evidence that: (1) Poverty, as indicated by the num-ber of persons listed as being in pov-erty in the 1990 Decennial Census, is widespread throughout the nominated area; or (2) Poverty, as described above, has become entrenched or intractable over time (through comparison of 1980 and 1990 census d
29、ata or other relevant evi-dence). (b) Unemployment. Unemployment is demonstrated by: (1) The most recent data available in-dicating that the annual rate of unem-ployment for the nominated area is not less than the national annual average rate of unemployment; or (2) Evidence of especially severe eco
30、-nomic conditions, such as military base or plant closings or other condi-tions that have brought about signifi-cant job dislocation within the nomi-nated area. (c) General distress. General distress is evidenced by describing adverse condi-tions within the nominated urban area other than those of p
31、ervasive poverty and unemployment. Below average or decline in per capita income, earnings per worker, number of persons on wel-fare, per capita property tax base, aver-age years of school completed, substan-tial population decline, and a high or rising incidence of crime, narcotics use, homelessnes
32、s, high incidence of AIDS, abandoned housing, deteriorated infrastructure, school dropouts, teen pregnancy, incidence of domestic vio-lence, incidence of certain health con-ditions and illiteracy are examples of appropriate indicators of general dis-tress. 598.115 Poverty rate. (a) General. In order
33、 to be eligible for designation, an areas poverty rate must satisfy the following criteria: (1) In each census tract within a nominated urban area, the poverty rate must be not less than 20 percent; and (2) For at least 90 percent of the cen-sus tracts within the nominated urban area, the poverty ra
34、te must be not less than 25 percent. (b) Special rules relating to the deter-mination of poverty rate(1) Census tracts with populations of less than 2,000. A census tract that has a population of less than 2,000 is treated as having a poverty rate that meets the require-ments of paragraphs (a)(1) an
35、d (a)(2) of this section if more than 75 percent of the tract is zoned for commercial or in-dustrial use, and the tract is contig-uous to one or more other census tracts that have an actual poverty rate of not less than 25 percent. (2) Rounding up of percentages. In making the calculations required
36、by this section, the Secretary will round all fractional percentages of one-half percent or more up to the next highest whole percentage figure. (c) Noncontiguous parcels. (1) Non-contiguous parcels that are develop-able sites are exempt from the poverty rate criteria of paragraph (a) of this sectio
37、n, for up to three developable sites. (2) The total area of the noncontig-uous parcels that are developable sites exempt from the poverty rate criteria of paragraph (a) of this section must not exceed 2,000 acres. (3) A nominated urban area must not contain a noncontiguous parcel unless such parcel
38、separately meets the cri-teria set forth at paragraphs (a)(1) and (2) of this section, except for up to three developable sites. (4) There must not be more than three noncontiguous parcels, except that up to three developable sites are not included in this limit. VerDate Nov2008 07:58 Apr 27, 2010 J
39、kt 220079 PO 00000 Frm 00323 Fmt 8010 Sfmt 8010 Y:SGML220079.XXX 220079WReier-Aviles on DSKGBLS3C1PROD with CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-314 24 CFR Ch. V (4110 Edition) 598.200 Subpart CNomination Procedure 598.200 Who nominates
40、 an area for designation? Applicants for empowerment zone designation must be nominated by the State or States and one or more local government(s) in which the area is lo-cated, except as provided in 598.500, 598.510, and 598.515. The nomination must be submitted in a form to be pre-scribed by HUD i
41、n the application and in the document announcing the initi-ation of the designation process, and must contain complete and accurate information. (Approved by the Office of Management and Budget under Control Number 25060148) 63 FR 19155, Apr. 16, 1998, as amended at 63 FR 53262, Oct. 2, 1998 598.205
42、 What are the requirements for nomination? (a) General. No urban area may be considered for designation in accord-ance with subpart D of this part unless: (1) The urban area is within the juris-diction of a State or States and local government(s) that have the authority to nominate the urban area fo
43、r des-ignation and that provide written as-surances satisfactory to the Secretary that the strategic plan described in 598.215 will be implemented, and these governments submit its nomination; (2) All information furnished by the nominating State(s) and local govern-ment(s) is determined by the Secr
44、etary to be reasonably accurate; and (3) The application for designation is complete, as described in paragraph (b) of this section. (b) Contents of application for designa-tion. The application for designation of an urban area as an Empowerment Zone must do the following: (1) Demonstrate that the n
45、ominated urban area satisfies the eligibility cri-teria set forth in subpart B of this part; (2) Include a strategic plan, as de-scribed in 598.215; (3) Include the certifications de-scribed in 598.210; (4) Include the 1990 census maps showing the following: (i) The boundaries of the local gov-ernme
46、nt(s): and (ii) The boundaries of the nominated area, including any developable sites; and (5) Include such other information as may be required by HUD in the applica-tion or in the document announcing the initiation of the designation proc-ess. (Approved by the Office of Management and Budget under
47、 Control Number 25060148) 63 FR 19155, Apr. 16, 1998, as amended at 63 FR 53262, Oct. 2, 1998 598.210 What certifications must gov-ernments make? Certifications must be submitted by the State(s) and local government(s) requesting designation stating that: (a) The nominated urban area satis-fies the
48、boundary tests of 598.100(d); (b) The nominated urban area is one of pervasive poverty, unemployment and general distress, as prescribed by 598.110; (c) The nominated urban area con-tains no portion of an area that is in-cluded in an Empowerment Zone or any other area currently nominated for designa
49、tion as an Empowerment Zone (but it may include an Enterprise Com-munity); (d) Each nominating governmental entity has the authority to: (1) Nominate the urban area for des-ignation as an Empowerment Zone; (2) Make the commitments required of nominating entities by 598.215(b); and (3) Provide written assurances satis-factory to the Secretary that the stra-tegic plan will be implemented. (e) Provide that the nominating gov
